Billions of revenue loss in the lack of frequency distribution

The Nepal Telecommunications Authority (NTA) itself is found flouting frequency policy. Auctioning of frequency on 2100 MHz bandwidth should have been done by mid-March 2017, but NTA has not even initiated the process. No distribution of frequency has caused loss of more than NPR 1 billion revenue to the government in last one year.

Due to weakness of NTA, 80 MHz frequency in 2100 MHz has not been distributed. As per the frequency policy, the regulator was supposed to auction frequency in the 2100 MHz within three to six months after issuing two basic telephone service licenses.
United Telecom Limited (UTL) has already been granted with unified license. It has been 16 months since then, yet auction process has not gathered pace. Min Prasad Aryal agrees that the auction process is taking more time. "Though late, the required preparations have started for the auction process,” he said.

The amendment in the frequency policy last year had not made any change to frequency fee in the 2100 MHz band. Per MHz frequency fee has been fixed at NPR 12 million for in this band. If distribution of the frequency was done on time, the government could have earned billions of revenue from the frequency and from the existing spectrum already assigned after price review.

Source: Naya Patrika