A Closed User Group is permissible for following categories of business association ship:-
i) Producer of goods and his trader/agent;
ii) Provider of service and his trader/agent;
iii) Producer of same category of goods (e.g. manufactures of petroleum products); and
iv) Provider of the same category of service (e.g. bank).
Note: End-consumers are not allowed in the CUG.
Details of Service
Who Can Apply
The applicant organization must be an Indian company, registered under the Indian Companies Act 2013/ Government Department/Government organizations.
The total composite foreign holding of the registered company shall be governed by Foreign Direct Investment (FDI) policy of the Government of India as announced by Department of Industrial Policy and Promotion from time to time.
Documents Required
Fees and Charges
1. Processing Fee (Non-Refundable):
₹25,000 (Rupees Twenty-Five Thousand),
Payable online at the time of submitting the application.
2. One-Time Entry Fee (Non-Refundable/ Non-Adjustable):
₹15,00,000 (Rupees Fifteen lakh),
Payable online before signing the license agreement
3. Annual License Fee:
The annual license fee for the Captive VSAT CUG license is Rs. 10,000/- per annum per VSAT multiplied by the total number of VSATs installed.
Total No. of VSATs shall include all types of VSATs (receive only/transmit only/ receive & transmit both etc.).
The M2M/loT devices, used in any architecture (including Direct-to-satellite or in aggregator mode), shall not be treated as VSAT for the purpose of levy of license fee.
4. Spectrum Charges (WPC Fees):
Spectrum related charges, including payment for allotment and use of spectrum, shall be as specified by the Department.
5. Financial Bank Guarantee (FBG):
Disclaimer: The above is a simplified depiction for ease of understanding. For more details the Applicant may refer to the detailed guidelines, issued vide letter No. 60-SATCOM Plan/DoS/2020-SAT dated 26.10.2022.
Statistics
Policy / Circular / Presentation
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Satellite Division, DOT
Validity
20 years
Frequently Asked Questions
To establish a Closed User Group (CUG) satellite communication network using VSATs/User terminals through the Authorised satellite system for private/internal use only—not for public or commercial service.
A Closed User Group is permissible for following categories of business association ship:-
i) Producer of goods and his trader/agent;
ii) Provider of service and his trader/agent;
iii) Producer of same category of goods (e.g. manufactures of petroleum products); and
iv) Provider of the same category of service (e.g. bank).
Note: End-consumers are not allowed in the CUG.
20 years, extendable by 10 years at a time upon request.
No. Interconnection with Public Switched Telephone Network (PSTN) is not permitted.
Apply online via the Saral Sanchar portal: www.saralsanchar.gov.in
No. The License does not confer any right to assignment and use of spectrum, for which a separate specific frequency assignment shall be required from the WPC Wing of DoT.
The required satellite capacity (space segment) shall be obtained by the Licensee from the Department of Space (DoS)/ NSIL or space segment provider duly authorized by DoS/ IN-SPACe on terms and conditions as applicable.