Issues in Spectrum Allocation and Pricing in India. (Deepak Ashish Kaul, Jt. CCA.)

ISSUES IN SPECTRUM ALLOCATION AND PRICING IN INDIA.
(Deepak Ashish Kaul, Jt. CCA.)
Radio frequency spectrum is a limited natural resource. The word ‘Spectrum’ basically refers to a
collection of various types of electromagnetic radiations of different wavelengths. In India, the radio
frequencies are arbitrarily confined between 9kHz and 3000 GHz and are being used for 40 different
types of services like fixed communication, mobile communication, broadcasting, radio navigation,
radiolocation, fixed and mobile satellite service, aeronautical satellite service, radionavigational
satellite service etc.
Some of the important and typical characteristics of the radio frequency spectrum are as below.
1. Radio frequency spectrum does not respect international geographical boundaries as it is
spread over a large terrestrial area.
2. Use of radio frequency spectrum is susceptible to overlapping interference and requires the
application of complex engineering tools to ensure interference free operation of various
wireless networks.
3. Unlike other natural resources, radio frequency spectrum is not consumed upon its usage. It
is also liable to be wasted if it is not used optimally and efficiently. Radio frequency spectrum
usage is therefore to be shared amongst the various radio services and must be used
efficiently, optimally and economically in conformity with the provisions of national and
international laws.
The limitation of the radio frequency spectrum is mainly due to the following factors.
1. Propagation characteristics of different types of radio waves.
2. Availability of technology and equipment for different types of radio frequency spectrum
applications.
3. The suitability of frequency bands for specific applications.
ALLOCATION OF SPECTRUM
The International Telecommunication Union (ITU) at the World Radiocommunication Conferences
allocates spectrum frequencies for the use of various countries. Allocations are made on a regional
basis and for different types of services. It is mandatory for all administrations to adhere to these
allocations. For the purpose of spectrum allocation, each member country submits its proposals to
ITU, based on their requirements and priorities for opening of the bands. During the conference all
the proposals are discussed and decisions are taken for opening of the bands for new services or
extension of the existing bands. These decisions are reflected in the International Frequency
Allocation Table of radio regulation and other regulatory provisions for use of bands, which forms
the basis for allotment by the member countries.
Need for spectrum allocation: Spectrum allocation is necessary in order to ensure interference free
operation for each radio service. Each frequency band is shared amongst various radio services but
the sharing is possible only with the use of similar systems. Sharing is also possible by way of
geographical separation, time-sharing and through technical solutions like smart antenna and
intelligent radio system.
NATIONAL FREQUENCY ALLOCATION PLAN: 2002.

The National Frequency Allocation Plan (NFAP) forms the basis for development and
manufacturing of wireless equipment and spectrum utilization in the country. It contains the service
options in various frequency bands for India and also provides the channeling plan in different
bands. Some of the typical frequency bands allocated for certain types of radio services in India are
as given below:
Sr. Radio Service Frequency Band

1 Radio Navigation 9 – 14 kHz
2 Mobile (Distress & Calling) 495 – 505 kHz
3 Broadcasting 535 – 1605.5 kHz
4 Maritime Mobile 2065 – 2107 kHz
2170 – 2178.5 kHz
2190.5 – 2194 kHz
5 Fixed, Mobile, Broadcasting Radio Astronomy 610 – 806 MHz
6 Mobile, Fixed, Broadcasting 890 960 MHz
7 Mobile satellite 942 – 960 MHz
8 Radio Location 1350 – 1400 MHz
9 Mobile, Fixed, Space operation, space research 1710 – 1930 MHz
Spectrum and Mobile telephone services:

Mobile telephone service providers in India use GSM and CDMA technologies. GSM technology
works in the frequency bands of 900 and 1800 MHz in India and CDMA technology works in the
800 MHz band. 800, 900 and 1800 MHz bands were earlier allotted to the defence services for their
mobile communication usage. However, upon the launch of mobile communication services for
public, coordination was sought from the defence department to make the spectrum available for
mobile services. Since the mobile communication technologies provide international roaming
facilities, it is essential to allocate spectrum in the common bands which are being used the world
over. Also, the mobile handsets being used are imported hence conform to the GSM 900/1800
bands. If radio frequencies are allotted in other bands then handsets will not be compatible with it
and new handsets will have to be developed which will be costlier and therefore the cost of mobile
communication services will also increase.
Presently, 25 MHz spectrum in 900 MHz band (890 – 915 / 935 – 960 MHz) and 75 MHz in the
1800 MHz band (1710 – 1785 / 1805 – 1880 MHz) is earmarked for GSM services. However, out of
this total 100 MHz, only 15 MHz in GSM 1800 band is available for use as the remaining 60 MHz is
still to be vacated by the defence department. Also out of the total 25 MHz in GSM 900 band, a
total of 20.2 MHz is available for GSM networks and Railways’ train safety systems. The minimum
amount of spectrum required for launching GSM services is 2 x 4.4 MHz. Presently, the government
has allotted a cumulative maximum spectrum of upto 4.4 MHz in GSM 900 and 1800 MHz band to
mobile operators.
For CDMA services, 20 MHz spectrum in the 800 MHz band (824 – 844 / 869 – 889 MHz) is
available. In this 20 + 20 MHz spectrum, 14 CDMA carriers of nominal 1.25 MHz each are possible
for assignment to service providers.
Spectrum for the roll out of 3G services (voice, data and video) will be allotted through e auction in
the 2.1 GHz (1920 – 1980 / 2110 – 2170 MHz) band. However, the spectrum required for the
launch of 3G services is yet to be vacated by the defence department.
SPECTRUM ALLOTMENT PROCEDURE:
In the case of licensed telecom service providers spectrum was initially allotted in accordance with
the relevant provisions of the service license agreements. However, due to an exponential increase in
the number of mobile subscribers additional spectrum is required by the mobile operators. Serving a
larger number of subscribers requires, either a larger amount of spectrum or an increase in the
number of base stations. Therefore, additional spectrum is required at some stage as a techno
economic solution to meet the growth of mobile services. Department of Telecommunications has
evolved guidelines for the allotment of extra spectrum, based on the justification and fulfillment of
the prescribed criteria. The subscriber-based criteria have been formulated taking into account
demographic characteristics of different categories of service areas, average traffic per subscriber,
number of base stations in a specified area etc. Spectrum is allotted subject to completion of co-
ordination and availability at a particular location.
As spectrum is a scarce resource, its equitable allotment for systems using different technologies
seems to be the solution. The government while formulating its spectrum policy should try to create
a flexible and technology neutral regime to allow new technologies equal access to spectrum. It
should also enable market mechanisms to promote efficient use of spectrum by developing market
incentives and differential pricing of spectrum in congested areas. Also auctions or fixed fee access
can ensure that spectrum ‘owners’ will want to minimize the quantum of spectrum. The government
may also permit public and private users to trade spectrum to allow new users access to spectrum
and to provide them with possibilities to move to another non – wireless media or other frequency
bands if possible. It can also mark off specific public and private use segments of spectrum and try
to bring about transparency and openness in the spectrum allotment process so that this scarce
natural resource is put to it optimal use in a more efficient manner.
(The views expressed herein are those of the writer and may not be taken as those of the
Government.)

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ISSUES IN SPECTRUM ALLOCATION AND PRICING IN INDIA.

(Deepak Ashish Kaul, Jt. CCA.)

NATIONAL FREQUENCY ALLOCATION PLAN: 2002.

Sr. Radio Service Frequency Band

Spectrum and Mobile telephone services:

SPECTRUM ALLOTMENT PROCEDURE:

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