The central government is working to bring a fresh and updated National Frequency Allocation Plan (NFAP). This is a central policy that gives a broad overview of how the spectrum will be given to the companies across sectors such as telecom, broadcasting, and space. According to a Business Standard report, the government is working on an updated version of the NFAP. There has been a lot of confusion over how spectrum should be allocated to the space communication players as well as how private players looking to build captive 5G networks should get it.
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The draft telecom bill is still in the works and is likely going to be introduced in the coming months. One of the most confusing and debated issues related to the draft telecom bill is how the satellite spectrum should be given. There are some with the view that it should be allocated administratively and some believe it should be put through the auction to create a transparent process.
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The updated NFAP is also expected to open up fresh spectrum bands for the auction process. During the last spectrum auction, for the first time, the government offered airwaves in the 26 GHz and the 3.5 GHz bands for the bidding. For the unaware, TRAI has already floated a consultation paper around the use of E and V spectrum bands by the telcos for communication purposes.
Last time around, the government administratively allocated the E band to the telcos. But this spectrum isn't meant to be used for commercial purposes. It is only meant to help with backhaul. As per the report, the government is planning a new round of spectrum auction in the current financial year. How that will play out is something we will have to wait and watch.
