TDRI slams NBTC

 

 

In a statement released after the auction results were announced, he said "The results are as expected as the figures slightly increased by 2.8 per cent from the reserve prices." 

At the reserve price of Bt4.5 billion per each of the 9 slots, the cumulative reserve prices are Bt40.5 billion. The cumulative bids of Bt41.625 billion is below full value by Bt16 billion. 

"Though this auction paves way for full 3G service next year, but this is associated with a disadvantage to the government and taxpayers. It's like a fluke for all bidders, who will see a drop in annual concession fees by over Bt40 billion. With the low bids, this will fatten their balance sheets while consumers can expect no change in service fees," he said. 

He added that NBTC has failed to prove that the auction would draw competition and the results convince the public that there was collusion.  

Two major flaws in the auction are (1) the allocation of slots to satisfy bidders and (2) the too-low reserve prices.

"NBTC should show accountability to the government and the general public, and other related government agencies should also launch investigation into this," he said. 

He also suggested that NBTC avoid using the same strategy in the auction of other licenses.