The Prime Minister has constituted a committee to determine the pricing framework for the upcoming 5G spectrum auction, according to sources.
A sub-committee has been formed under the leadership of Federal Minister Dr. Musadik Malik to review key aspects of spectrum valuation and auction conditions.
Sources told ProPakistani that the sub-committee will set prices for each spectrum band and finalize payment terms along with policy directives. The committee has been tasked with resolving differences within the federal cabinet, where some members favor holding the auction under previous terms, while others support introducing more relaxed conditions for the sale of 5G spectrum.
Telecom operators have demanded that the dollar exchange rate be frozen on the day of the auction. Industry sources said that freezing the exchange rate would allow interest payments to be made in Pakistani rupees, reducing financial risk amid currency volatility.
After the sub-committee finalizes the payment terms, the policy directives will be approved. Once the policy guidelines are issued, the Pakistan Telecommunication Authority (PTA) will release the Information Memorandum. The federal government has set a target to conduct the 5G spectrum auction by mid-February.
Following the issuance of policy guidelines, the PTA will finalize the auction format and spectrum bands. The authority will also determine the reserve price, lot sizes, and rollout obligations. The detailed Information Memorandum will outline technical, legal, and commercial aspects, including auction procedures, bidding rules, eligibility criteria, spectrum caps, payment schedules, license conditions, compliance requirements, rollout timelines, coverage targets, and service quality standards.
Sources said the PTA consultant has recommended keeping spectrum prices low to encourage infrastructure investment. Under such a scenario, all telecom operators have shown interest in participating in the auction