Delay in Satellite Broadband spectrum allocation- Unable to connect – Spectrum allocation is holding up satellite broadband

Source: The post Spectrum allocation holding up satellite broadband has been created on the article “Unable to connect – Spectrum allocation is holding up satellite broadband” published in “Business Standard” on 27th November 2023.

UPSC Syllabus Topic: GS Paper2- Governance- Issues arising out of the Design and Implementation of Govt policies.

News: The article highlights delays in satellite broadband spectrum allocation encountered by companies like One Web India (backed by Bharat Airtel Group) and Reliance Jio. At present, India lacks a clear policy framework for spectrum allocation for satellite broadband.

What is Satellite Broadband?

Satellite Broadband refers to internet access provided through communication satellites. It holds the promise of providing internet connectivity for a vast majority of citizens, especially in remote areas like hilly terrains, dense forests, etc.

What is Spectrum Allocation? How is spectrum allocated in India?

Spectrum allocation is the process of dividing the radio frequency spectrum into different frequency bands and assigning them to different users and services. Given that spectrum is a limited resource, it needs to be allocated judiciously to ensure users do not interfere with each other.

In India, spectrum is allocated either through the method of auctions, lotteries or administrative allocation.

Note – Under an auction model, companies bid for spectrum above the reserve price set by the state allocating such spectrum, whereas, in administrative allocation, the state allocates spectrum to qualified communications companies

What challenges are being faced by Satellite broadband companies in spectrum allocation?

1. Lack of spectrum allocation strategy- Delay on part of TRAI to recommend the method/strategy to be followed while allocating the spectrum.
2. Divided house on the spectrum allocation strategy- Companies like Reliance Jio have been advocating an auction strategy for a level playing field. However, companies like One Web India and Starlink favour administratively allocation of spectrum, considering international trends and non-feasibility of auction in space communication.
3. Lack of clarity on allocation to foreign firms- Government has not formulated the guidelines for the allocation of spectrum licences to foreign firms like Starlink, which have already pioneered the satellite broadband technology.
4. Vacant position of TRAI Chairman- TRAI Chairman has the power to issue recommendations on spectrum guidelines. However, vacancy in the post for the last few months has resulted in further delay in finalisation of a spectrum policy for satellite broadband.

What should be done going ahead?

1. Earliest appointment of TRAI Chairperson- The government is considering private sector candidates to fill the post, which would require an amendment to the TRAI Act. This must be done expeditiously to ensure no further delays in the body’s functioning.
2. Acting in unison- Government departments like Department of Telecommunications (DoT), TRAI etc. must act in unison to ensure seamless formulation and implementation of spectrum allocation policies.
3. Learning from International experience- Globally, satellite broadband spectrums have been allocated through the administrative allocation method, which is considered a more equitable method of allocation. India can also consider its adoption to allocate spectrum.

These steps are necessary to enable early launch of spectrum broadband in India and further the vision of a ‘Digital India’

Question for practice

“Delays in Government policy formulation and implementation have adversely affected the development potential of the country”. Critically analyse the statement with reference to government’s delay in spectrum allocation to satellite broadband.