Soon, India will have access to internet services directly from space. A crucial step in this process has been completed, meaning companies like Elon Musk’s Starlink, Eutelsat OneWeb, and Reliance Jio can now offer satellite internet services in the country. According to a Business Standard report, the Digital Communications Commission (DCC) has approved the Telecom Regulatory Authority of India’s (TRAI) recommendations regarding satellite spectrum allocation.
Officials indicate that satellite service providers are likely to be allocated spectrum for a period of five years. However, they will be required to pay a Spectrum Usage Charge (SUC) amounting to 5% of their Adjusted Gross Revenue (AGR). Conversely, companies providing satellite connectivity in rural and remote areas may be liable for a lower SUC.
TRAI Aims to Make Internet Affordable
Starlink, Eutelsat OneWeb, and Reliance Jio had been awaiting clarity on spectrum allocation to launch commercial satellite broadband services in India. Notably, Starlink has already secured the license to provide satellite broadband services in the country and has established the necessary ground infrastructure to meet regulatory requirements.
In May of last year, TRAI released its recommendations regarding spectrum allocation for select satellite-based commercial communication services. The regulator recommended that the annual minimum spectrum charge for GSO/NGSO-based fixed satellite services and GSO/NGSO-based mobile satellite services be set at ₹3,500 per MHz. It further recommended that the annual spectrum charge be calculated based on the higher of two figures: 4% of the AGR or the annual minimum spectrum charge. Aiming to provide affordable internet access
The regulator is placing special emphasis on ensuring that this crucial connectivity is available to ordinary users at affordable rates. TRAI stated, “The Authority believes that high minimum spectrum charges could adversely affect small satellite operators and entities utilizing spectrum for essential services—such as defense, emergency communications, public utilities, and connectivity in remote areas. High fees could deter these operators from adopting spectrum, potentially impacting market entry, investment in critical sectors, and the expansion of services to underserved regions.”
