Telcos to pay 33% upfront payment in 2100 Mhz band: DOT

New Delhi: The department of telecommunications (DoT) on Friday stated that telecom operators will have to pay an upfront payment of 33 per cent after winning spectrum in 2100 MHz band in the auction starting March 4.

According to the details issued by the DoT for 2100 MHz band, it will auction 5 Mhz of spectrum in this band across 17 out of 22 service area at a pan-India base price of Rs 3,705 crore per Mhz.

One block of 5 MHz has been put for auction in all service areas except Jammu & Kashmir, Bihar, Himachal Pradesh, West Bengal and Punjab. The government is expecting revenues of about Rs 17,555 crore from auction of spectrum in 2100 MHz band.

Only one entity will be able to win 2100 MHz spectrum in one service area, according to DoT.

The last date for submitting applications is February 16.

The auction from March 4 will also include spectrum from 800, 900 and 1800 Mhz band and the government expects to earn Rs 1 lakh crore from the sale of spectrum.

For 1800 MHz also, 33 per cent upfront payment will have to be made and 25 per cent for 900 and 800 Mhz spectrum band. After the upfront payment, there will be a moratium for 2 years.