Telecom firms have together put in bids of around Rs 42,000 crore on the first d ay of 2G spectrum auctions.

This has brought respite for the government, struggling to fund its fiscal defic it, as the estimated collection on the first day has exceeded its target of Rs 4 0,874.50 crore from auctions and other charges, of which Rs 11,300 crore is expe cted in the current financial year. A government release said that the auctions went on for seven rounds on the first day with the top 12 circles, including Del hi and Mumbai, witnessing participation from eight telecom players. The auctions are being held for all 22 circles for 900 MHz band in Delhi, Mumbai and Kolkata circles and for 1,800 MHz band in the rest. Delhi and Mumbai are wi tnessing huge activity, primarily due to Vodafone and Airtel competing to fetch 900 MHz band in these two circles. Currently, Airtel doesn t have the band in Mumbai. Vodafone, too, needs additional spectrum in Delhi, Mumbai and Kolkata. Eight telecom firms, including Bharti Ai rtel, Vodafone and Reliance Jio Infocomm, are in the fray, and are bidding for a bout 385 MHz of radiowaves in the 1800 MHz band and 46 MHz in the 900 MHz band. The auction started, as planned, after the Supreme Court yesterday refused to in terfere with the order of the telecom tribunal dismissing the pleas of Bharti Ai rtel, Vodafone, Loop and Idea for a stay on the spectrum auction and extension o f their licences by another 10 years. The government is conducting the third rou nd of spectrum auction for the 1800 MHz band following a Supreme Court order in the 2G case directing that all radiowaves freed from the cancellation of 122 lic ences in February 2012 should be auctioned. The 900 MHz has to be auctioned as s ome of the radiowaves in this band are held under old telecom licences, which wi ll start expiring from November 2014. This includes, Vodafone and Airtel licence s for telecom circles in Mumbai and Kolkata. The government failed to generate interest from telecom companies in its earlier attempts in November 2012, which lasted for two days, and in March last year th at lasted for just a day. The government collected Rs 9,407 crore of bids in Nov ember 2012. In March 2013, when CDMA airwaves were auctioned, the government col lected just Rs 3,600 crore. SC to examine if CAG can audit telcom companies The Supreme Court on Monday agreed to examine the validity of the Delhi High Cou rt judgement that the Comptroller and Auditor General of India (CAG) was authori sed to carry out revenue audits of the private telecom operators. A bench of Justices KS Radhakrishnan and Vikramajit Sen fixed the matter for det ailed hearing on February 11, saying the issue relates to the important question of law and requires hearing. Senior advocate Harish Salve, appearing for telecom firms, requested the court t o pass an interim order, restraining the government from taking any coercive act ions against the companies over furnishing of statements of accounts. However, Additional Solicitor General Paras Kuhad, who appeared for the Centre, assured the court that no coercive action will be taken till the next date of he aring.