PTA Releases Information Memorandum for 850MHZ Spectrum Auction

Pakistan Telecommunication Authority (PTA) has released Information Memorandum (IM) for the auction of spectrum in the 850 MHz range and to grant the successful bidders rights to establish, maintain and operate 3G/4G network and to provide 3G/4G services across Pakistan.

The process of the award is named as the Next Generation Mobile Services Award (NGMSA). This Information Memorandum (IM) from PTA sets out the rules, process, planned timetable and other background information to help prospective applicants to decide if they wish to apply to participate in the NGMSA.

Hence, the document aims to provide operators with auction details.

Here are important dates:

• Publication of Information Memorandum (IM): April 30th, 2016
• Consultation period Ends: May 14th, 2016
• Notification of changes to the NGMSA rules and procedures if any: May 19th, 2016
• Information session for prospective bidders: May 21st, 2016
• Deadline for Prospective applicants to submit Application form with Pre-Bid deposits: May 29th, 2016 (4PM – Pakistan Time)
• PTA notifies qualified applicants: June 4th, 2016
• Information package to be provided to qualified applicants: June 7th, 2016
• Mock Auction for Qualified Bidders (if required): June 9th, 2016
• Auction: June 11th, 2016

Frequency lot included in the auction:

• Spectrum Band: 850MHz
• Spectrum Quantity: 2x10MHz
• Spectrum Range:
  • UL: 824-834MHz
  • DL: 869-879MHz

Things to note:

• PTA, with this new spectrum auction, has set minimum user data rate of 512 kbps, up from 128kbps limit it had set previously for 2014 auction of 3G spectrum.
• New spectrum will be for 14 telecom regions of Pakistan, excluding AJK
• PTA set the base price for the spectrum at USD395 million
• New as well as current operators can bid for the spectrum
• Spectrum will be technology neutral and either 2G, 3G or 4G can be deployed with-in the awards spectrum.

Prospective applicants are advised by PTA to seek their own expert advice on whether or not to participate in the award process and on any other matters concerning financial, legal, technical or other implications of the award process and associated policies.

PTA said that it might also conduct an information session for prospective applicants to explain the auction process and rules and other details.

This information session will take take place soon and will be announced by PTA. Its only purpose will be to clarify any questions that prospective applicants may have about the application process and auction itself.

Information Memorandum can be downloaded from this link.