The Bangladesh Telecommunication Regulatory Commission (BTRC) has launched a study to determine how much mobile operators should pay for spectrum, as operators face huge payments this year to renew spectrum they already hold.
The Tk29.5 lakh research project, approved at a commission meeting last month, is due to be completed by 15 September. Its findings could provide a new basis for pricing spectrum in future allocations and renewals.
The study will assess spectrum pricing against Bangladesh’s socioeconomic conditions, the domestic telecommunications market and the financial capacity of mobile operators. It will also compare spectrum prices and allocation practices in other countries.
The timing puts the study at the centre of a significant cost decision for the industry. Mobile operators are expected to invest huge sums this year to renew their existing spectrum holdings, making spectrum valuation important for both operators’ finances and future network investment.
Bangladesh charges too much for allocating spectrum among mobile operators, they say, claiming that high costs reduce their ability to offer superior services at affordable costs.
For the regulator, the challenge is to balance the value of spectrum as a scarce public resource against operators’ ability to invest in networks and sustain services. A pricing structure that does not reflect local market conditions could affect investment capacity, while underpricing spectrum could reduce the return to the state from a limited public resource.
The proposal was first placed before the Research Steering Committee at its second meeting on 15 October last year. The committee considered the research timely and essential for developing the telecommunications sector and ensuring optimum use of spectrum.
Under the BTRC Research Policy-2025, the commission approved an administrative order and an agreement to implement the study. The Research Steering Committee was instructed to finalise the agreement and sign it with the relevant department as soon as possible.
The research findings will be reviewed by a three-member panel headed by a suitable member of the Research Steering Committee. The panel will consider international journal articles and research papers, including their models, analyses and findings, alongside Bangladesh-specific market conditions.
The research team will comprise BTRC officials and an external consultant with expertise in development economics, financial analysis and public policy.
BTRC Director General of the Spectrum Division will serve as convenor and chief coordinator. BTRC Director of Engineering and Operations Md Sohel Rana will be the Principal Investigator, while BTRC Deputy Director of Spectrum Shamsuzzoha will serve as Co-Principal Investigator.
Other members include the BTRC Director of the Spectrum Division, the external consultant and officials from the Spectrum and Systems and Services divisions.
