Operators table more than R8bn so far for high-demand spectrum

14th March 2022 By: Natasha Odendaal - Creamer Media Senior Deputy Editor

The Independent Communications Authority of South Africa (Icasa) has raised more than R8-billion so far from the first week of the International Mobile Telecommunications radio frequency spectrum auction.

The authority kicked off the long-awaited spectrum auction with the opt-in phase on March 8, securing R2.6-billion in proceeds.

Rain was awarded two by 10 MHz in the 700 MHz band and 10 MHz in the 2 600 MHz band for R1.15-billion, while Telkom secured two by 10 MHz in the 800 MHz band for R1.5-billion.

The main stage auction started on March 10 and will continue on March 14.

“Icasa is pleased to announce that the auction is proceeding very well and can confirm that we have gradually passed estimated R8-billion proceeds from the auction. Generally, spectrum auctions of this nature can take weeks to clear. However, the authority will announce the winning bids attained by each bidder at the end of the auction stage,” the authority said in a statement.

Meanwhile, following Cabinet approval for the amendment of the Policy Direction on the licensing of the Wireless Open Access Network (Woan), which resulted in the removal of the Woan, Icasa said it had already started the process of revisiting the Woan and its related business case and will consider government’s latest position on this matter.

The new amended policy was gazetted on March 11, amending the Policy on High Demand Spectrum and Policy Direction on the Licensing of a Woan published on July 26, 2019, with stakeholders having 30 working days to comment.

“The available spectrum for licensing on the Woan does not meet the viability threshold as determined in the study conducted by the Council for Scientific and Industrial Research on behalf of the Department of Communications and Digital Technologies,” said Communications and Digital Technologies Minister Khumbudzo Ntshavheni.

“The policy objectives that were intended to be achieved by the Woan will be realised using the Next Generations Radio Frequency Spectrum policy that is currently being finalised for public consultations.”

Icasa further announced that it had joined the digital migration litigation between e.tv and the Communications and Digital Technologies Minister taking place on March 14 and 15, in support of the Minister to see this process concluded without further delay.

“Icasa has noted the switch-off date announced by the Minister; and is in full support of government’s commitment towards the implementation and completion of the digital migration process across the country.

“South Africa has been lagging behind and this process must be concluded sooner rather than later and Icasa is calling on all broadcasters and stakeholders in general to support the conclusion of this process,” the authority concluded.