The Nigerian Communications Commission (NCC) has completed plans to auction off two additional slots in the 3.5 GHz spectrum band to deploy the country’s 5G network.
This disclosure is contained in an information memorandum titled Information Memorandum on 3.5 GHz Spectrum Auction, which was seen by Naijaonpoint and signed by the NCC’s Director of Public Affairs, Reuben Muoka.
When the NCC last auctioned off 5G spectrum licenses, the reserve price was set at $273.6 million for a 10-year period.
The bids were won by MTN Nigeria Communications Plc and Mafab Communications.
What the NCC Spokesman is saying
Muoka said the commission would hold a public consultation of the draft information memorandum on November 15, in line with the commission’s participatory rule-making process for the communications sector. Part of the memorandum said:
- “The Nigerian Communications Commission in the exercise of its functions under the Nigerian Communications Act 2003 (the Act) has published the pdf Draft Information Memorandum (IM) (2.01 MB) for its upcoming auction of the remaining slots of 2 x 100MHz in the 3.5GHz spectrum band to support 5G deployment in Nigeria.
- “The commission will hold a public consultation regarding the Draft IM on Tuesday, November 15, 2022. This is in line with the commission’s participatory rule-making process for the communications sector, to allow stakeholders and interested parties to review and comment on the draft IM before the final document is published.”
The document also stated that the NCC must receive all public submissions by November 11, 2022. Please send your submissions to the Executive Vice Chairman, Nigerian Communications Commissions, Plot 423 Aguiyi Ironsi Street, Maitama, Abuja. And the subject line should read “Attention: Head – Spectrum Administration/ Chairman SG Auction Committee.”
At the time of the auction, Entrepreneurng understands that the minimum price for one slot of 100MHz TDD for a 10-year license tenure is $273.6 million. That works out to $547.2 million for two licenses.
What you should know
- Earlier in February 2022, MTN Communications Nigeria and Mafab Communications Limited paid $273.6 million each for the 5G Spectrum licenses to NCC after the duo won the 3.5 Gigahertz (GHz) 5G spectrum license.
- Industry stakeholders and observers commended the NCC for the auction and described it as fair, well-organised and designed to deliver the ideal outcome.
- The auction raised a substantial amount for the Federal Government and set the stage for the next phase in Nigeria’s 5G roadmap.
- While MTN has rolled out the 5G mobile network, Mafab got the approval of NCC to extend its roll-out till December 31, 2022.
