PTA Shortlists Consultants for 3G/4G Auction in AJK & GB

Pakistan Telecommunication Authority (PTA) has short listed two consultants/consulting firms after technical evaluation for the calculation of base price and design of auction process for Next Generation Mobile Services (NGMS) 3G/4G spectrum in Azad Jammu and Kashmir (AJ&K) and Gilgit Baltistan (GB).

The short listed applicants  are APPNEX Pvt Limited and OPTIWAVE Technologies Private Limited.

The  short listed applicants will go into financial evaluation stage and the consultancy will be awarded based on the evaluation criteria as mentioned in the Request for Proposal (RFP).

Delayed Auction Price

The AJ&K and GB Council approved policy directives for 3G/4G in AJ&K and GB on August 17, 2017. After the approval of AJ&K/GB Council, the policy directive was issued to the Pakistan Telecommunication Authority (PTA) for the NGMS spectrum auction.

For the calculation of base price and design of auction process for 3G/4G spectrum in AJK & GB, PTA decided to hire consultant/consulting firm and sought expression of interest (EoI) by September 15, 2017, which was later delayed to September 29.

However, PTA again sought EoI from interested consultants by October 19, 2017 and hence the auction process was delayed twice.

Consultant Duties

The consultant will be required to calculate the base price and design a transparent and competitive auction process for NGMS 3G/4G in AJK & GB. As finalized by the PTA & the Ministry of Information Technology and Telecommunication in collaboration with the Frequency Allocation Board, the following frequency blocks for provision of NGMS spectrum auction in AJ&K and GB are suggested:-

For auction: 

a) Three blocks of 10 MHz each in 2100 MHz (Block A).

i) 1920-1930/2110-2120 MHz (Block A).

ii) 1930-1940/2120-2130 MHz (Block B).

iii) 1940- 1950/2130-2140 MHz (Block C).

b) One block of 10MHz in 1800 MHz band.

i) 1775-1785/1870-1880 MHZ.

Earmarked for SCO: 

a) One block of 10MHz in 2100 MHz band 950-1960/2140-2150 MHz;

b) One block of 10MHz in 1800 MHz band 1759.1-1769.1/1854.1-1864.1 MHz.

Only those operators who participate in the auction of 2100 MHz band can bid for 10MHz in 800 MHz band.
The consultant will carry out a comprehensive assessment study of AJK & GB telecom market in terms of uptake, profitability, competitiveness and consumer choice; international best practices, using appropriate tools such as econometric /analytical models and market analysis for the spectrum.

The consultant will design an open, competitive, transparent auction process, mitigating chances of collusion among bidders and fulfilling policy objective of optimal outcome, while keeping in view the international best practices as suited to AJK & GB market.

The consultant is expected to provide all the expertise to the PTA to complete the assignment. The applicants are required to highlight competencies and expertise including advisory services relating to telecommunications and information technology, as well as relevant legal, regulatory, economic and technical knowledge.

The expenditures incurred on the consultancy will be met by the PTA out of the auction proceeds.
The base price shall be approved by the council on recommendations of Auction Supervisory Committee (ASC). While recommending the base price, the ASC might consider the consultant”s recommendations in respect of base price.

All existing telecom operators in Pakistan, AJ&K and GB will be eligible to participate in this auction. A new license for the provision of next generation mobile services will be issued to the successful bidders/auction winners. The tenure of license will be 15 years.

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