GSMA director general Anne Bouverot called for the Indian government to “focus on the longer term” in setting reserve prices for spectrum rather than seeing it as “a means to raise short-term revenues”.

Bouverot said that the lack of bidders for 900MHz and 1800MHz spectrum, and the single bidder in the 800MHz auction earlier this month, is “a clear signal that mobile operators are not willing to pay unreasonably high prices for spectrum”.

With new auctions for the three spectrum bands due to take place later this month, Bouverot reiterated the GSMA’s call for the Indian government to create “a healthy business environment where the mobile industry can invest with confidence”.

Noting that the acquisition of spectrum is merely the first step before investment is made into networks, Bouverot said that unreasonably high reserve prices leads to unsold spectrum, delays in the introduction of services and an increase in consumer tariffs.

“We call on the Indian Government to restore a sustainable environment for investment in telecoms and continue the success story of mobile, which has already had a transformative impact on the country’s society and economy over the past decade,” Bouverot said.