The GSM Association, the global body of GSM mobile operators, has expressed concerns over the allocation of 2600 band spectrum for Ollo at a “discriminatory price” through a “non-transparent process.”
“The GSMA is greatly concerned that the new BWA [Wi-Max] spectrum fees did not come from an open and competitive market-driven process, which means that they are unlikely to reflect the true market value of the spectrum,” it said in a letter to the government and the regulator.
The Bangladesh Telecommunication Regulatory Commission (BTRC) recently allocated 20MHz spectrum from 2600 band tothe Bangladesh Internet Exchange Ltd (BIEL)for its brand Ollo, for only Tk246 crore, ignoring and denying a High Court ruling.
The GSMA letter signed by its spectrum division head John Giusti, said: “Direct allocation of key spectrum bands such as 2600MHz may have resulted in a loss of value for the Bangladeshi State that otherwise would have been possible through a competitive process open to all interested parties.”
Just before allocating spectrum to Ollo, the BTRCon September 8had sold the same type of spectrum to four mobile operators at Tk155 crore per megahertz.
Industry experts say selling the Wi-Max licence to Ollo has incurred a loss of around Tk3,000crore public money.
The GSMA sent the letter to Post and Telecommunications Secretary Md Abubakar Siddique last week and sent copies to Finance Minister AMA Muhith, Telecommunications Minister Rashed Khan Menon, Executive Chairman of the Board of Investment Dr Syed Abdus Samad and BTRC Chairman Sunil Kanti Bose.
The Dhaka Tribune obtained a copy of the letter. When contacted, Secretary Abubakar Siddique declined to reply any questions and said: “It is an issue of spectrum allocation, so please ask the BTRC about it.”
The GSMA also expressed concerns as the government had changed the BWA (Wi-Max) licensing guideline and allocation of 2600MHz frequency band to BWA licences “without an extensive and transparent public consultation process.”
It said: “This decision is discriminatory treatment between competitive players in adjacent national data services, giving BWA licensees unfair advantages in deploying LTE network.”
The BTRC had given Ollo permission to deploy the LTE, a fourth generation network, before even awarding the licence.
The GSMA urged the government to reconsider the amendment to the BWA guideline and consult with the industry stakeholders for the best way towards generating socio-economic benefits.
Five of the six mobile operators in the countryhave the GSMA membership. Jon Fredrik Baksaas, president and CEO of Grameenphone’s parent company Telenor Group, isnow the GSMA chairman.
The Association of Mobile Telecom Operators of Bangladesh (Amtob) had also expressed concern over giving Wi-Max licence and spectrum to Ollo, a brand of the BIEL and the New Generation Graphics Limited– both now owned by the Russian company Multinet.
