Preface 

E

fficient

utilisation, spectrum pricing and allocation procedure has its 

genesis in the Unified License policy wherein the TRAI envisages the 

spectrum allocation policy to be separate from licensing of services. Also, the 

scarcity of this resource requires initiatives that encourage its most efficient 

usage. The Government has sought the TRAI's recommendations on the 

following 

a)  Efficient utilisation of spectrum 

b)  Spectrum allocation procedure 

c) Spectrum pricing 

The TRAI has undertaken a study of the best international practices in this 

regard and has prepared this consultation paper raising key issues for 

comments of the stakeholders. Data was called on from cellular mobile 

service providers to gauge the level of efficiency achieved by the existing 

operators. A comprehensive framework balancing the technical and economic 

aspects is the objective that the consultation process seeks to achieve and 

this paper provides a basis to hold discussions in this regard. 

The paper first discusses the current status of spectrum award, spectrum 

pricing, likely demand and spectrum allocations. Thereafter the technical and 

pricing options that encourage efficient usage of spectrum has been detailed. 

Using the technical and economic aspects, there arises issues and options 

pertaining to spectrum allocations. Further, key issues such as spectrum Re 

farming, Trading, Mergers & Acquisition and Spectrum surrender have also 

been brought out.   

We are hopeful that this paper would succeed in meeting the objectives that it 

seeks to achieve towards formulation of a policy on important issues relating 

to spectrum. The paper has already been placed on TRAI's website 

(

www.trai.gov.in

) 

Written comments on this paper may be furnished to Secretary, TRAI by 30

th

June, 2004. For any further clarification on the matter, Secretary TRAI or 

Advisor (MN), may be contacted at trai07@bol.net.in (Ph.No.26167448) and 

jsengg@trai.gov.in

 (Ph.No.26106118) respectively

. 

(Pradip Baijal) 

Chairman, TRAI

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