Govt's has announced its plan to release additional airwaves for FM Radio channels 264 new cities across the country. The government has already approved first batch of the radio frequency auctions in for 69 cities and 135 channels under phase-III.
"The first batch auction will pave the way for FM Phase-III regime, which will bestow many new facilities on the operators. In Phase-III, licence will be for 15 years as against 10 years in Phase-II. Total FDI/FII allowed in new regime is 26 percent as compared to 20 per cent in Phase-II," said Information and Broadcasting ministry.
TRAI has already given its recommendations on reserve price for the much-delayed auction of FM radio channels in 264 new cities. Trai has recommended reserve prices of Rs 3.1 core for FM radio channels in C-category cities and Rs 1.23 crore category D. The reserve price for 11 border cities in J&K and Northeast has been set at Rs 5 lakh per channel.
The Phase-III expansion for FM Radio broadcasting aims at the introduction of private FM Radio channels in 253 new cities having a population of more than 1 lakh. It also includes 11 more cities in the boarder area which has the population less than 1 lakh located in J&K and North East. Govt plan to auction around 831 FM radio channels across 264 new cities in the country.