WiMax licence for Ollo

The Association of Mobile Telecom Operators of Bangladesh (Amtob) on Sunday protested the spectrum allocation process and pricing for WiMax licensee Ollo, and demanded an immediate review of recent changes in the BWA (broadband wireless access) guideline. At a press conference in Dhaka on Sunday, the association also called for a thorough consultation with industry stakeholders on spectrum allocation policies and procedure. On November 4, the government decided to award a WiMax licence with LTE (long-term evolution) to the Ollo brand for only Tk2.45bn and allocate it the most valuable 20MHz spectrum on 2600 bands. LTE, a fourth generation telephone and mobile broadband communication standard, will enable Ollo to handle both voice and data services, making it the most influential operator in the country despite spending much less than other operators. Industry experts claimed that the deal with Ollo would cost the country nearly Tk32bn, as the present market price of 20MHz spectrum was more than Tk34bn. TIM Nurul Kabir, secretary general of Amtob, said the controversial government decision might disrupt the level-playing field in the telecommunications sector and create discrimination among operators. “In the 3G spectrum auction, we acquired per megahertz spectrum for Tk1.55bn. But now we find that the government is allocating spectrum for a certain operator for only Tk60m per MHz _ which will incur a huge loss for the country,” Nurul Kabir told journalists. He said the Bangladesh Telecommunication Regulatory Commission (BTRC) had arranged an auction in 2008 for awarding WiMax licences, but it did not do so this time. “As a regulator, BTRC has a duty to protect our interests,” a senior official from a mobile operator said. “BTRC should arrange an open auction as we also want to participate.” Amtob also noted that 2600 bands were specifically allocated for mobile spectrum from the International Telecommunication Union (ITU). However, the association was yet to decide about challenging the government decision in court, Nurul Kabir said in reply to a question from the Dhaka Tribune. Another source said, “As the guideline is not finalised yet, we cannot challenge it. As the big player in the industry, we are seeking a spectrum road map from the regulator.” Mahmud Hossain, chief corporate affairs officer of Grameenphone, Ashraf H Chowdhury, head of corporate affairs of Airtel, Mahmudur Rahman, executive vice president of Robi, and Zakiul Islam, senior director of regulatory and legal affairs of Banglalink, also answered questions from journalists. Earlier, BTRC Chairman Sunil Kanti Bose said the telecom regulator was planning to formulate a spectrum road map. Ollo, a co-brand of Bangladesh Internet Exchange Ltd (BIEL) and New Generation Graphics Ltd (NGGL) applied for a WiMax licence in April this year. Both companies are now owned by the Russian company, Multinet. NGGL already got 20MHz spectrum worth more than Tk30bn free of cost on 800 bands in 2011. In 2008, BIEL had participated in an auction for WiMax licencing, but it came in fifth position and withdrew its earnest money. Legal experts said BIEL was not eligible for a WiMax licence, unless a new auction takes place. - See more at: http://www.dhakatribune.com/regulation/2013/nov/11/wimax-licence-ollo#sthash.uWUY6G4L.dpuf

source: http://www.dhakatribune.com/regulation/2013/nov/11/wimax-licence-ollo