Private telecom players to invest Rs 9 lakh crore during 12th five year plan: Planning Commission

Telecom Lead India: Private players in the telecom
sector would make investments of nearly Rs 9 lakh crore during the Twelfth Five
Year Plan, projects Infrastructure Division of the Planning Commission.

The Commission anticipates fresh investments to come into
the sector during the auctions for 2G and 4G spectrum to be held over the next
2-3 years.

The commission also adds that the overall investments in the
telecom sector would span Rs 10 lakh crore.

The investment worth Rs 10 lakh crore will include
investments from PSUs, compared to Rs 5.6 lakh crore investments made during
the 11th Plan, according to the Planning Commission

The anticipated amount of investment for during the Twelfth
Five Year Plan is almost double of investments made by private players during
the Eleventh Plan.

However, it is expected that investments by Government-run
agencies would not see significant increase during the Twelfth Five Year Plan,
according to a report in Hindu BusinessLine.

Compared to an investment of Rs 1.15 lakh crore in the 11th
plan, the Central agencies are expected to invest Rs 1.28 lakh crore. This
could be related to expansion plans of state-run service providers BSNL and
MTNL.

These estimates are significantly different from the
estimates of the Working Group for the Twelfth Plan. The Working Group had
proposed an overall investment of Rs 6.5 lakh crore and Rs 5.2 lakh crore from
private players, reported Hindu Business Line.

One of the key reasons for the difference between the
Working Group estimates and the projected investment by Infrastructure Division
is the inclusion of licence fee and the spectrum charges.

Videocon Telecom to invest Rs 1,200 crore in 2012 to expand
mobile network

Videocon Telecommunications is planning to invest Rs 1,200 crore
in 2012 to expand its mobile network in India.

Videocon mobile services are already up in Tamil Nadu,
Chennai, Punjab, Haryana, Mumbai, Gujarat, Kerala, Madhya Pradesh, UP East, UP
West, Himachal Pradesh.

editor@telecomlead.com

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