Spectrum auction-Reserve prices in NIA analysed

The government has set a cumulative reserve price of Rs 96,317.65 crore for the 10523.15 MHz worth of spectrum is put to auction. In the last round of auctions ending on August 1, 2022, the government had put up nearly 7-times more spectrum (72,098 MHz), in the Notice Inviting Application issued on March 8, 2023.

Eight spectrum bands are being put for auction, 800 MHz, 900 MHz, 1800 MHz, 2,100 MHz, 2,300 MHz, 2,500 MHz, 3,300 MHz, and 26 GHz bands. 700 MHz band has been kept out of the bidding for the upcoming auction.

800 MHz band. The reserve price of one of the most expensive bands, other being 900 MHz in the spectrum auction scheduled on May 20 has not been changed. Delhi has a reserve price of Rs 479 crore per MHz, followed by Mumbai (Rs 468 crore) and Kolkata (Rs 153 crore). This was the same in 2022. The reserve price has only been increased in J&K.

900 MHz band. Similarly, Delhi (Rs 436 crore), Mumbai (Rs 389 crore), and Kolkata (Rs 153 crore) have the same reserve prices as the preceding auction. The reserve price has been increased in Assam, Northeast and J&K by 12-14%.

1,800 MHz band. While Delhi has the same reserve price of Rs 270 crore as in 2022, the price in Mumbai has been raised to Rs 264 crore, up 12 per cent from Rs 239 crore. In Kolkata, the price has been raised to Rs 109 crore for the latest auction, up from Rs 97 crore in 2022, again a 12 per cent rise. There is a significant increase in UP-East circle, the reserve price is 102% higher (at Rs 184 crore). This takes the reserve price to Rs 2,337 crore (10.4% more) per unit for the 1,800 MHz band.

2,100 MHz band. While the reserve price in Delhi, Gujarat and Karnataka have gone up 12 per cent to Rs 251 crore, up from Rs 224 crore, the prices for Mumbai (Rs 196 crore) and Kolkata (Rs 80 crore) have remained the same.

2,300 MHz and 2,500 MHz bands. There has been no change in reserve prices in the 2,300 MHz (Rs 443 crore per unit) and 2,500 MHz bands.

3,300 MHz, and 26 GHz bands. The base or reserve prices after the increase are Rs 355 crore (12% more) per unit for the 3.3 GHz band, Rs 7.6 crore (9% more) per unit for the 26 GHz band.

CT Bureau