5G: Roll Out of Additional Spectrum Licence May Take Two Years – NCC

To further boost digital communication services, the Federal Government in September 2021 announced the deployment of Fifth Generation Network (5G). Since then, NCC has rolled out two slots of 3.5 Gigahertz (GHz) spectrum in which licences have been granted to two preferred bidders, MTN and MAFAB, who have paid the sum of $273.6 million each.

Commenting on when NCC will roll out additional spectrum for bidding, the Executive Vice Chairman and Chief Executive Officer, Nigerian Communications Commission (NCC), Prof. Umar Danbatta said there is a provision that the first set of bidders would have to spend about two years fixing infrastructure and experimenting it before additional licences are offered.

Danbatta stated this in a chat with journalists recently on the activities of the commission regarding assignment of licences for 5G spectrum.

He said “There is a provision in the Information Memorandum which is very categorical, that we need to give the companies that have emerged as preferred bidders up to two years before we offer additional 5G spectrum licences. But of cause, the provision is subject to review, and is currently in process.

“We want to ensure that the two (MTN and MAFAB) are assigned their licences and will be given time to see what plans they have, as they have to finish installation of infrastructure that will support this additional services. Everything is on the table. We have so far auctioned two slots. We have three more to go and nothing stops the NCC from assigning the remaining slots, but delaying the rollout until after two years.

“Or if the government says cut down the remaining years from two years to may be one year and provide additional incentives to the two licenses, then we can agree that there is need for reduction in the waiting time for licensing of additional 5G spectrum.”

He reinterated the NCC’s commitment to tackling infrastructural deficits in the digital technology sector in order to provide accessible and affordable broadband services across the country.