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Telcos stare at long wait for defence spectrum

The government is racing against time to meet milestones for it

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After intense pressure from the telecom operators, the Department of Telecom (DoT) has got into race mode to expedite the process of freeing up spectrum held by the defence but it is racing against time to fulfill all conditions for it.

It has begun by drafting a cabinet note for creation of defence band and defence interest zone (DIZ), which are part of milestones to be achieved for release of 5 MHz in the 1920-1980 MHz (3G) band by the defence, but it could well get stuck on its various other commitments.

DIZ, as defined in the draft note, is an area up to 50 km (excluding cities) from international borders, line of control/line of actual control, areas of specific interest and areas of counter insurgency and counter terrorism operations.

Promulgation of defence band and DIZ is only one of the criteria for vacation of spectrum from the defence. The DoT also has to place orders for equipment, operationise the AF network and waive off spectrum charges for the defence forces.

The Ministry of Defence (MoD) and DoT have already identified defence band in the frequency band of 1700-2000 MHz and the DIZ will be notified once the cabinet approves the draft document.

The DoT will next move on submitting a proposal to the cabinet to waive off charges for spectrum held by the defence.

"The GoM (group of ministers) in its meeting held on February 6, 2009 and HLMC (high-level monitoring committee) in the meeting held on August 20, 2010 decided that the spectrum charges for the defence networks may be waived off. Separate proposal will be submitted for the approval of the cabinet on the waiver of spectrum charges payable by defence," says the draft cabinet note.

However, even if these two proposals are cleared, the DoT would also have to place equipment orders and operationise the AF network, which at present seems daunting with the ordering of the crucial equipment stuck due to a stay order from the Delhi High Court.

The government has entrusted the job of laying 40,000 route km of fibre in core network and 20,000 route km of fibre in access network to the state-owned BSNL. This optical fibre cable (OFC) network will be dedicated for exclusive usage of defence. It will connect 219 stations of Indian Army, 33 stations of Navy and 182 stations of Airforce.

The BSNL has, however, bungled up the whole process by ignoring the government's Preferential Market Access (PMA) policy while inviting bids for equipment supply. Miffed by irregularities, affected parties have challenged the BSNL's tendering process in the court.

In a meeting on early this year for review of the NFS project, BSNL had committed to complete the process of tendering by October. However, with a court case now, the whole process could drag endlessly. The next date for the hearing of the case has been fixed for November 1.

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