Ministry wants panel to rule on 4G auction

Ministry wants panel to rule on 4G auction

Call for measures to prevent monopolies

The Information and Communication Technology (ICT) Ministry is calling for the digital economy panel to decide the number of spectrum auctions as well as their rules to provide fourth-generation (4G) wireless broadband service instead of allowing the national telecom regulator alone to determine them.

The committee should also reserve a portion of spectrum for state agencies to serve the public interest and ensure national security, ICT Minister Pornchai Rujiprapa said.

The government was on the verge of amending a series of laws and regulations in a major drive to create a national digital economy committee by January.

The committee, to be chaired by Prime Minister Prayut Chan-o-Cha, plans to establish the Digital Economy and Society Ministry by consolidating existing state agencies and enterprises.

Mr Pornchai opposes the proposals of the three major mobile operators which are urging the government to increase the spectra available for 4G auctions as much as possible, warning the government should not repeat the mistakes of the previous 3G auctions which gave bidders a chance to collude and discourage potential bidders from participating.

"I understand the 4G spectrum auction is needed as soon as possible since it will be a critical factor to drive the country's economic growth and develop a digital economy," he said.

However, Mr Pornchai said more stringent measures and rules are needed for the 4G auctions to prevent the formation of natural monopolies among operators, thereby weakening the competitive clout of state telecom enterprises like TOT Plc and CAT Telecom.

He said TOT and CAT needed to have some frequency range to provide services such as public WiFi in order to promote broadband access and services in the country. They need to keep the 900-megahertz spectrum to continue operating further after the concession ends.

The ICT Ministry has also asked other ministries such as the Defence, Education, and Science and Technology ministries to submit their plans for spectrum requirements to the ICT Ministry next month.

"We will then submit their proposals to the National Digital Economy Committee to make the final decision," said Mr Pornchai.

He stressed that the committee should be the authority deciding on the amount and rules of the 4G auctions, not the National Broadcasting and Telecommunications Commission (NBTC). He said the NBTC should only be allowed to the handle the spectrum allocation process, rather than being the decision maker.

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