The telecom regulator has finally decided that spectrum will be priced. In a recommendation expected tomorrow, it will also say which of the three known methods of fixing spectrum pricing will be accepted.

“Spectrum will be priced no doubt. There is also a growing feeling that a fixed price or an auction of the airwaves will be ideal for India,”said Trai chairman Nripendra Mishra.

Trai is increasingly gearing around to the view that a 'beauty contest' for spectrum may not meet the objective of distributing spectrum at a reasonable price to as many players as possible.

On the other raging debate related to spectrum, the telecom regulator is likely to allow a mixed band plan for spectrum allocation. Though the final verdict is not expected anytime soon, the 1900 MHz band may be allowed to CDMA players for their 3G services.

This is the band of Spectrum in which GSM players don't want CDMA rivals to provide services. GSM players claim CDMA in 1900 MHz would cause undue interference with them.

Under lab conditions TRAI has found that CDMA and GSM can co-exist in the 1900 MHz band after certain filters are applied. This however is yet to be tested on the field. "We are still struggling with this issue of interference. A meeting is to be held today but we cannot be sure if a final verdict will be out by tomorrow," said Mishra.

All telecom operators are waiting to launch 3G in India third generation services will fillip operators revenues and give customers high end services which are voice data and video enabled. India lags behind many Asian countries in introducing 3G and the telecom regulator's recommendations will be the government's basis on how to charge the 3G spectrum.