Will delink license from spectrum: Kapil Sibal

With the 2G scam still raging the political front, Telecom Minister Kapil Sibal on Saturday said the Centre has decided to delink license from spectrum under the new policy.

“We will delink licence from spectrum in the New Telecom Policy. The licence will be awarded on market-based pricing mechanism. TRAI (Telecom Regulatory Authority of India) will give recommendations on mechanism need to move towards a truly inclusive policy,” said Sibal.

“In future, the spectrum will not be bundled with licence. The licence to be issued to telecom operators will be in the nature of ‘Unified Licence’ and the licence holder will be free to offer any of the multifarious telecom services.

“In the event, the licence holder would like to offer wireless services, it will have to obtain spectrum through a market driven process,” he said.

The Minister said the government has proposed to cancel some licenses and issue new ones under the revised policy.

“Telecom is the fastest growing sector and we have achieved the objectives of the telecom policy. We are contemplating a new policy and we will be coming up with it sometime in 2011. We need directional shift from the old policy. The Government proposes to cancel some licences and new licences will be offered under the new policy,? Sibal said.

Earlier, on Jan 21, the Supreme Court had slammed Sibal for criticizing the Comptroller and Auditor General?s (CAG) estimate on the 2G scam loss, and asked the CBI (Central Bureau of Investigation) to continue its probe without being influenced by his remarks.

Sibal had termed as ?utterly erroneous? the CAG?s estimate that the exchequer had suffered loss of Rs 1.76 lakh crore due to wrongful allocation of 2G Spectrum.

Slamming the minister?s remarks, a bench of the apex court comprising justices GS Singhvi and AK Ganguly said, ?It is unfortunate.?

The court said a Union minister must act more responsibly while making statements.

It also asked the Central Bureau of Investigations (CBI) to continue its enquiry into the 2G Spectrum allocation scam, without being swayed by Sibal?s or any other person?s or agency?s statement.

Acting on a petition by former Law minister Subramaniam Sway, the SC has already issued notice to all 11 telecom firms who got spectrum during former Telecom minister A Raja’s tenure.

Raja had to quit office last year after a CAG report stated that the nation lost about Rs 1.76 lakh crore in 2G Spectrum allocation.