At a high-level virtual meeting with the TRAI the SatCom Industry Association, SIA-India made representation to the TRAI Chairman to remove barriers for the entry of satellite services provisioning. SIA-India has noted that new generations of very high throughput satellites (VHTS) enhance broadband connectivity throughout the country, including connecting 5,000 Gram Panchayats that otherwise would not be connected by fibre or cable solutions. The Chairman TRAI Dr PD Waghela, Secretary TRAI Shri N Raghunandan and other senior TRAI officials presided upon the meeting.
According to Anil Prakash, Director General, SIA-India, “The SatCom industry, though at its nascent stage in India, has the potential to revolutionise connectivity in areas which are hitherto unconnected or cannot be connected by terrestrial mobile or fiber. India is losing out on the fast-paced digital development envisaged by the Hon’ble Prime Minister because the SatCom sector does not have a level playing. We need regulations that are industry as well as consumer-friendly.”
In the submission SIA-India stressed that the SatCom industry needs light-touch regulations that will aid in ease of doing business. The sector requires direct engagement and open market access, allowing competition to drive down prices and a minimal government hands-on approach. The sector is reeling under limitations in acquiring foreign capacity by national service providers, which is both expensive and unsustainable in the long term.
India has sought a review of the tax structure of the industry. In terms of taxation, the industry is hard hit with many layers of taxes adding up to almost 50% at various levels, including GST, Rev Share, Multiple charges by DOT, and DOS, Withholding tax etc.
SIA-India has also pointed out to the Chairman TRAI, that a percentage of USO funds are available to mobile network operators (MNOs) for expanding connectivity ‘into rural markets’. The satellite communications industry has been serving this need for vital connectivity to rural and remote areas yet denied access to USO funds.
On spectrum issue, SIA-India has urged TRAI to maintain satellite spectrum certainty. It has stated to the TRAI Chairman that the Ka-band 27.5-29.5 GHz band has NOT been identified by the ITU for IMT/5G. This band was excluded at WRC-19 in recognition of the extensive use of the band by satellites operators and that billions of dollars have been invested in over 100+ Ka-band satellites to serve India and the Asia-Pacific region.
TRAI has taken cognizance of the issues raised by SIA-India. TRAI has also assured the participants that the Regulator is aware of the challenges faced by the SatCom industry and is looking for means of addressing the same.
