New Delhi, May 25
1. INTRODUCTION
● As per GSMA, India is on its way to becoming the second-largest smartphone market globally by 2025 with around 1 Bn installed devices and is expected to have 920 Mn unique mobile subscribers by 2025 which will include 88 Mn 5G connections. It is also estimated that 5G technology will contribute approximately $450 Bn to the Indian Economy in the period of 2023-2040.
2. REFORMS ENABLING 5G ROLLOUT
● Under the leadership of Hon’ble Prime Minister, a series of reforms have been undertaken by the Department to enable faster rollout.
● Starting from TRAI recommendations and up to frequency allocation, everything was done in a record time of 128 days. Thereafter within a span of 50 days, the services were successfully launched by the Hon’ble PM on
01-10-2022.
● With an intention to promote quick speed rollout of 5G networks and to improve digital connectivity in the country, the Government has taken the following steps:
○ Procedure for SACFA clearance for Low Power Base Transceiver Station (BTS)/ small cells i.e Micro, Pico and Femto cells on existing street furniture/infrastructure has been simplified.
○ Procedure for application and time-bound permission for usage of street furniture for installation of small cells and telegraph line has been specified in Indian Telegraph Right of Way (Amendment) Rules, 2022.
○ GatiShakti Sanchar portal has been launched to facilitate and expedite Right of Way permissions, by providing a single interface between all stake holders including Central and State/UT Government(s), Local bodies, and Service Providers.
3. 5G ROLLOUT MILESTONES & IMPACT
● This has been the fastest technology roll-out in the country. Lately TSPs have been installing about 10000 BTS every week.
● By the end of March, services were available in 500 cities across the country and as on date the 5G network has reached more than 3000 cities distributed across 685 districts.
https://www.ericsson.com/en/reports-and-papers/mobility-report/closer-look
Annexure I
Government has approved multiple structural and procedural reforms in the telecom sector including:
i. Rationalization of Adjusted Gross Revenue;
ii. Rationalization of Bank Guarantees (BGs);
iii. Rationalization of interest rates and removal of penalties;
iv. Dispensing with the requirement of BGs to secure installment payments;
v. Increasing spectrum tenure from 20 years to 30 years;
vi. Permission for surrender of spectrum after 10 years;
vii. Dispensing with the requirement of Spectrum Usage Charge (SUC) for spectrum acquired in future spectrum auctions;
viii. Removal of additional SUC of 0.5% for spectrum sharing;
ix. Permission for 100% Foreign Direct Investment (FDI) in telecom sector under automatic route subject to safeguards;
x. Fixed time for spectrum auctions (normally in the last quarter of every financial year);
xi. Requirement of licenses under 1953 Customs Notification for wireless equipment replaced with self-declaration;
xii. Permission for Self-KYC;
xiii. e-KYC rate revised to only one Rupee;
xiv. Dispensing with the requirement of fresh KYC for shifting from Prepaid to Post-paid and vice-versa;
xv. Replacement of paper Customer Acquisition Forms with digital storage of data;
xvi. Easing SACFA clearance for telecom towers; and
xvii. Addressing liquidity requirements of the Telecom Service Providers by way of moratorium/deferment.
