Amended Guidelines for grant of Unified License · No. 20-577/2016 AS-I (Vol.-III)

Government of India Ministry of Communications Department of Telecommunications Sanchar Bhawan, 20 Ashoka Road, New Delhi-110 001.

No. 20-577/2016 AS-I (Vol.-III)

Dated, 17th January 2022

SUB: GUIDELINES FOR GRANT OF UNIFIED LICENSE.

$^1$National Digital Communications Policy, 2018 aims to create a Robust Digital Communications Infrastructure, enable Next Generation Technologies and Services through Investments, Innovation and IPR generation, and to ensure Sovereignty, Safety and Security of Digital Communications in India. It also aims to provide Broadband for All by 2022.

One of the strategies of NDCP, 2018 is to ensure a holistic and harmonized approach for harnessing Emerging Technologies, and its use in the communications sector, such as 5G, Artificial Intelligence, Robotics, Internet of Things, Cloud Computing and M2M.

National Telecom Policy-2012 recognized that the evolution from analog to digital technology has facilitated the conversion of voice, data and video to the digital form. Hence, it was imperative to move towards convergence between various services, networks, platforms, technologies and overcome the existing segregation of licensing, registration and regulatory mechanisms in these areas to enhance affordability, increase access, delivery of multiple services and reduce cost. One of the objectives of the National Telecom Policy-2012 was "Strive to create One Nation - One License" across services and service areas.

2. After considering the recommendations of TRAI for Unified License, the Government decided to grant Unified License (UL). Further, the recommendations of TRAI related to UL have been considered from time to time and modifications to Unified License guidelines have been made. The basic features of UL are as follows:-

(i) The allocation of spectrum is delinked from the licenses and has to be obtained separately as per prescribed procedure. At present, spectrum in 700/800/900/1800/2100/2300/2500 MHz band is allocated through bidding process. For all other services and usages like Public Mobile Radio Trunking Service (PMRTS), the allocation of spectrum and charges thereof shall be as prescribed by

$^1$ National Digital Communications Policy 2018 issued on 26.09.2018

Wireless and Planning and Co-ordination wing of Department of Telecommunications from time to time.

(ii) Applicant can apply for Unified License along with authorisation for any one or more services listed below:

a. Unified License (All Services) b. Access Service (Service Area-wise)as per details at Annexure- IV c. Internet Service (Category-A with All India jurisdiction) d. Internet Service ( Category-B with jurisdiction in a Service Area) as per details at Annexure- IV e. Internet Service ( Category-C with jurisdiction in a Secondary Switching Area) as per details at Annexure- III f. National Long Distance (NLD) Service g. International Long Distance (ILD) Service h. Global Mobile Personal Communication by Satellite (GMPCS) Service i. Public Mobile Radio Trunking Service (PMRTS)Service j. Very Small Aperture Terminal (VSAT) Closed User Group (CUG) Service k. Audio Conferencing/ Audiotex/ Voice Mail Services l. Machine to Machine (M2M) (Category-A with All India jurisdiction) m. Machine to Machine (M2M) (Category-B with jurisdiction in a Service Area) n. Machine to Machine (M2M) (Category C with jurisdiction in a SSA/ District)

Authorisation for Unified License (All Services) would however cover all services listed at para 2(ii) (b) in all service areas, 2 (ii) (c), 2(ii) (f) to 2(ii) (l) above.

3. The broad guidelines for grant of Unified License are as follows:-

1. General

(i) The applicant must be an Indian company, registered under the Companies Act’2013. (ii) The applicant company shall submit the application in duplicate in the prescribed Application form enclosed at Annexure-II. (iii) Unified License and Authorisation under UL shall be issued on non-exclusive basis i.e. without any restriction on the number of entrants for provision of any service in a Service Area. (iv) One Company can have only one Unified License. The applicant company can apply for authorisation for more than one service and service area subject to fulfillment of all the conditions of entry simultaneously or separately at different time. The tenure of such authorisation will run concurrently with the Unified License. (v) At the time of applying for Unified License, the applicant has to apply for authorisation of at least one service listed in para 2(ii) above. (vi) In case authorisation is required for more than 4 SSAs in a Telecom Circle for ISP 'C' category, Category “B” ISP authorisation for the respective telecom circle is to be applied for. (vii) Government/ private organizations offering public utility services or private organizations offering services to the customers, by using Audiotex services or services through IVRS (providing information on automatic basis, booking or complaint services, etc.), are not required to obtain any license for provision of such services. However, service providers providing Audiotex services on commercial basis, to other entity/ entities, will be required to obtain license. (viii) In case authorisation is required for more than 4 SSAs in a Telecom Circle for M2M 'C' category, M2M Category 'B' authorisation for the respective telecom circle is to be applied for. (ix) The applicant company shall pay nonrefundable processing fee as prescribed in Annexure-I along with the application (Two copies) in the form of Demand Draft/Pay Order from a Schedule Bank payable at New Delhi issued in the name of Pay & Accounts Officer (Headquarter) DOT. (x) The total composite foreign holding shall be governed by Foreign Direct Investment (FDI) policy of the Government of India as announced by Department of Industrial Policy and Promotion from time to time. (xi) The applicant company shall have a minimum paid up equity capital and networth of the amount indicated in Annexure-I for the respective Service(s) and Service Area(s) on the date of the application and a certificate to this effect shall be provided by the registered Company Secretary/ Statutory Auditor alongwith application. Any applicant seeking additional authorisation, subsequent to grant of UL, has to meet the minimum cumulative networth required on the date of application for seeking such additional authorisation. The requirement under this license for the combined minimum Networth and paid-up equity shall be limited to a maximum of Rs. 25 Crore (Rupees Twenty five crore only), each. The paid-up equity capital shall be maintained during the currency of the License. (xii) $^2$Net worth shall be as defined in the Companies Act 2013 and as amended from time to time. The networth of promoters/equity share holders shall not be counted for determining the networth of the company. While counting the Net-worth, the foreign currency shall be converted into Indian Rupees at the prevalent rate indicated by the Reserve Bank of India as on the date of Application received. (xiii) Grant of UL to the applicant shall be on the basis of the claims, representations and submissions made by the applicant as duly certified by the Company Secretary/Statutory Auditor and authorized Director of the Company. The applicant is therefore advised to ascertain their eligibility for the license and authorisations applied for with utmost care and diligence. The application shall be decided, so far as practicable, within 60 days of the submission of the application complete in all respect and the applicant company shall be informed accordingly. In case the applicant is eligible for grant of license or additional authorisation, a Letter of Intent (LOI) will be issued. The applicant shall be required to deposit non-refundable Entry Fee and submit the Bank Guarantees / other documents and sign the license agreement within the specified period as mentioned in the letter of intent (LOI) failing which the offer of grant of license may be withdrawn at the expiry of the permitted period. Further, in respect of GMPCS authorisation issuance of LOI shall be subject to security clearance of the proposal by an Inter-Ministerial Committee. (xiv) In case the applicant is found to be not eligible for the grant of license for UNIFIED LICENSE or for additional authorisation under UL, the applicant shall be informed accordingly. (xv) The grant of License would be subject to fulfillment of all requisites under the application and meeting eligibility conditions by the applicant. Mere filing of application would not lead to assignment of any priority. If deemed expedient, Licensor may seek clarification before rejecting the application.