Top Story

e4m_logo.png

Home >> Media - Radio >> Article

Govt to announce 'partial auctions' for Phase III this week

09-December-2014
Font Size   16
Govt to announce 'partial auctions' for Phase III this week

Sources within the radio industry have confirmed that the government is planning to hold the Phase III FM auctions in a phased manner. It has been learnt that the first lot of frequencies to go under the hammer will be 68 leftover frequencies from the Phase II auctions. These also include 42 reference city frequencies, which is important to complete the migration process as per TRAI’s suggested formula.

Though no official statement has been made by the MIB or AROI (Association of Radio Operators for India), sources close to the development say an announcement to this effect is likely to be made by Wednesday. “There is some work being done on this end (partial auctions) and the MIB and finance ministry seem to have reached an agreement,” said a person familiar with the situation. Bimal Julka, Secretary, MIB, remained unavailable for comment.

Another source claimed the concept of partial auctions has already been approved and is just waiting for I&B Minister Arun Jaitley’s signature. “This is a good decision as it means the migration process of current players will be completed before the March 31, 2015 deadline,” said one industry insider, while confirming the news. Licenses of many operators will start expiring by March 31, which has lead to no small amount of uncertainty in the industry. The government, though, had earlier assured radio operators that the migration process would be completed before the deadline and this now seems possible with these phased auctions.

The auctions of the new cities being opened up for Phase III as well as new frequencies is expected to take place over the coming months once this batch of frequencies have been auctioned, though more details will likely be available post Wednesday.

It has also been learnt that TRAI is relooking at town classification on basis of the newer 2011 population census as well as the reserve prices of the new cities available for auctions. However, information on this is still sketchy.

Earlier, the MIB had rejected TRAI’s proposal to reconsider the reserve pricing in a move widely seen as the government’s reluctance to add more complexity and, hence, time to the auction process. But if the partial auction process is adopted then the government might have more time at hand to complete the auction and a relook at reserve prices for the new cities could be feasible. Stay tuned for more details.

Tags Radio FM Phase III FM Bimal Julka Abhinna Shreshtha

Vijay Mansukhani, speaks to exchange4media about the resurgence of Onida, the scope of growth of consumer electronics market in India and the reasons why Indian consumer electronics brands don’t compete on a global scale

Projjol Banerjea opens up about hiring Anne Macdonald and GroupM's Rob Norman, and the brand's new identity

Meera Iyer tells exchange4media that in FY 2016/17, bigbasket clocked a revenue of Rs 1,400 crore. The online supermarket currently stands at 70,000 orders a day, with operations in 25 cities.

CMO, Kashyap Vadapalli on the start-up’s marketing play, why it has decided to stay away from IPL and response to its furniture rental apps

The campaign, featuring brand ambassador Farhan Akhtar, exhorts consumers to showcase their achievements through the walls of their homes.

We list a few important stories that you may have missed in the week gone by

The campaign takes the narrative forward to persuade prospective investors to invest in mutual funds