The Bangladesh Telecommunication Regulatory Commission (BTRC) is likely to change its licensing guidelines apparently to facilitate a new Wi-max licence to the Bangladesh Internet Exchange Ltd (BIEL), operating under the brand name of Ollo.
According to the four recommendations proposed by the BTRC, it wants to change section 10 of the Technology and Spectrum Allocation under the BWA (broadband wireless access) Service Guideline. The original guideline was published back in 2008.
The amendments would especially allow Ollo to run LTE (long-term evolution, a fourth generation telephone and mobile broadband communication standard) services, which will enable it to handle both voice and data, making it the most influential operator in the country.
The BTRC also recommended new subsections to empower the government to decide fees, charges, and spectrum allocations, even those fixed earlier by the auction.
“The licensee(s) will be authorised to develop nationwide BWA services, based on the international standards as approved by the commission,” the recommendation says.
Sources said through the new recommendations, Ollo will be eligible for the FDD (frequency-division duplexing) spectrum instead of the TDD (time-division duplexing) spectrum, meaning it would be able to provide mobile phone services.
“Whereas mobile operators will have to pay $20m [Tk1.55bn] for each megahertz of 3G spectrum, Ollo will get the same type of spectrum through a Wi-max licence paying only Tk2.15bn for 20MHz. It will be a huge financial crime,” a chief technology officer at one of the mobile operators told the Dhaka Tribune.
Earlier in April this year, the BIEL (Ollo) applied for a Wi-max licence, and the BTRC gave recommendations in its favour.
In its reaction, however, the telecommunication ministry asked the BTRC if the disparity in the prices of 3G and LTE spectrum would put the 3G auction at risk.
The BTRC recommended awarding the BIEL the Wi-max licence for Tk2.15bn based on a “dead auction” as it had been held five years ago. Experts and lawyers protested the decision, saying it was unlawful.
The BIEL had attended the auction in 2008 and placed sixth. But it had withdrawn it earnest money of Tk30m immediately and refused to take the licence after an auction winner refused to avail it.
In the face of huge criticism from different quarters, the BTRC finally decided to change its guideline at its meeting on August 14.
Sources said the BTRC chairman and the commissioners had attended the daylong meeting, but their letter sent to the telecommunication ministry said the recommendations were sent the same day.
“It means that the BTRC sent the set of recommendations to us before approving it in the commission meeting,” a high official at the telecom ministry said.
The present Wi-max operators were very concerned about the decision.
“As the conditions may change because of this proposed amendment, we would like to request the regulator to discuss the extent of the modifications with us in detail because it may impact the way we do business and run our operations,” Faisal Hyder, CEO of Augere Wireless Broadband Bangladesh Ltd (Qubee), told the Dhaka Tribune.
He said: “We also believe our experience in this field can be useful in deciding the right course of action to achieve the ‘Digital Bangladesh’ goal.”
Wi-max licence without auction According to the proposed changes, the BTRC recommended that the government decide the terms and conditions, including fees and charges.
But barrister Aneek R Haque, who conducted the auction in 2008, said: “The licensing procedure of the BTRC clearly says, nobody can award Wi-max licence without auction. It means if the BTRC recommends doing so, it will be unlawful.”
Self-contradictory guideline It is clearly told in the existing guideline in section 4.03 that “two licences will be awarded to the prospective application(s) to provide national BWA service in 2.3GHz and one licence will be awarded in 2.5GHz spectrum bands.”
But following the proposed amendment, the regulator will only change the spectrum allocation place in section 10.03, where it proposed three licences but in 2.5 and 2.6 bands.
A high official at the ministry said: “It proves that the BTRC is not aware of the complete guideline. They have got an assignment to award a licence to a specific operator and are only trying to fulfil that task.”
Ollo could hold two ISP licences According to the current guideline, no Wi-max operator can hold ISP licences. But the BTRC recommended deleting two clauses of the guideline, which can help Ollo get two ISP licences with a total of 14MHz spectrum.
The BIEL and its partner New Generation Graphics Limited (NGGL) already have 7MHz each in 3.5 band. The NGGL has also been awarded another multimillion-dollar spectrum of 20MHz in 800 band free of cost. Telecom operators have termed it a “digital dividend.” The BTRC is now facing a writ-petition against the allocation.
The NGGL and BIEL already have 34MHz spectrum jointly. “If they get another 20MHz, they will be the spectrum Mughals of the country,” a high official of the BTRC said, requesting anonymity.
He said there was proof that the Access to Information (A2I) project of the Prime Minister’s Office requested that the NGGL get the 800-band spectrum in 2011.
BTRC criticises operators unethically In its recommendation, the BTRC also attached unethical remarks as it criticised the existing Wi-max operators – Banglalion and Qubee – apparently to justify the amendments.
They claimed that both operators had failed to fill the vacuum of broadband wireless services.
In reply of the criticism, the Augere Wireless Broadband CEO said: “Qubee has an extensive network that is working very well. It has been expanded recently and for the most part Qubee has met its roll-out plan objectives.
“We have right now many other challenges and limitations which need to be fixed by working together. It’s mostly about building right infrastructure, taking appropriate policies and setting right guidelines which will complement the growth of the industry. We always welcome and believe in competition at playing level field.”
Regarding the issue, the Dhaka Tribune tried to get in contact with BIEL Managing Director Yulia Aksyutina through email, but she did not reply the mail.
It also tried to reach BTRC Chairman Sunil Kanti Bose over phone, but he did not take the call.
A BTRC commissioner said: “The chairman does not like us to make comments on the matter. He has put pressure on us about this issue.”