COAI accuses government of giving “undue benefit” to Mukesh Ambani’s RIL

Strongly criticizing the Indian government's recently-announced policy to permit Internet service providers (ISP) with broadband wireless access (BWA) spectrum to offer voice services by paying a Rs. 1,658 licensing fee, the Cellular Operators Association of India (COAI) has urged the government to rethink its decision.

According to the COAI, which is a lobby group for GSM-based mobile service providers, the policy announced by the Telecom Commission on February 18 will give "undue benefit" to Mukesh Ambani's Reliance Infotel
(RIL).

With Mukesh Ambani-led Reliance Jio Infocomm (RJI), Augere, Tikona Digital having secured BWA spectrum in 2010 auction, the COAI is of the opinion that the Telecom Commission's decision - which is yet to be approved by Telecom Minister Kapil Sibal - will give these companies the advantage of offering mobile phone service using BWA spectrum, if they want.

In a letter to Department of Telecommunications (DoT)'s Secretary R. Chandrashekhar, the COAI said that "the BWA spectrum was offered and acquired in 2010 under ISP licence on the basis that it cannot be used for voice services."

Noting that the "conditions of auction are legally binding," the COAI further said in the letter that any attempts on the part of the government to review the terms of the auction for granting "an enhancement in the scope of service" would be illegal.

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