The Prime Minister should have intervened 3 years ago in the Telecom Sector when 2G Spectrum Scam was happening, sit across the table with various stake holder and sort out the the issue without a Scam. [Well, this is how things are currently done in India, in my limited hands on experience in executing work for the Government in IT Sector]
For the past few months, their is an argument over the legality of 3G Roaming Arrangements the Telecom Operators have entered into in circles where they do not have 3G spectrum. Lets look into what the issue of contention is form both the sides,
DoT / TRAI / Govt agencies stand Stand Against the Current 3G Roaming Arrangement,
- National Security – Telcos not having 3G spectrum will not have their own interception system for tracking subscribers
- Loss of Revenue – Currently, telcos pay only 2G spectrum charges in their non?3G circles. If they had won 3G, they would need to pay 1% more
- Network QoS – Impact on network quality would be adverse as quantum of spectrum with each operator (5 MHz) is not sufficient for sharing.
Telecom Operators[Airtel, Vodafone and Idea Cellular] who have already invested Billions of Dollars upgrading their networks are seeking shelter in DoT’s responses to 3G pre?auction queries issued in February 2010
- Will intra circle roaming be allowed in areas where an operator does not have a 3G network? – DoT’s Response – At present, mandatory roaming is not part of the Government’s telecoms policy. Roaming arrangements are based on bilateral decision between operators.
- DoT order No. 842?725/2005? VAS/269 dated 12th June 2008 allows intra?circle roaming among UASL licensees. After 3G auctions, not all
existing UASL licensees will hold 3G spectrum in any licensed areas due to limited 3G blocks on offer. Will customers of UASL licenses who do
not hold 3G spectrum be allowed to roam on 3G networks of other UASLs in the same licensed area? DoT’s Response – The roaming policy is applicable to licences and not to specific spectrum bands. Hence, roaming will be permitted. However, at present, mandatory roaming or MVNO is not part of the Government’s telecoms policy. - Will intra?circle roaming be allowed for 3G and BWA? DoT’s Response – The provision for intra?circle roaming is as applicable to the service license, and is not different for/specific to the spectrum currently auctioned.
Most Indian Government Officials [Ministers & his impotent team] + Bureaucrats [DoT & TRAI Officials] are unfit to handle the rapidly growing economy and should be sent home without a second thought. The Government should have thought of Security and other aspects before auctioning the spectrum and not after the services have been rolled out. Was the Government intoxicated when they issued the above clarifications ? The Chiefs of Airtel, Vodafone and Idea Cellular in a letter directly addressed to the Prime Minister have demanded refund of 3G Auction fees along with interest and Network Costs. We will analyze what will be the implications of canceling 3G Roaming Arrangements in the next post.
Operators are Selling SIM / 3g Connections which is not legal and hence DoT is correct. They can only provide Roaming 3G Service with an operator who has spectrum in that circle.
Excellent Point. Telcos are selling the SIM under 2G license and then providing 3G Service. Telcos point out that 2G SIM Sale is legal and take shelter for 3G services under clarifications issued by the DoT in pre-auction. DoT is turning eyes red over the loss of revenue as SIM is sold under 2G and AGR is paid accordingly.
DoT should have defined “Intar Circle Roaming” which they didn’t but they take shelter under the clause that they can do anything for National Security. LOL