Elon Musk's Starlink has to comply with all rules for licence in India: Scindia

New Delhi:  Union telecom minister Jyotiraditya Scindia on Tuesday said Elon Musk-owned Starlink is yet to comply with security norms, and a licence for satellite communications services will be issued only after they meet all the requirements for services in India. “The satellite communication services major is in the process of completing all the requirements and will get a licence once they complete the process," the minister added.

At present, the government has issued a licence to Bharti Group-backed OneWeb and the Jio-SES joint venture, Jio Satellite Communications. “We are more than happy to give them (licence) if they (Starlink) comply with all the conditions. You have to look at it from a security perspective, making sure that all security concerns are addressed. When they do that we will be more than happy to give it. Obviously, they are in the process of doing it,” Scindia told reporters, while replying to a question on the status of the licence for Starlink.

According to sources, the Telecom Regulatory Authority of India (Trai) is likely to finalise its recommendation on proposed rules related to spectrum allocation for satellite communications by December 15. The government will evaluate Trai's recommendations and thereafter decide on allocating spectrum to satellite communication companies, which will pave the way for satellite-based broadband services in the country.

When asked about the status of the Rs 24,700 crore bank guarantee waiver sought by Vodafone Idea, the minister said any decision of the government would not be company-specific, albeit it will have an impact on the entire sector.

Meanwhile, the minister also said that the public sector undertaking telecom firm MTNL needs to settle loans with banks by discussion. “As the MTNL debt has a sovereign guarantee, the company's business will be transferred to BSNL and asset monetisation is under process,” he said.

MTNL's total debt is reported to be over Rs 30,000 crore as it has been consistently defaulting on its debt obligations over the last few months, owing to a severe cash crunch at the telecom firm. However, the government has been looking at a resolution for the company for some time, and a clear plan is yet to emerge.