Telecom Tuesday: Delhi trumps at 3G Auction
The Big 3G Telecom Auctions seems to be going great guns – The day 8 of the auction has seen another big rise in the bid prices. Already close to 25,000 crores has come in the Government kitty. It is expected that target amount of 35,000 crores set by the Department of Telecommunication will not only be surpassed easily, but will go beyond 50,000 crores.
This sure is going to make life easier of Congress as it will clear off good chunk from our fiscal deficit.
Day 8 3G Auction Standings
The Day 8 of 3G auction saw Gujarat being trumped by Delhi, Mumbai, Tamil Nadu and Maharashtra, the circles which were expected to top the bidding charts. I was actually surprised that Gujarat was doing so well in the first 6 days of auction as it had garnered maximum bid amount.
Day 8 saw Delhi reach more than double the reserve price at 691.20 crore, While Mumbai also managed nearly 100% rise over base price to Rs 635.38 crore. The reserve price for these metros and other A circle states was Rs 320 crore each. Even Tamil Nadu also showed spark by breaching the winning price of Rs 600 crore on Day 8 of the auction.
Another surprise in Circle B was Uttar Pradesh West, rose to the number one position with a winning price of Rs 244.19 crore, more than double of the reserve price of Rs 120 crore in B Circle. UP (East), the winner so far in this circle, was close to UP West at Rs 235.50 crore.
The maximum pan-India bid price on Monday touched Rs 6,067.56 crore, 73.3% more than the reserve price of Rs 3,500 crore. It was 6.25% higher than the previous day’s pan-India bid price of Rs 5,710.36 crore.
What will be the total amount that Government will be able to mop-up with this 3G Auction? Any Guesses?