Telkom files for spectrum ITA interdict

5th January 2022 By: Natasha Odendaal - Creamer Media Senior Deputy Editor

Telecommunications group Telkom has filed an application at the Gauteng High Court to have the Independent Communications Authority of South Africa’s (Icasa’s) spectrum Invitations To Apply (ITAs) reviewed and set aside.

Included in the application is an urgent interdict to prevent Icasa from processing any applications until the review is heard.

Icasa published the final ITA for the licensing process for the International Mobile Telecommunications spectrum on December 10, providing for stakeholders to submit their applications by January 31.

The announcements of qualifying bidders and start of the actual auction phase are scheduled for February 21 and March 8 respectively.

However, Icasa’s decision to include sub 1 GHz spectrum in the intended auction has led to Telkom’s move to challenge the ITA.

“This band is currently the subject of a legal challenge brought by eTV. The outcome of the legal proceedings, set to be heard starting on the March 14, will have a material impact on the availability of spectrum in this band,” said Telkom regulatory affairs and government relations group executive Dr Siyabonga Mahlangu, who noted that the timing of the ITA is ill-conceived as the auction process does not consider the timing and impact of the findings of the legal challenge.

“This is further compounded by the lack of clarity around the Wireless Open Access Network (Woan) as the ITA for the Woan has not been published,” Mahlangu continued.

In November, Icasa said it had temporarily suspended the licensing timetable for the release of the Woan spectrum to allow the high-demand spectrum permanent licensing consultation process to be completed and enable Icasa to “interrogate the impact of the outcomes on the licensing of the Woan.”

“This has serious consequences for the ITA. Potential bidders like Telkom are not able to take a holistic view of the availability and conditions of access for total available spectrum before making their submissions for the auction,” explained Mahlangu.

“We would have hoped that the withdrawal of the previous ITA and referral of the matter back to Icasa for reconsideration in terms of the court order during September 2021 would have been followed by extensive consultation to understand the challenges the previous ITAs presented and avoid repetition of these in the current version.

“Unfortunately, this did not happen and regrettably, we find ourselves in this position once again.

“The issue of a competitive landscape is key for the entire sector and not only Telkom. The impacts of a further skewing of competition in this market, through ill-considered licensing of spectrum, will be long lasting and negatively affect the availability of services and prices to consumers,” he concluded.