TRAI rules out backtracking on 2G price decision

There is no question of retracing or revising the stance on 2G spectrum, sources in the Telecom Regulatory Authority of India (TRAI) told CNBC-TV18.

The regulator was reacting to a news report that the Department of Telecommunications (DoT) had rejected its proposals and asked it to redo the 2G re-pricing exercise separately.

Telecom companies working on the GSM platform have been up in arms against the TRAI's 12 May recommendations on capping of spectrum in circles, cost for buying additional spectrum, and mergers and acquisitions.

Bharti Airtel has charged TRAI tailoring the recommendations to benefit select operators. Vodafone echoed those views, and added that the one-time spectrum fee could put the industry in jeopardy.

However, those working on the CDMA platform, like Reliance Communications and Etisalat DB, have welcomed the move. (See: DoT may reject TRAI move to link 2G, 3G prices: report)

Yesterday, TRAI chairman J S Sarma asked the DoT to consult TRAI before making any changes to its recommendations. The telecom regulator had written to DoT on 18 May seeking wholesome implementation of its report.