Vodafone says DoT’s rejection to licence renewal had ‘several fundamental flaws’

Vodafone says DoT’s rejection to licence renewal had ‘several fundamental flaws’
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Vodafone has continued to flay the telecom department for not granting extension to its licence.

Vodafone has lashed out at the Department of Telecommunications (DoT) for rejecting its application for renewing spectrum licence. The operator also alleged that the DoT’s rejection suffered from “several fundamental flaws, contradictions and jurisdictional errors”. Vodafone also made it clear it never sought ‘free’ licence renewal.

Vodafone India resident director (regulatory affairs and government relations) TV Ramachandran in a letter to the telecom department said the rejection also suffers from “errors apparent on the face of the record, which have rendered the said rejection legally unsustainable”.

“While you state that consideration for extension is subject to new terms and conditions, no such terms have been provided, thus demonstrating that DoT has not even considered as contemplated in Clause 4.1 of our licence…” the letter said.

The operator also accused the DoT of ‘misinterpreting’ the “National Telecom Policy (NTP) 2012 and wrongly applied provisions of NTP stating that spectrum and licences are already de-linked”.

Vodafone said DoT “misinterpreted and misconstrued Clause 4.1” of its licence by stating that the operator owns fixed licences for a fixed period of 20 years.

“You have adopted self-contradictory and inconsistent stands on the same issue as on one hand you have stated in the letter that spectrum can also be allocated through market related process but on the other hand stated that unless we participate in the auction and get the bid confirmed, we would not be entitled to the spectrum,” said the company.

Earlier, Vodafone had asked the telecom department to extend its licence period for Delhi, Kolkata and Mumbai circles, which were due for renewal in November 2013 under the licence agreement under which the government is authorised to grant a 10 year extension if the operator makes such request during the 19th year of the licence period.

DoT, however, turned down the demand for licence extension and directed the telecom operator to bid for spectrum to retain their services.

Source: Times of India

Kul Bhushan
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