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The Indian Council for Research on International Economic Relations (ICRIER) has recently released a working paper in collaboration with the Broadband India Forum (BIF), focusing on the spectrum assignment in India’s satellite communication sector. The paper, authored by ICRIER and Prof Rekha Jain, critically examines the implications of assigning satellite spectrum through auctions and highlights the shortcomings of this approach in achieving spectrum management and regulatory objectives.

According to the authors, satellite spectrum is a shared resource, and the current auction-based models for its assignment are limited in both empirical evidence and practical implementation. Instead, the authors propose an administrative assignment of space-based communication spectrum on a shared basis, following international best practices.

Satellite communication plays a crucial role in realizing Digital India’s objectives of widespread broadband penetration and improved satellite TV services. Unlike the allocation framework for mobile and terrestrial broadcast services, satellite spectrum requires a tailored assignment strategy that maximizes its utility as a shared resource.

The paper emphasizes that auctioning satellite spectrum could create challenges for industry participants, making it difficult to access spectrum and manage the burden of high auction prices. This outcome would compromise consumer interests and the overall health of the sector. The sentiment among space startups, satellite/broadcast operators, and service providers is strongly against the idea of satellite spectrum auctions.

The paper suggests that exclusive assignments through auction are ineffective in achieving spectrum management goals. Instead, it proposes the adoption of prioritization and coordination mechanisms for spectrum sharing within the framework of ITU Radio Regulations, tailored to the domestic context. This approach would ensure regulatory certainty, facilitate universal coverage, stimulate satellite sector growth, enhance the global competitiveness of Indian telecom companies, and preserve content diversity crucial for a robust democracy.

Key criteria for evaluating satellite spectrum assignments include effective utilization by service providers, facilitating competition without artificial scarcity or entry barriers, fair and transparent assignment processes, harmonization with international practices, maximal productive use of spectrum, and enabling the growth of the satellite sector in India while promoting global competitiveness of Indian telecom companies.

By reimagining the spectrum assignment process in India’s satellite communication sector, policymakers and stakeholders can create an inclusive and harmonious spectrum landscape that aligns with the country’s digital goals and strengthens its telecom industry.

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