Satellite firms face strict security checks and rollout curbs under DoT draft rules
New Delhi, June 22
The central government has proposed layers of security approvals and conditional consumer services for satellite communication companies, making a licence from the Department of Telecom insufficient on its own to launch operations. According to draft rules issued by the government, companies will require security clearance even after the assignment of spectrum to roll out their services.
The draft Telecommunications (Spectrum Assignment by Administrative Process) Rules, 2026, published by the DoT, establishes strict conditions for satellite companies like Starlink, Eutelsat OneWeb, and Jio Satcom before they can deploy services for end consumers. Under these guidelines, satcom firms must secure explicit permission from the Centre before starting satellite phone and broadband services for the public.
"Provided that if the central government has issued a letter of intent prior to obtaining the applicable clearance for the installation of radio equipment, the spectrum assignment shall be granted, after such clearance has been obtained," the draft rules notified on June 17 said.
Regarding the financial framework, satellite companies will receive radio waves without an auction through an administrative process. This assignment happens against a fixed annual fee in the range of Rs 30,000 to Rs 50 lakh, determined on a per-terminal basis depending on the service type, alongside a non-refundable application fee of Rs 1,000.
The notification from the DoT specifies that companies require security clearance to obtain a letter of intent, which the government issues before a company secures a formal licence. Following this step, satcom operators must still wait for final spectrum allocation to officially start their services.
Furthermore, the draft rules restrict how these networks interact with existing infrastructure. The rule bars satcom companies from connecting their telecommunications network with public telecommunication networks without permission of the government.
This restriction applies to traditional landline connections, public switched telephone networks, public land mobile networks, global mobile personal communication by satellite, and standard internet networks.
Though the companies will receive spectrum through this administrative mechanism, the actual charges for the radiowaves will be determined on the basis of market price. The DoT has given 30 days for interested parties to comment on the draft rules before finalizing the framework.
— ANI
Reader Comments
As someone who works in telecom, I understand the need for security, but this feels like overkill. The Rs 30k-50 lakh fee per terminal is reasonable for big players, but what about small Indian satcom startups? They'll be crushed before they even begin. 😞 We need a balanced approach that protects national security without killing innovation.
Entry fees are okay, but why can't satcom networks connect to regular networks without government permission? That's like saying you can use your phone but cannot call anyone outside your family! 😡 This will kill the whole point of satellite broadband - seamless connectivity. Modi ji's Digital India needs actual action, not speed breakers!
Finally some regulation! We can't have foreign companies like Starlink operating without checks. China's satellites can spy, we need to be careful. But the government should also ensure affordable pricing for villagers who have no internet access. Security + affordability = winning formula! 😊
Having worked in satellite regulation globally, I can say India's approach is actually more cautious than necessary. The US and UK have streamlined processes that don't delay services by years. But I respect India's sovereignty - just hope the 30-day comment period leads to practical improvements. Satellite internet could transform rural healthcare and education here. 🛰️
I am from a village in UP where even 2G is patchy. My kids have to travel 10 km for online classes. If Starlink or Jio Satcom can solve this, why make it so difficult? Government should fast-track approval for companies that promise to cover rural
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