Phase III of radio deregulation in India will finally take place by November, Information and Broadcasting (I&B) Secretary Bimal Jhulka says.

The Business Standard reports that the minister confirmed the date in a meeting with private radio executives on Thursday.

Industry leaders were told that the e-auctions for 839 new FM frequencies in 294 cities would take place by November.

The pre-qualification advertisement will happen by September, the paper says.

Phase III is the third stage of private FM radio licensing in India – a process that was delayed several times by the previous government.

The first two phases saw 245 frequencies auctioned, initially for the country’s largest metropolitan areas like Mumbai, Delhi and Kolkata but eventually for medium-sized cities too, including Ahmedabad, Pune and Combatoire.

Phase III will see private FM radio reach many of India’s smallest cities and towns for the first time.

There is also expected to be tough competition for the last few ‘metro’ frequencies that will be auctioned off in Mumbai, Chennai and Delhi.

Under Phase III, a radio network will be allowed to own up to 15 percent of FM frequencies (with more generous allowances for rural areas).

The government was also expected to raise the limit on foreign direct investment (FDI) in the radio industry to 49 percent from the current 26 percent, although this is uncertain.

Executives says the investment by foreign players would give a the industry a much needed shot in the arm.