For the first time in five years, the government has commenced the spectrum auction worth approximately Rs4 lakh cr on Monday. As per the data given by the Department of Telecommunications (DoT), major telcos have submitted an earnest money deposit (EMD) to the tune of Rs13,475cr for the spectrum auction.
Of the total, massive EMD was submitted by Reliance Jio (RJio) followed by
Bharti Airtel. RJio submits an EMD of Rs10,000cr, while Bharti Airtel puts Rs3,000cr and Vodafone Idea submits Rs475cr.
Further, the department highlighted that RJio has the highest eligibility points at 73007, while peers Airtel and
Vodafone Idea has 24924 and 6153 eligibility points respectively.
Through the auction, the Centre allows using of certain specified radio spectrum frequencies in the 700 MHz, 800 MHz, 900 MHz, 1800 MHz, 2100 MHz, 2300 MHz and 2500MHz Bands in various Licensed Service Areas (LSA).
The Centre plans to obtain a market-determined price of Spectrum in 700 MHz, 800 MHz, 900 MHz, 1800 MHz, 2100 MHz, 2300 MHz and 2500MHz bands through a transparent process. Also, to ensure efficient use of spectrum and avoid hoarding, while stimulating competition in the sector.
Notably, the designated 5G sale will take place later.
DoT further remarks that the telcos mentioned above are allowed to bid in any band in any LSA subject to EPs/EMD/Spectrum Cap.
At around 2.03 pm, Bharti Airtel was trading at Rs529.40 per piece down by 4.97% on Sensex. Meanwhile, Vodafone Idea performed at Rs11.02 per piece lower by 2.74% on the index.