The telecom regulator is considering setting aside 3 billion baht to compensate state broadcaster MCOT for the recall of 160MHz of bandwidth on the 2600MHz spectrum to use the range for the 5G auction in February 2020.
The 3 billion baht is based on a study by an advisory team of the National Broadcasting and Telecommunications Commission (NBTC).
NBTC secretary-general Takorn Tantasith said the 3 billion baht accounts for 8.5% of 35 billion baht, which is the reserve price for the 190MHz of bandwidth on the 2600MHz range up for auction.
MCOT holds 160MHz of bandwidth, while the Government Public Relations Department occupies 30MHz. All of the 190MHz has been deemed unused range.
The amended NBTC Act lets the regulator recall all unused frequency ranges for reallocation and auction to ensure optimum benefit for the state, but the regulator must compensate spectrum holders based on a fair calculation.
The NBTC hired three schools to study and value the 2600MHz range for the auction. The study determined that 35 billion baht was an appropriate reserve price.
"For 160MHz of unused bandwidth, 3 billion baht is a suitable figure for compensation," Mr Takorn said.
He said the NBTC's subcommittee working on remedy measures would finalise details of compensation for the 2600MHz recall this month. The compensation plan is expected to be submitted to the NBTC board for approval by year-end.
"If MCOT doesn't agree with the final figure approved by the NBTC board, it could petition the Central Administrative Court," Mr Takorn said.
He insisted that such a petition would have no bearing on the planned spectrum auctions in February. If MCOT agreed to the compensation after the spectrum auction, money raised from the auction would be used to pay MCOT, he said.
The NBTC on Nov 11 announced the Feb 16 auction of four spectrum ranges meant for 5G: 700MHz, 1800MHz, 2600MHz and 26GHz.
In July, MCOT wrote to the NBTC asking for 50 billion baht in compensation for vacating the 2600MHz range.
MCOT president Kematat Paladesh said the 50 billion baht is based on the calculation of opportunity from use of the spectrum bandwidth, as well as the number of future subscribers.
He said the company has to ask for the maximum rate of compensation despite the range it holds remaining unused.