DoT refuses Vodafone Plea for license extension in seven circles
The Department of Telecommunications (DoT) has rejected Vodafone’s request to extend the telecom major’s license for mobile services in the Delhi, Mumbai and Kolkata circles.
Vodafone applied for extending its licences in Kerala, Tamil Nadu, Haryana, Rajasthan, Uttar Pradesh East, Maharashtra and Gujarat under the licensing rules in 1995, when it received these licenses. Because of this, operators scrambled for the airwaves during the February sale, driving up the price in Mumbai and Delhi.
Statement said -
“DoT’s decision does not come as a surprise because it is consistent with the current policy. Vodafone and other operators like Idea Cellular whose licences expire next year will have no option but to acquire spectrum from the market. This will add to their costs.
DoT has said that clause related to extension of licences, companies should not read ‘may’ as ‘shall’ extend licence. Hence their request to extend licences have not been accepted by DoT.”
Vodafone should acquire fresh permits under the new Unified Licence regime and buy back spectrum during the next round of auction if it wants to continue operations in the seven circles of Kerala, Tamil Nadu, Haryana, Rajasthan, Uttar Pradesh (east), Maharashtra and Gujarat.