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Raja non-committal on BSNL listing

A Raja, who has returned as the communications and IT minister in the current UPA regime, has promised continuity in government initiatives across the sector.

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A Raja, who has returned as the communications and IT minister in the current UPA regime, has promised continuity in government initiatives across the sector.

This, despite the controversies surrounding telecom policies, mainly on allocation of 2G (second generation) spectrum to telcos without opting for auction during his previous tenure as communications minister.

PM Manmohan Singh is believed to have been against re-appointing Raja, but changed his mind due to compulsions of coalition politics.

When asked for his view on the recent Delhi High Court observation that 2G (second generation) telecom spectrum was sold like cinema tickets on first-come-first-serve basis, Raja was quite dismissive and said the government would contest it.

Specifically to a question on whether the Department of Telecommunications (DoT) would now look at auctioning 2G spectrum, Raja said any decision would be taken after consultation with the Telecom Regulatory Authority of India (Trai).

He said the process for auctioning 3G spectrum would be completed by the end of the year.

Defending his policies, Raja told the media there is already an environment of “healthy competition” as several new operators were permitted to enter the telecom sector during his previous regime. “Once the new players start their operation, tariffs would drastically fall,” he said.

Raja was non-committal on whether Bharat Sanchar Nigam Ltd (BSNL) would be listed. “We have to talk to the BSNL union and arrive at a consensus first. Also, we will have to review the entire business modality of BSNL,” the minister said. On the issue of a proposed merger between BSNL and Mahanagar Telephone Nigam Ltd (MTNL), Raja indicated that it was not legally tenable.

On the delay in BSNL’s mega tender for mobile telephony, Raja said he is yet to examine the matter.

On Bharti’s talks with South African telco MTN for a proposed merger, he said, “I will discuss the issues involved with my officers.”
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