DoT to start inviting applications for telecom PLI scheme shortly; Huawei, ZTE shut out: CNBC-Awaaz

The Department of Telecommunications has finalised the guidelines for the telecom manufacturing PLI scheme worth Rs 12,200 crore and is likely to issue them in 1-2 days, news channel CNBC-Awaaz reported citing sources familiar with the matter.

The DoT will shortly start inviting applications from interested companies, the news channel added and said the window for application will be open for one month, till June 15.

However, Chinese gear vendors like Huawei and ZTE have been shut out from the scheme.

Under the scheme, companies will receive an incentive of 4% to 6% and they will be required to invest a minimum of Rs 100 crore.

The Digital Communications Commission, the highest decision-making body of the Department of Telecommunications (DoT), approved the scheme last year in December.

The scheme will cover core transmission equipment, 4G/5G and next-generation radio access network and wireless equipment, access and customer premise equipment (CPE), Internet of Things (IoT) access devices, and enterprise equipment such as switches and routers, said people directly involved in framing the policy.

Initially, the telecom department was expected to start inviting applications from January 2021.

This comes close on the heels of the telecom department last week clearing 5G trials, allowing telcos Reliance Jio, Bharti Airtel, and Vodafone Idea to develop use cases relevant for India on the next-generation 5G technology. The trials will be initially for six months.

Likewise, Chinese companies will not be allowed to participate in the trials for the 5G network.