Telecom companies can swap frequencies in same band after 2G auction

NEW DELHI: Mobile phone companies that win spectrum in the upcoming auction will be able to swap frequencies within the same band. This would allow telcos to barter frequency spots to cover up patchy network in circles where there may not be contiguous spectrum after the airwaves are allotted.

"Companies who win spectrum in the auction will be able to exchange frequency spots among themselves within a same band after they take permission from the wireless planning and coordination wing after they pay the full price of the spectrum. This will help companies in case there are areas where spectrum in not contiguous," a senior official in the telecoms ministry told ET.

The telecom department has told mobile phone companies that it will auction 2G airwaves from November 12. According to the telecom department's information memorandum, the official document that lists out the auction rules, eligibility criteria and the number of units of airwaves that can be put to auction, 5 units of contiguous spectrum is not available in 10 of the 22 service areas across the country. Some of the nine mobile phone companies that lost their licences after the February 2 Supreme Court verdict that could bid in the auctions have sought continuous spectrum to offer mobile services.

DoT assured the industry last week while issuing additional clarifications to queries from possible bidders that 'frequency reconfiguration' within the same band could be carried out when the entire spectrum held by the operators was liberalised. Further, telcos would not be charged for undertaking the exercise.