MTN Ghana secures 700MHz spectrum for US$100.9m

Stephen Blewett, CEO of MTN Ghana, delivering his remarks at the signing of a sponsorship agreement wit

Stephen Blewett, CEO of MTN Ghana, delivering his remarks at the signing of a sponsorship agreement wit

Scancom Plc, operator of MTN Ghana, has secured two lots of spectrum in the 700 MHz band for a total licence fee of US$100.9 million, following the conclusion of the National Communications Authority’s (NCA) competitive allocation process.

MTN Ghana emerged as the sole qualified and successful applicant for the 700 MHz spectrum after the NCA opened and ranked Best Price Offers submitted by qualified applicants on Friday, September 11.

The NCA, in a statement issued on the same day, said the two lots awarded to MTN Ghana represented the maximum number of lots that could be awarded to a single applicant under the Authority’s Request for Applications (RFA).

The allocation forms part of the NCA’s broader programme to assign spectrum in the 700 MHz, 2.3 GHz and 3 GHz bands to support mobile broadband services, including the deployment and expansion of 5G technology.

700MHz process concluded

According to the NCA, the allocation process for the 700 MHz band has now been concluded following MTN Ghana’s successful offer.

“Scancom Plc applied for two lots, which is the maximum number that may be awarded to a single applicant under the RFA. The two lots yielded a total Licence Fee of US$100.9 million,” the Authority said.

The successful acquisition gives MTN Ghana additional spectrum resources in the 700 MHz band, which is being assigned as part of efforts to expand mobile broadband capacity and support next-generation connectivity.

2.3GHz band under-subscribed

While the 700 MHz process has been completed, the NCA said the allocation processes for the 2.3 GHz and 3 GHz bands remain ongoing.

In the 2.3 GHz band, four of the five available lots attracted applications from Ghana Telecommunications Company Limited (Telecel Ghana) and GoIP Telecommunications Ltd.

With only four of the five lots attracting applications, the band is therefore under-subscribed.

The NCA said it would proceed to the next stage of the allocation process in accordance with the terms and conditions set out in the RFA.

Higher demand for 3GHz spectrum

Demand was stronger in the 3 GHz band, where the NCA made three lots available but received four applications from MTN Ghana and Telecel Ghana.

The Authority said the process for the 3 GHz band would continue in accordance with the applicable provisions of the RFA.

The final outcomes for the 2.3 GHz and 3 GHz bands will be announced after all remaining stages of the licensing process have been completed.

The NCA said successful applicants for the two bands would be notified separately.

The latest allocation forms part of Ghana’s continuing efforts to make additional spectrum available for mobile broadband services as demand for high-speed connectivity increases and operators prepare to expand 5G and other advanced telecommunications services.