3.5GHz Spectrum auction: Mafab cannot submit request for extension of time to rollout services – Danbatta

3.5GHz Spectrum auction: Mafab cannot submit request for extension of time to rollout services – Danbatta

Nov. 16, 2022

On 13th December, 2021 history was made in the Nigerian Telecommunications Communications industry as the Nigerian Communications Commission (NCC) successfully auctioned 2 lots in the 3.5GHz spectrum.

MTN Nigeria and Mafab Communications Limited qualified for the auction, having met the requirements stipulated in the Information Memorandum (IM) for the spectrum auction and thereafter emerged as provisional licence winners.

Following the operational licences to both operators, there has however been concerns that Mafab Communications is yet to rollout services after one year, even as MTN seeks bid for additional lot in the remaining 3.5GHz mid spectrum band.

Speaking to journalist on Tuesday at the Stakeholders’ Consultative Forum on the Draft Information Memorandum(IM) for the 3.5GHz Spectrum Auction in Lagos, the Executive Vice Chairman of the NCC, Umar Danbatta said though there are justifiable reasons why Mafab communications is yet to roll out services for close to a year after winning the auction, they will not be given an extension of time.

Danbatta noted that Mafab was given the operational licence because they are new entrants into the market, but were required to rollout services within a year.

“If there are challenges where rollout obligations cannot be met, we find solutions to the challenges, that is our role as a regulator and we will try to be as flexible as much as we apply diplomacy in all we do”, the EVC added.

In his welcome address, the EVC said that the Nigerian Communications sector has witnessed a major increase in competition driven by the Government’s liberalisation policies and the robust implementation of initiatives and policies over the years, which has stimulated the growth and development of the sector.

“Therefore, in line with our Strategic Vision (Implementation) Plan 2021 2025, which among other things, seeks to promote fair competition, inclusive growth, increased investment and innovative services, and also facilitate strategic collaboration and partnership, we intend to further deepen broadband penetration and encourage fair competition in the rollout of 5G services in Nigeria by auctioning the available lots in the 3.5GHz Spectrum band.

Politicaleconomistng reports that licensees were expected to commence rollout of 5G services effective from Aug. 24, 2022.

Politicaleconomistng also reports that the auction process is to support the delivery of ubiquitous broadband services for the deployment of 5G network in Nigeria.