For Prelims: Telecom Regulatory Authority of India (TRAI), Fixed Satellite Service (FSS) and Mobile Satellite Service (MSS), Adjusted Gross Revenue (AGR), Nodal Body, Parent Ministry, Legal Basis, Authorisation Duration, Authorisation Fee
For Mains: Satellite communication ecosystem, SCNaaS (Network-as-a-Service), Administrative spectrum assignment, Direct-to-Device (D2D) services, Digital divide
Source:
PIB
5 facts for one-day exams
SSC, railway, police and teaching exams ask direct questions like these.
- TRAI released recommendations on satellite communication network provider authorisation on 5 November 2026.
- The SCN Provider Authorisation is under Section 3(1)(b) of the Telecommunications Act, 2023.
- Spectrum for satellite communication will be assigned administratively, not through auction.
- The authorisation fee for SCN providers is 8% of Adjusted Gross Revenue (AGR).
- Direct-to-device (D2D) services via satellite using MSS and IMT spectrum are permitted.
Why in the news?
TRAI has recommended a new 'Satellite Communication Network (SCN) Provider Authorisation' under the Telecommunications Act, 2023, enabling a shared network model for satellite services. Spectrum for feeder and user links will be assigned administratively, and direct-to-device (D2D) services via both MSS and IMT spectrum are permitted.
Summary
- TRAI recommends a new SCN Provider Authorisation under Section 3(1)(b) of the Telecommunications Act, 2023, valid for up to 20 years (renewable).
- Spectrum for FSS (feeder and user links) and MSS (user links) will be assigned administratively for up to 5 years, extendable by 2 years.
- Direct-to-device (D2D) services via satellite using MSS (L/S band) and IMT spectrum (600-2100 MHz FDD bands) are permitted on a non-interference, non-protection basis for IMT-based D2D.
- Authorisation fee for SCN providers is set at 8% of AGR, with a minimum spectrum charge of ₹3,500 per MHz annually.
Highlights
New Authorisation for Satellite Networks
TRAI proposes a new 'Satellite Communication Network Provider Authorisation' under the Telecom Act, 2023, allowing entities to provide network-as-a-service (SCNaaS) to licensed service providers.
Administrative Spectrum Assignment
Spectrum for feeder and user links (FSS and MSS bands) will be assigned administratively for up to 5 years, with a minimum annual charge of ₹3,500 per MHz.
Direct-to-Device Services Permitted
Direct-to-Device Services Permitted: D2D services via satellite using MSS (L/S band) and IMT spectrum (600–2100 MHz FDD) are permitted. This could enable satellite connectivity to consumer handsets, but handsets may require appropriate modules and manufacturer support; the Government has recommended encouraging handset manufacturers to include necessary MSS support.
Background
The Department of Telecommunications (DoT) sought TRAI's recommendations on introducing a Satellite Communication Network (SCN) Authorisation under Section 3(1)(b) of the Telecommunications Act, 2023, in July 2025. TRAI issued a consultation paper in April 2026, received 31 stakeholder comments, and held an open house discussion in July 2026 before finalising these recommendations.
Key Analysis and Impact
The recommended framework unbundles satellite network infrastructure from service provision, creating a 'SCNaaS' model. This allows specialised satellite companies to build and operate networks while licensed telcos use them to offer services, promoting efficiency and competition. Administrative spectrum assignment avoids auctions, providing regulatory certainty for investors. Permitting D2D services (both MSS and IMT-based) is a significant step, potentially enabling satellite connectivity on standard smartphones, bridging the digital divide in remote areas.
Way Forward
The DoT will now consider TRAI's recommendations and issue the final authorisation rules. The government may also need to amend the National Frequency Allocation Plan (NFAP) to include MSS as a secondary service in IMT bands for D2D. The outcome of WRC-2027 could influence the future framework for IMT-based D2D. Handset manufacturers will be encouraged to support MSS bands in future devices.
Background GK
Textbook concepts you need to understand this news
- Telecom Regulatory Authority of India (TRAI)
- An independent statutory body established by the TRAI Act, 1997, responsible for regulating the telecommunications sector in India, including recommending policies, fixing tariffs, and ensuring fair competition.
- Fixed Satellite Service (FSS) and Mobile Satellite Service (MSS)
- FSS uses satellites for communication between fixed earth stations (e.g., TV broadcast, VSAT). MSS uses satellites for communication with mobile terminals (e.g., satellite phones, maritime communication).
- Adjusted Gross Revenue (AGR)
- The revenue base used to calculate license fees and spectrum usage charges for telecom operators, comprising all revenues from telecom services, excluding certain non-telecom income.
