Lok Sabha Question No. 5549 (UNSTARRED), answered on 2022-04-06
Subject: Reform in Telecom Sector
Ministry: COMMUNICATIONS
Asked by: Raghu Ramakrishna Raju Kanumuru, Kotha Prabhakar  Reddy, Geetha Viswanath Vanga

## GOVERNMENT OF INDIA MINISTRY OF COMMUNICATIONS DEPARTMENT OF TELECOMMUNICATIONS

## LOK SABHA UNSTARRED QUESTION NO. 5549 TO BE ANSWERED ON 6 TH  APRIL, 2022

## REFORM IN TELECOM SECTOR

## 5549.   SHRI KANUMURU RAGHU RAMA KRISHNA RAJU: SHRI KOTHA PRABHAKAR REDDY: SHRIMATI VANGA GEETHA VISWANATH:

Will the Minister of COMMUNICATIONS be pleased to state:

(a) whether the Government has initiated any reform in the Telecom Sector and if so, the details thereof;

(b) the details of the progress made in 4G/5G/6G technology along with the growth and job opportunities therefrom;

(c) the  steps  being  taken  for  required  spectrum  auctions  to  be  conducted  in  future  to facilitate rollout of 5G mobile services; and

- (d) the details of the progress made so far in this regard and if not, the reasons therefor?

## ANSWER

## MINISTER OF STATE FOR COMMUNICATIONS (SHRI DEVUSINH CHAUHAN)

(a) The government has approved structural and procedural reforms in the telecom sector on 15 th September 2021. These reforms include Rationalization of Adjusted Gross Revenue; Rationalization  of  Bank  Guarantees(BGs);  Rationalization  of  interest  rates  and  removal  of penalties; Dispensing with the requirement of BGs (for auctions held henceforth) to secure instalment  payments;  Increasing  spectrum  tenure  from  20  years  to  30  years(in  future auctions); Permission  for surrender of spectrum  after  10 years (in future auctions); Dispensing with the requirement of Spectrum Usage Charge (SUC) for spectrum acquired in future  spectrum  auctions;  Removal  of  additional  SUC  of  0.5%  for  spectrum  sharing; Permission  for  100%  Foreign  Direct  Investment  (FDI)  in  telecom  sector  under  automatic route subject to safeguards; Fixed time for spectrum auctions (normally in the last quarter of every financial year); Requirement of licenses under 1953 Customs Notification for wireless equipment replaced with self-declaration; Permission for Self-KYC; e-KYC rate revised to only one Rupee; Dispensing with the requirement of fresh KYC for shifting from Prepaid to Post-paid  and  vice-versa;  Replacement  of  paper  Customer  Acquisition  Forms  with  digital storage  of  data;  Easing  SACFA  clearance  for  telecom  towers;  and  Addressing  liquidity requirements of the Telecom Service Providers by way of moratorium/deferment.

(b) As  per  the  information  provided  by  the  Telecom  Service  Providers  (TSPs),  4G mobile coverage has been provided to 98% of the population of India. This massive 4G rollout  has  boosted  economic  activities  across  the  country,  which  has  resulted  in  growth  and creation of job opportunities. As far as 5G is concerned, permissions have been accorded to Indian TSPs for conducting trials for use and applications of 5G technology. With a view to lead innovations in next phase of technology development, the Department of Telecommunications has constituted a Technology Study Group on 6G.

(c) & (d) The government has sought recommendations from the Telecom Regulatory Authority  of  India  (TRAI)  on  auction  of  spectrum  in  frequency  bands  identified  for International Mobile Telecommunications (IMT)/5G in India.

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