NCC To Auction 5G Spectrum in December

The Nigerian Communications Commission (NCC) has officially declared that the auction of the 3.5 Gigahertz (3.5 GHz) spectrum for the deployment of Fifth Generation (5G) technology in Nigeria, will take place on December 13, 2021.

This was contained in the Information Memorandum (IM) presented by the NCC at a stakeholder engagement forum organised on 5G spectrum in Lagos on Sunday, November 7.

NCC revealed it will adopt the Clock Auction format, which is software-based while a mock auction has been slated for December 10, 2021, as a precursor to the actual auction on December 13, 2021.

The IM provides information, conditions, obligations, financial implication, timelines and other necessary details on the planned 3.5Ghz spectrum auction.

It also explains the rollout obligations of the would-be eventual winners of the spectrum licence auction, whose reserved price has been pegged at $197.4 million (N75 billion).

Only licensees, who make a down payment of 10 per cent of the reserved bid price; and with 100 per cent regulatory compliance would be allowed to participate in the auction, according to the NCC.

Licensees with outstanding debts that have secured NCC’s approval; for a payment plan will be allowed to participate in the auction.

“The auction comes with a 10-year spectrum licence; and a minimum requirement of an operational Universal Access Service Licence (UASL). However, new entrants or licensees without a UASL will be required; to obtain a UASL operational license to be qualified for the 5G licence,” the memorandum read.