Facts to remember
Tap a card to see the answer. Try to recall it first.
How exams will ask this
- Data: Authorisation fee for SCN providers is 8% of AGR; minimum spectrum charge is ₹3,500 per MHz per year.
- Nodal Body: Telecom Regulatory Authority of India (TRAI) under the Ministry of Communications.
- Legal Point: Section 3(1)(b) of the Telecommunications Act, 2023.
Don't make this mistake!
They may confuse 'administrative assignment' with 'auction-based assignment', or swap the authorisation fee (8% of AGR) with spectrum charges. Also, the SCN authorisation duration (20 years) could be mixed with the spectrum assignment period (5 years).
Write these in mains answers
- Satellite communication ecosystem, SCNaaS (Network-as-a-Service), Administrative spectrum assignment, Direct-to-Device (D2D) services, Digital divide
Stuck? Get it in one tap
TRAI has proposed a new authorisation for entities to build and operate satellite networks in India and to provide those networks as a service (SCNaaS) to licensed service providers; SCN providers would not provide telecommunication services directly to end users. The Government would administratively assign spectrum rather than auction it. D2D services via MSS and IMT are permitted, which may enable satellite connectivity to consumer handsets, but handset manufacturers may need to include supporting modules as recommended.
- TRAI released recommendations on satellite communication network provider authorisation on 5 November 2026.
- The SCN Provider Authorisation is under Section 3(1)(b) of the Telecommunications Act, 2023.
- Spectrum for satellite communication will be assigned administratively, not through auction.
- The authorisation fee for SCN providers is 8% of Adjusted Gross Revenue (AGR).
- Direct-to-device (D2D) services via satellite using MSS and IMT spectrum are permitted.
- Science and Technology: Space technology and satellite communication
- Governance: Regulatory bodies: TRAI
Related concepts: Telecom Regulatory Authority of India (TRAI), Fixed Satellite Service (FSS) and Mobile Satellite Service (MSS), Adjusted Gross Revenue (AGR)
Practice questions
Pick an answer, then read the explanation.
- Q1Easy
Which body released the recommendations on the framework for Satellite Communication Network Provider Authorisation?
Explanation: TRAI, the telecom regulator, released these recommendations. DoT sought the recommendations, the Ministry of Communications is the parent ministry, and ISRO is not directly involved in telecom regulation. Hence option B is correct.
- Q2Hard
Consider the following statements regarding TRAI's recommendations on satellite communication:
- 1.The SCN Provider Authorisation is recommended under Section 3(1)(b) of the Telecommunications Act, 2023.
- 2.Spectrum for satellite communication will be assigned through an auction process.
- 3.Direct-to-device (D2D) services via satellite using IMT spectrum are permitted on a non-interference, non-protection basis.
Which of the statements given above is/are correct?
Explanation: Statement 1 is correct: the authorisation is under Section 3(1)(b) of the Telecom Act, 2023. Statement 2 is incorrect: TRAI recommends administrative assignment, not auction. Statement 3 is correct: IMT-based D2D is permitted on a non-interference, non-protection basis. Hence option C is correct.
- Q3Medium
What is the recommended authorisation fee for Satellite Communication Network (SCN) Provider Authorised entities as per TRAI's recommendations?
Explanation: TRAI has recommended an authorisation fee of 8% of AGR for SCN providers. 6% is lower, while 10% and 12% are higher and not part of this recommendation. Hence option B is correct.
- Q4Medium
What is the primary objective of the 'Satellite Communication Network as a Service (SCNaaS)' model recommended by TRAI?
Explanation: SCNaaS unbundles network infrastructure from service provision, allowing specialised satellite companies to build networks and licensed telcos to use them, promoting efficiency. Direct-to-consumer service is not permitted under SCN authorisation. Auction is not the method recommended. Non-GSO satellites are not banned. Hence option B is correct.
Frequently asked questions
1. What is the Satellite Communication Network (SCN) Provider Authorisation recommended by TRAI?
It is a new authorisation under Section 3(1)(b) of the Telecommunications Act, 2023, allowing entities to provide satellite network-as-a-service (SCNaaS) to licensed service providers, valid for up to 20 years.
2. How will satellite spectrum be assigned under TRAI's recommendations?
Spectrum for FSS and MSS will be assigned on an administrative basis for up to 5 years, extendable by 2 years, with a minimum annual charge of ₹3,500 per MHz.
3. What are the key financial conditions for SCN provider authorisation?
The authorisation fee is 8% of AGR; the press release refers to other financial conditions but does not specify the entry fee, initial guarantee, minimum equity or minimum net worth figures in the text provided.
All sources
- Original5 November 2026 · Read story
