Replying to a question in the Lok Sabha ,I&B Minister informed that Government has decided to auction FM radio stations in cities and towns across the country. A total number of 839 channels in 294 cities shall be available for auction. Government has cleared the proposal for conducting ascending e-auction, as followed by Department of Telecommunications for the auction of 3G and BWA spectrum, mutatis-mutandis, for award of Permissions of FM channels, as recommended by the GOM on Licensing Methodology for FM Phase-III.

               In Phase II, the permission was granted on the basis of closed tender two stage bidding process. However, in     Phase III, licensing methodology, as per the recommendations of Group of Ministers, would be based on ascending e-auction process on the lines followed by Department of Telecommunications in the auction of 3G and BWA spectrum, which was very successful and equally transparent vis-a-vis closed tender bidding process. The minister further informed the house that Government is likely to receive total revenue of about Rs.1531.92 crore from the auction of new channels.

     Friends of Prasar Bharati welcomes the move by the government and request  the government to adopt the same auction method for allocating satellite television spectrum to teleport operates and  broadcasters.

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