Airtel is offering 3G services in the circles where it did not win 3G spectrum in the auction. It is doing this by using the 3G spectrum of Vodafone or Idea available in that circle. The same is being done by Vodafone and Idea in the circles where they do not have 3G spectrum. The TRAI objected to this since it is violation of license rules.It held that if such arrangements are permitted, “ it can lead to a situation where operators, after entering into commercial agreements for use/leasing of spectrum, will launch any type of services on intra circle roaming, without having the commercial rights to use the spectrum in that particular service area.” DoT also agreed with this view and sent it for the view of the law ministry.It’s access wing ruled that Operators should not offer 3G services, declare tariff plans and acquire customers for the service areas where they have not secured 3G spectrum. It is understood that the law ministry approved this view on 17/11/2011.
Now the issue is what action should be taken against Airtel, Vodafone and Idea. The DoT, as per news paper reports, wants the companies to terminate their roaming agreements and stop giving 3G services in areas where they do not have 3G spectrum. But how this can be sufficient? If the license condition is violated, the license itself should be cancelled.
But the Airtel, Vodafone and Idea are arguing that their 3G roaming agreements are as per the clarifications issued by the DoT. But the DoT told that it is not correct. Intracircle roaming (provision of services by one operator in the home circle using the network of the other operator in that circle) is allowed within the circle where the operator does not have 3G network coverage, for only those services which are available in his home network. This means if an operator has 2G spectrum in a circle and not yet established its network, it can use the network of other operator to provide 2G services. But if the operator has no 3G spectrum in that circle, he should not offer 3G services in that circle using the network of the other operator having 3G spectrum.
Yesterday, on 18/11/2011, Sri Sanjay kapoor, Chief Executive of Bharti Airtel, told at a meeting of the CII(Confederation Of Indian Industries), that with regulator and DoT acting like this, it is making life difficult for the private operators and the investors are loosing confidence.
This means the private operators and the investors with them will feel life comfortable only when they are allowed to violate the rules for their benefit! The licenses of these private operators resorting to such illegal activities should be cancelled.
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