Cabinet today approved reserve price for auction of telecom spectrum in 800, 900 and 1800 Mega Hertz (MHz) bands. A decision in this regard was taken at the Cabinet meeting chaired by Prime Minister Narendra Modi in New Delhi.

According to an official release the reserve price in 800 MHz band will be Rs 3646 crore pan-India per MHz and in 900 MHz band, the price will Rs 3980 crore per MHz across the country excluding Delhi, Mumbai, Kolkata, and Jammu and Kashmir.

In 1800 MHz band, the government has approved the reserve price of Rs 2191 crore per MHz pan India excluding Maharashtra and West Bengal. The estimated revenues from this auction are Rs 64840 crore of which Rs 16000 crore is expected to be realized in the current financial year.

The auction aims at obtaining a market determined price of spectrum in various bands through a transparent process and ensure efficient use of spectrum and avoid hoarding.