DoT may cut upfront payment for spectrum auction, usage charges

The Department of Telecommunications (DoT) is considering a raft of changes to ease operators’ financial burden from auction of airwaves. Key steps include reducing upfront payment, increasing the tenure of annual payments to 18 years and reducing spectrum usage charges (SUC), said a senior government official. “The department is aware of stress in the sector and one will have to look at ways to ease the financial burden. At the time of buying spectrum, telcos may be asked to pay a lower upfront payment, payment schedules can further be extended from 16 years to 18 years. Other areas like SUCs can be brought down as well,” said the DoT official who did not want to be identified.