New Delhi: After facing the ire of the Supreme Court on its role in the distribution of 122 cancelled licenses, Telecom Regulatory Authority of India (TRAI) has sprung to action. TRAI is framing new polices for the distribution of the spectrum licenses. But the larger challenge will be of maintaining transparency in the distribution and pricing of the spectrum.
While cancelling the 122 licenses issued during the tenure of Telecom Minister A Raja, the Supreme Court has lambasted TRAI on its involvement in the case. The Apex Court stated that TRAI had overlooked the objectives of the telecom policies of the year 1999. Also, the regulatory body in the year 2003 ignored the Central government’s decision of maintaining transparency in the distribution of the spectrum licenses. It will be a difficult task for under-fire TRAI to carry out distribution of licenses this time.
The Supreme Court highlighted that TRAI’s directives are very weak. It further  added that even after being the specialist body in its field, TRAI in order to favour a selected few kept mum over the entire process of spectrum allocation.

TRAI is also facing flak for the allocation of entry fees. It did not make any clear recommendations for deciding the entry fees on 2001’s prices, which is the reason why the views of TRAI and the Central government differed on prices of the spectrum. TRAI did not even approach the Finance Ministry before fixing the prices. The Supreme Court’s remarks have made it difficult for TRAI to follow the same approach as last time. The court has strictly advised to consult the Finance Ministry in this regard.