Spectrum to be de-linked from licences; M&A rules may be eased: Sibal

Perhaps bringing some relief to telecom companies, which have been in a tizzy since blanket investigations into the 2G 'scam' began, telecom minister Kapil Sibal today announced some wide guidelines that will form the basis of a new telecom policy.

Sibal said that the government had yet to decide on the pricing mechanism for awarding spectrum.

Among the likely changes are de-linking of spectrum allocation from operating licences; renewal of licence fees every ten years instead of the current 20 (applications for renewal should come at least 30 months in advance); permitting spectrum-sharing ''under certain conditions''; and easing rules for mergers and acquisitions in the sector.

He also suggested stronger auditing of telecom operators. "We feel that regular audit of the usage of spectrum is required. We have not decided yet who will conduct such audits – it could be the Comptroller & Auditor General of India or the Telecom Regulatory Authority of India (TRAI),'' he told newspersons in New Delhi.

He also said that service rollout obligations will be modified. This is obviously in response to pleas by certain operators who are under the scanner that they are serious about rolling out services, but need more time to set up their infrastructure.

A drafting committee for a possible National Spectrum Act would be formed under retired Supreme Court judge Shivraj Patil, Sibal said.