National News

Satellite Spectrum “Scam”: Debunking TNM’s “Expose” On Bharti Airtel Electoral Bond Donation, Attempt To Weave A ‘2G Scam’-Type Story Shredded To Pieces

March 28, 2024
The Commune

The decision of the Supreme Court to make public the details of the Electoral bonds made the likes of left-leaning “news” portals” such as The News Minute and its jingbang go on a tizzy. Right from the get-go, they have been trying relentlessly to prove that the Electoral Bonds are a scam. They have persistently attempted to paint the BJP-led central government as the primary/biggest beneficiary and the alleged orchestrator of the scam.

They tried to link Future Gaming’s Lottery Martin with the BJP but it turned out that the DMK was the biggest recipient of their funds and that narrative fell flat – however The News Minute did not establish quid pro quo, one wonders why. Over the past weeks, they claim that a 25-member team is working on the details of the Electoral Bonds and matching them with all things possible to establish a scam. 

The latest entrant in this “scam conspiracy theory” is Bharti Airtel’s donation via electoral bonds to the BJP as a return “favour” for the satellite rights. The News Minute is trying to make a story along the lines of the 2G Spectrum scam! 

Their article titled “Bharti group’s ₹150 crore bond donation to BJP coincided with Modi government’s telecom U-turn” is entirely based on assumptions and the misunderstanding that satellite and telecom are the same. 

First, let us understand a little bit about the satellite spectrum:

Satellite spectrum refers to the range of radio frequencies allocated for communication between satellites in space and ground-based stations on Earth. These frequencies are managed and regulated by international organizations such as the International Telecommunication Union (ITU). Satellite spectrum is essential for various satellite-based services, including telecommunications, broadcasting, navigation, and Earth observation. It enables satellites to transmit signals to and receive signals from Earth, facilitating a wide range of applications and services that rely on satellite technology.

Most countries allocate terrestrial spectrum through auctions, while satellite spectrum is typically assigned administratively due to its unique challenges. Unlike terrestrial networks, satellite systems require coordination to avoid fragmentation of the spectrum, crucial for maximizing capacity. Despite this, satellite operators prefer spectrum sharing to maintain capacity and avoid competition. Regulators, like the FCC, refine rules to balance existing operators’ investments with new entrants’ competition. Coordination at both ITU and national levels ensures fair spectrum use. In India, TRAI recommends the coexistence of satellite and 5G services in certain bands, suggesting auctions only for overlapping frequencies to mitigate conflicts. Flexible spectrum use, including shared satellite and 5G services, can optimize spectrum efficiency while addressing industry needs and regulatory concerns. 

Why Is An Auction Not Conducted For Satellite Spectrum?

Here are some reasons a telecom expert put forth when questioned why an auction was not conducted for satellite spectrums:

  • Auctioning all satellite spectrums reduces overall data throughput capacities.
  • For 27.5 to 28.5 GHz, auctioning is viable as it won’t reduce satellite capacities due to limited overlapping frequencies.
  • Only two satellite players overlap with this band, preserving satellite network capacities.
  • Gateways remain unaffected and retain full spectrum access.
  • Advantages include uninterrupted satellite services, 5G deployment in economically viable bands, efficient spectrum usage, government revenue generation, and simplified coordination rules.
  • Overall, it’s a win-win situation for all stakeholders.

Satellite spectrum licensing differs from traditional telecom spectrum auctions. Instead of auctioning the spectrum, licenses are granted to companies with existing infrastructure. For instance, OneWeb’s established satellite infrastructure enabled them to secure a license. Bharti Airtel’s partnership with OneWeb facilitated their license acquisition. Similarly, Reliance Jio and Starlink await approval for their applications. Unlike regular spectrum, governments only license and regulate satellite spectrum usage, as satellites are owned by private entities like OneWeb. The government assigns frequency ranges, and the Department of Telecom (DoT) determines licensing fees and grants operating licenses accordingly.

With its own constellation of both GEO (geostationary) and LEO (low earth orbit) satellites, OneWeb has established readiness far ahead of its rivals. In contrast, Jio had to collaborate with Luxembourg SES Satellites, trailing behind in infrastructure. This readiness positions OneWeb to offer uninterrupted services to the public. Unlike the 2G spectrum, which was allocated on a first-come-first-serve basis at a fixed price of ₹2800 crores for a band of 2G, subsequent auctions saw significantly reduced allocations.

The government is yet to decide on spectrum allocation, whether through auction or administrative decision. It is noteworthy that Airtel has received clearance from IN-SPACe but is still awaiting spectrum allocation. A subsidiary of Ambani’s company has contributed over ₹400 crores to the BJP but is still awaiting approval. Elon Musk, the world’s richest man, has not received approval due to his company Verizon Communications’ shareholding in firms associated with Pakistan and Bangladesh.

The article talks of a “hurried new telecom law” which was passed in December 2023 in Parliament that allowed satellite spectrum to be assigned through an administrative order. If the whole thing was a scam, why would the government go to the Supreme Court seeking judicial approval?

Then they bring in the “Draconian” telecommunications bill which has powers for internet suspension and surveillance to make the law look suspicious and sow the seeds of doubt among the readers.

What is the global scenario with respect to the satellite spectrum, one might wonder – as mentioned above and also concurred by the Telecom minister Ashwani Vaishnaw in Parliament, across the world, satellite spectrum has been allocated administratively, and nowhere has it been auctioned. 

The article attempts to draw connections by presenting coincidences, implying a correlation between Bharti Airtel’s license acquisition and their purchase of electoral bonds totaling ₹100 crores. Allegedly, the BJP cashed these bonds just four days later. Subsequently, on 21 November 2024, OneWeb received satellite authorisation. Following these events, a telecom bill was passed, “coinciding” with Bharti Airtel’s additional purchase of electoral bonds worth ₹50 crores, later encashed by the BJP. 

Despite efforts to link the BJP with corporate entities, the said portals seem not to be interested in investigating potential connections such as Lottery Martin’s purchase of DMK electoral bonds or that of the TMC. Is this because of conflicting agendas?

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