PTA sets up to $27.4m base prices for various spectrums
By Muhammad Yasir
KARACHI: The Pakistan Telecommunication Authority (PTA) has base prices of $25,000 to $27.4 million for frequency bands of 1.9 MHz and 3.5 MHz separately that are to be awarded to different existing telecom operators in 14 different telecom regions.
The authority will award available spectrum to existing Fixed Local Loop (FLL), Wireless Local Loop (WLL) and Class Value-Added Services (CVAS) licencees through telecom region-wise auction process to be held on May 3, Information Memorandum (IM) issued by PTA said on Thursday.
PTA has fixed annual spectrum charges from $10,000 to $75,000 for different telecom regions depending on capacity and potential areas of business.
The award of spectrums is carried out for improving services of telecommunication sector with the broader objective of increasing investment and competition.
According to the terms and conditions, a nationwide licence holder can bid separately for spectrum in the 14 telecom regions or less, while on the provincial level licence holder can bid for all telecom regions within the licensed province or less. The licence will be valid for up to 15 years.
Interested companies may apply for available block(s) in 1.9 GHz and in 3.5 GHz for their operating telecom regions. If a CVAS licencee applies for a block in more than one designated band(s) in a telecom region, the applicant must submit business plan, financial plan, technical plan and rollout information in respect of each such band.
The bidding company can bid for any or all block(s) in any or all telecom region(s) simultaneously, against the submitted the bid earnest money.
A bidder will not be allowed to bid twice for the same block in a given region in any one round. After each round, the bid amount will be announced and the highest bidder’s details will be recorded (manually or electronically) before the next round.
The successful bidding companies shall deposit 50 percent of the auction winning price after adjustment of the bid earnest money within 30 working days. The remaining 50 percent of the price shall be deposited in 10 equal instalments over the next 10 years.
The licence/spectrum shall only be issued after 50 percent payment of the auction winning price is made within 30 working days from the auction date in dollars, PTA’s IM stated.
Source: Daily Times