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Govt to Generate $1 Billion Auction of NGMS Spectrum

Islamabad: In the next auction for Next Generation Mobile Services (NGMS) Spectrum, the government intends to make over $1 billion by providing minimal spectrum for Telcos.

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The government has chosen to extend the auctioned spectrum’s 15-year term to GB and AJK in response to public demand, particularly from students who have been vocally protesting the lack of internet access in their communities.

However, sources within the Ministry of Information Technology & Telecom (MoITT) said that the Pakistani system was capable of using the 44MHz spectrum.

The Pakistan Telecommunication Authority will start the auction procedure when the MoITT sends the draught to the federal cabinet for approval (PTA).

PTA would auction off 12.8 MHz of paired spectrum in the 1,800 MHz band and 15 MHz of paired spectrum in the 2,100 MHz band, according to the proposed policy.

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The payment may be done in full up front or in five equal installments over the course of five years at a cumulative markup rate of three percentage points above one year’s LIBOR, with a minimum upfront payment of fifty percent. The frequency assignment has a 15-year term.

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