Pakistan has raised $395 million by auctioning spectrum of one block of 10MHz paired spectrum in 850MHz band, and sole bidder Telenor Pakistan won it at base price.
“This auction for period of 15 years is going to fetch $395 million for Pakistan against $291 million base price in 2014, witnessing more than 35 percent higher with the latest transaction,” minister of state for Information Technology Anusha Rehman said while briefing media here at PTA headquarters on Thursday evening.
Flanked by PTA chairman Dr. Ismail Shah, the minister said that PPRA rules allowed sole party for participating and winning the auction. She said that efforts were made to lure new entrants, but in the wake of tough competition and requirement of more investment on infrastructure, made it hard for new players to come into this market.
To a query, the PTA chairman said that they did not have problem for sharing consultant report with the media and masses in order to ensure transparency. He said that there was need to conduct study to ascertain impact of Next Generation Mobile Service on Pakistan’s GDP growth as the WB had estimated on the basis of different countries that it jacked up growth in the range of 06 percent to over 1.5 percent.
He said that the deadline for submission of applications for this transaction was 1st june 2016 till 4pm. Only Telenor Pakistan submitted application.
The application of Telenor was evaluated in accordance with the terms and conditions of the information memorandum (IM) and found complete in all respects. The applicant has been notified winner accordingly.
The license will be awarded to Telenor within 30 days of payment. Either they will have to pay 100 percent as upfront and remaining in installments of five years with 3 percent plus KIBOR rate.