Satellite Internet Gets a Boost: TRAI’s Spectrum Policy Promises Wider, Faster Coverage

Unknown Apr 02, 2026 1,650 Views

The Telecom Regulatory Authority of India (TRAI) has issued detailed recommendations for the allocation of spectrum to satellite-based commercial communication services. The step is likely to transform India's satellite broadband market, with the aim of enhancing connectivity in urban and rural areas alike while providing a level playing field to terrestrial operators. The recommendations, after widespread industry consultations, suggest a balanced regulatory and pricing approach for geostationary (GSO) and non-geostationary (NGSO) satellite services.

In response to a request from the Department of Telecommunications (DoT) and the requirements of the Telecommunications Act, 2023, TRAI has finalized the recommendations regarding the terms and conditions for spectrum assignment for satellite-based commercial communication services. The recommendations include aspects of spectrum assignment, pricing, operational guidelines, and steps to foster equitable access, particularly in remote areas.

1. Scope and Coverage

The recommendations are applicable to:
NGSO-based Fixed Satellite Services (FSS) for data and internet.
GSO/NGSO-based Mobile Satellite Services (MSS) for voice, text, data, and internet.

2. Spectrum Bands and Assignment

NGSO-based FSS: To be assigned in Ku, Ka, and Q/V bands.
GSO/NGSO-based MSS:
User links: L and S bands.
Feeder links: C, Ku, Ka, and Q/V bands.
Assignment Period: Five years, extendable by two years depending on market conditions.
Assignment Process: Administrative assignment, not auction, to be in line with international practices and facilitate quick rollouts.

3. Spectrum Pricing and Charges

Usage Charge: 4% of Adjusted Gross Revenue (AGR) across all service categories.
Minimum Annual Fee: INR 3,500 per MHz per annum.
Urban NGSO FSS: Extra INR 500 per subscriber per annum.
Rural/Remote Areas: Waived from the subscriber charge to facilitate digital inclusion.
Payment Terms: Quarterly advance payments with annual adjustments.

4. Operational and Regulatory Provisions

Spectrum Sharing: Operators have to coordinate in good faith to reduce interference, and follow ITU guidelines.
Spectrum Surrender: Parties can surrender spectrum rights prior to expiry on general terms.
Assignment Timelines: Spectrum to be allotted within 30 days of in-principle approval; objections too have to be made within the same timeframe.

Earth Station Gateways:

Coordination mandate requirements and feasibility reports for minimum distances.
Special permits for remote area gateways, even in IMT-specified frequencies.
Gateways should be in operation within 12 months of approval.

5. Encouraging Rural Connectivity

Subsidies: Government can subsidize NGSO user terminals in rural/underserved regions to close the digital divide.
Exemptions: Rural and remote subscribers exempt from extra urban charges.

6. Stakeholder Consultation

The framework was informed by comments from 30 stakeholders and 12 counter-comments throughout the consultation process, including an open house discussion in November 2024.

Implications and Industry Impact

The suggestions are likely to spur the deployment of satellite broadband by industry leaders such as Starlink and Eutelsat OneWeb, particularly in remote and underserved areas.
The administrative allocation model and focused subsidies conform to international best practices, facilitating both equitable competition and speedy growth of satellite internet services.

The final suggestions are pending approval by the Department of Telecommunications' Digital Communications Commission and ratification by the cabinet before they can be implemented.

Sources: Developing Telecoms, TRAI Official Press Release, Press Information Bureau, Teslarati, TRAI Press Release PDF, Business Standard, BusinessWorld

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