Telecom service providers had gross revenue of Rs 2.54 lakh crore in 2014-15 financial year.
Telecom regulator Trai on Wednesday recommended spectrum pricing for seven bands, including the premium 700 Mhz frequency at record base price of Rs 11,485 crore per Mhz, for the next round of auction which could fetch the government a staggering Rs 5.36 lakh crore.
Of the Rs 5.36 lakh crore windfall, the premium 700 Mhz band spectrum could alone contribute over Rs 4 lakh crore if all frequencies are sold at pan-India base price of Rs 11,485 crore per Mhz - which is the highest price for any telecom radiowave.
However, the total potential revenue from the spectrum sale, expected to be held during May-June this year, is more than double of gross revenue of telecom services industry.
Telecom service providers had gross revenue of Rs 2.54 lakh crore in 2014-15 financial year.
The last auction held in March 2015 fetched the government record bids of over Rs 1.1 lakh crore.
Trai for the first time has suggested a base price for 700 MHz band which is considered as the most efficient frequencies for high-end mobile services.
However, leading operators had requested the regulator to defer sale of 700 MHz spectrum, saying that ecosystem for providing services in this band was not developed and sale would lead to underutilisation of the spectrum for several years and block industry's crucial fund.
The regulator in its spectrum pricing recommendations for seven bands, including 700 Mhz and 800 Mhz, suggested a base price of Rs 2,873 crore per MHz for pan-India 1800 MHz frequency band - widely known as 2G spectrum. The new price is about 31% higher than the base price fixed by the government in March 2015 auction.
However, it can fetch bids worth about Rs 2,492 crore as just 21 Mhz quantum of spectrum is available for auction.
For 3G spectrum in 2100 band, Trai suggested pan-India base price of Rs 3,746 crore, which could be the second largest contributor attracting bids of about Rs 63,000 crore.
On spectrum held by the Defence, Trai said that if Defence shifts to the designated Defence Band and its assignment in all the circle is restricted to maximum 20 MHz, around 201 MHz additional spectrum can be made available for commercial purpose in 1800 Mhz band.
The Ministries of Telecom and Defence are currently working to harmonise spectrum which will free huge chunk of airwaves for commercial use.
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
 "trai")
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}
)
){kind=small}
){kind=small}
)
)
)
)
)
){kind=small}
){kind=small}
){kind=small}
){kind=small}
){kind=small}