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Cabinet approves Rs 3705 cr as base price for 3G auction

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The Cabinet today approved a reserve price of 3,705 crore rupees per megahertz (MHz) for 2100 Mega Hertz band for auction. This will be used for 3G mobile services. Briefing reporters after the Cabinet meeting, Communication and IT Minister Ravi Shankar Prasad said that a 5 MHz band in this category will be offered in all service areas except Jammu and Kashmir, Bihar, Himachal Pradesh, West Bengal and Punjab. He said, these band will be auctioned along with 800, 900 and 1800 MHz bands.

AIR correspondent reports that the auction in 2100 MHz band is expected to fetch 17555 crore rupees and out of which 5793 crore rupees will be realized in the current fiscal. The process of auctioning of all four category of bands is scheduled to start from 4th of March this year. According to sources, the government has estimated a revenue of one lakh crore rupees from the auction of all the four bands.

The Cabinet also reconstituted the Empowered Committee to for setting up Semiconductor Wafer Fabrication (FAB) manufacturing facilities in the country. An official release said that the seven member committee will be headed by Dr. V.K. Saraswat who is the member of NITI Aayog. Besides, Dr. K. Radhakrishnan, Former Chairman, Indian Space Research Organisation, Secretary, Department of Expenditure and Secretary, Department of Industrial Policy and Promotion are among the members of the committee.

The setting up of FAB units is a critical pillar required to promote Electronics System Design and Manufacturing in the country. It will stimulate the flow of capital and technology and create employment opportunities. Government had constituted the Committee in 2011 to identify technology and investors and to recommend incentives to be provided to set up two FAB facilities in the country.

The Cabinet also gave its approval for entering into a Memorandum of Understanding (MoU) between the Tourism Ministry and the Ministry of Tourism of Government of the Sultanate of Oman for strengthening cooperation in the field of tourism. The MoU also aims at expanding bilateral cooperation in the tourism sector and exchange information and data related to tourism.

"Mann Ki Baat-Part IV"
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27th Jan 2015

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