Telcos seek national policy to push optical fibre roll out

New Delhi: Citing limited spectrum for cellular services, telecom players today said the government should come out with a industry-friendly policy to facilitate roll out of optical fibre across the country.

"Optical fibre cable (OFC) will be more valuable than the spectrum in coming days. Spectrum is limited and also has gone in the different tangent. In the country we don't have proper policy to help optical fibre roll out. Industry needs a friendly policy for this," Videocon Telecommunications Director and CEO Arvind Bali said at Aegis Graham Bell Award.

He said 90-95 per cent mobile usage takes place when a person is in home, office or somewhere stationed.

"If we have optical fibre reaching at these places then through wi-fi hotspot (created with help of OFC), we can provide services and 90 per cent of our work will be done," Bali said.

Videocon Telecom has plans to exit mobile business and focus on fixed line services in the country. The company recently sold its right to use spectrum in Gujarat and Uttar Pradesh West for Rs 3,310 crore to Idea Cellular.

The company also has plans to sell spectrum in low-scale operation circles of UP East and Bihar and is seeking a value of Rs 3,500 crore. The company had won spectrum in six circles -- UP East, UP West, Bihar, Gujarat, MP and Haryana in the 2012 auctions for Rs 2,221.44 crore.

Industry players cited right of way permissions, which is digging trenches in cities to lay fibre, as biggest hurdle in speedy roll out of OFC.

"Government should mandate every new building to have provision for OFC in design plan like it is required in case of other amenities -- electricity, water pipeline. This will make building future ready and meet Prime Minister's vision of Digital India," state-run MTNL Executive Director Anuj Kumar Srivastava said.

He said the industry and the government will have to work together in increasing supply of bandwidth in the country and this will also lead to fuelling of innovations and development of contents.

"In case of broadband through OFC, I think we will need to turn table around. We need to provide supply first and then demand will come," Srivastava said.

Industry body COAI's Director General Rajan S Mathews said that government should open with private players for rolling out OFC across country.

The government at present is working on rolling out OFC across 2.5 lakh panchayats for high speed broadband services. However, it has been missed deadlines multiple time.

"When it comes to use of existing cables, around 30 per cent people don't know where the cable is. Another 30 per cent is not ready to use because it is cut from somewhere during digging. Government should help industry with a policy that eases right of way for laying OFC," Mathews said.