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The Telecom Regulatory Authority of India (TRAI) has proposed a separate authorization framework for satellite network providers. Its objective is to increase infrastructure sharing and expand satellite connectivity.
TRAI has also recommended direct-to-device (D2D) services to be included in this framework. With this, mobile devices will be able to connect directly to the satellite.
These recommendations were revealed in New Delhi on 5 November. TRAI has made this proposal amidst the debate regarding satellite spectrum allocation and regulatory rules in India.
Under the proposal, satellite network providers will be able to provide Satellite Communication Network as a Service (SCNaaS) to telecom service providers. They will not be able to provide telecom services directly to end customers.
proposal for separate authorization
TRAI has recommended introducing ‘Satellite Communication Network Provider Authorization’ under the Telecommunications Act, 2023.
This authorization will be applicable in the entire country. Its duration will be maximum 20 years. It can be further renewed for another period of up to 20 years.
In this model it is proposed to keep satellite network infrastructure and telecom services separate. With this, telecom operators will be able to use it through commercial partnerships instead of building and running the satellite network themselves.
The proposed framework will include Fixed Satellite Services (FSS), Mobile Satellite Services (MSS) and direct-to-device connectivity.
It is recommended to allow use of both MSS and International Mobile Telecommunications (IMT) spectrum for D2D services.
Partnership for D2D Connectivity
D2D connectivity can increase connectivity even in areas where traditional terrestrial mobile networks have limited or no reach.
TRAI has proposed to allow telecom operators holding IMT spectrum to offer D2D services in partnership with authorized satellite communication network providers.
Spectrum allocation proposal
Under spectrum allocation, TRAI has recommended administrative assignment of FSS spectrum for feeder links.
FSS and MSS spectrum can be allocated for user links. The prescribed conditions will apply for this.
The spectrum assignment will initially be valid for a maximum of five years. The government will be able to extend it for two years depending on the market condition.
Fees and spectrum charges
TRAI has proposed to charge 8% of Adjusted Gross Revenue (AGR) as authorization fee. There will be no minimum authorization fee.
It has been recommended to keep the annual minimum spectrum charge at Rs 3,500 per MHz for FSS and MSS spectrum allocated by the Central Government.
The proposed recommendations seek to establish regulatory parity between vertically integrated satellite service providers and companies operating on a shared network infrastructure model.
Increasing competition in satellite market
India’s satellite communications market is now moving towards a more competitive era. Elon Musk-led Starlink, Bharti-backed Eutelsat OneWeb and Reliance Jio’s satellite communications business are preparing to enter this market.
Satellite broadband is expected to support the existing terrestrial network. This can improve connectivity in remote and underserved areas.
TRAI said its recommendations are aimed at “developing a robust and competitive satellite communications ecosystem in India”.
The regulator said that this framework will help in better utilization of satellite network infrastructure and spectrum through SCNaaS. This will give a boost to new satellite based services including D2D connectivity.
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