Indian Broadband Policy and Regulatory Resources

Scarce Resources

Broadband Access to Scarce Resources as been scored lower compared with the 2007-2008 survey (down from 2.8 to 2.5).  the government is thinking of creating a nationwide optical fibre network, but a large amount of fibre network is lying unused and unlit and BSNL’s record of active infrastructure sharing is not good. BSNL has been chosen to provide the optical fibre network under the National Broadband Plan.  However, the most blatant act of the government in the allocation of 2G spectrum vitiated the regulatory environment of this dimension. By allocating 2G spectrum to 9 companies in January 2008 at an arbitrarily decided price of 1651 crores (the price paid by the fourth cellular operator way back in 2001), the then minister violated all the principles of efficient allocation of this scarce resource.