NBTC plan for TrueMove-DPC frequency 'may violate law'
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The National Broadcasting and Telecommunications Commission will risk violating the law and creating unfair competition if it permits any party to use the 1,800-megahertz frequency of TrueMove and Digital Phone Co to oversee their customers after their co
Jantajira Iammayura said that once the concessions end, this spectrum must be returned to the NBTC for reallocation by auction only, according to Article 47 of the Constitution and Article 45 of the Frequency Allocation Law.
She made the point in an article on a legal problem regarding the expiry of the 1,800MHz concessions on September 15.
If the NBTC decides to allow TrueMove and DPC to continue using this frequency on an interim basis to serve subscribers after the concessions end to prevent an impact on the subscribers, this will risk creating unfair competition. While both will be given the spectrum without an auction, they will be subject to the licence fee of only almost 6 per cent of revenue while their competitors still have to pay the concession fee of 20-30 per cent of gross revenue annually. Article 84(5) of the charter requires the NBTC to ensure fair and free competition.
If DPC and TrueMove return the 1,800MHz frequency to CAT Telecom, which granted their concessions, and the return is without an auction, this will breach the law and disrupt the NBTC’s licensing regime, as the commission will not be able to reallocate the frequencies of former concession holders.
The NBTC on Wednesday approved the draft measures to protect the 1,800MHz subscribers of TrueMove and DPC after their concessions end. Two commissioners voted against the draft – Prawit Leesatapornwongsa and Supinya Klangnarong. The NBTC has 11 members but two were absent.
Both Supinya and Prawit have been concerned that the draft might face a legal challenge as there is no law granting the NBTC the authority to allow any party to take care of the combined 17 million subscribers of these two cellular operators after their concessions expire.
According to the draft, the NBTC will award a one-year licence to a party to look after all these 17 million users. This party will have to pay a licence fee.
NBTC vice chairman Settapong Malisuwan said after the NBTC’s meeting that the regulator was obliged to take responsibility for these subscribers. The watchdog is expected to assign a certain party in August to take care of these customers.
DPC also submitted its opinion on the remedy draft to the NBTC on Monday, saying the commission should ensure fairness between the private concession holders and the party that will be assigned to oversee the 17 million subscribers on a licence basis during the one-year transition. If not, the NBTC will be accused of being unfair.
