Comm. Minister Timilsina pushes for 5G Spectrum Auction

A 5G spectrum auction is likely to take place soon in Nepal. According to fresh reports, the current communication minister, Dr. Bikram Timilsina, is pushing for a 5G spectrum auction to realize the next-generation cellular network dream a reality.

The minister has already held a meeting of the Frequency Determination Committee. The ministry has shared that the base price for the 5G spectrums has been determined after a meeting on Chaitra 23, and now, they will head to the auction for NT and Ncell.

5G spectrum auction and price details in Nepal

The communication ministry has set Rs 40 lakh per MHz per year as the base price, using the 3500 to 3700 MHz band as a base. Now, NTA will proceed toward the historic auction. Likewise, the price of 700 MHz (another key spectrum for 5G) has already been set at Rs 1.35 crore per MHz per year, which was already determined in the spectrum policy 2080.

“The Minister viewed this with great importance as soon as he arrived. That is why he called the committee meeting and fixed the base price,” Dr. Pradip Paudyal, NTA’s Assistant Spokesperson said. “Following this, we will issue a notice for the frequency auction within a few days.”

He also added that companies must clear their dues to participate in the spectrum auction. After acquiring the radio waves, they can procure the necessary equipment to start 5G network in Nepal.

Find more on 5G standalone vs standalone networks.

5G spectrum status of Ntc and Ncell

So far, state-backed Ntc has trialed 5G for a brief period, while Ncell has sought the resources from the authority.

• Nepal Telecom (NTC): In 2078, Nta granted NTA 60 MHz of frequency in the 2600 MHz band to trial 5G.
• Ncell: Recently, Ncell has requested frequencies for a 5G trial. It has sought a 15 MHz frequency in the 700 MHz band and a 100 MHz frequency in the 2600 MHz band. Unlike Ntc, the telco hasn’t tested the network yet.

As per the Radio Spectrum policy 2080, NTA will initiate a spectrum auction and provide new frequency bands with technology neutrality. This allows the telcos to use the frequency bands for both 5G and 4G services.

Private telco Ncell has remarked that 5G rollout will require a clear roadmap and justifiable use cases. In the recent past, the telco also expressed its skepticism over investing huge in 5G with a limited market in Nepal. But there are indications that if telecom companies use subscription models, then the next-gen network could deliver on the financial prospects for the operators.

What to do for affordable 5G?

As we approach a likely 5G rollout in the near future, there’s a big question: What could be the price for a 5G subscription? Likely, it would be pricier than what mobile subscribers are paying at the moment. But to mitigate this, the government can offer spectrum at subsidized tariffs or free for a few years, which would also drive down the cost for 5G on the users’ end. Also, 5G equipment sharing deployment could keep the next-gen cellular services approachable for users.

Since there is a growing penetration of 5G phones in Nepal, more users are eager to try out the network on their phones than ever. Similarly for telcos, there are areas with higher data demands that are not met by the existing 4G capacity. But it can be met by bringing 5G with enormous capacity on top of the existing 4G capacity.

The recent governments have encouraged Ntc to launch 5G for the public. Therefore, the developments at Nta could point to a major breakthrough in FY 2083/84. Ntc 4G has reached over 98% local levels, but 5G will deliver faster data speed, consistency, and minimal latency. Let’s wait with hope that the expectations turn into reality soon.

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