Auction Delay Frequency Adverse Public and Country
Auction of Adverse Frequency of Public and Country Agus Pambagio (Illustration: Bagus S Nugroho / detikcom)
Jakarta - The frequency of telecommunications is a public domain and its use by the state is regulated through Law No.36 of 1999 on Telecommunications. When these frequencies can be capitalized, it must be taken into account the most optimal economic benefits for the state and the public. Since information technology is developing very fast, then the government must also be alert and quickly prepare the rules and development.
The heart of mobile telecommunications technology is frequency. Frequency numbers are limited but their needs are endless. This understanding should be based on the plans of the Ministry of Communications and Information Technology to immediately auction off the long-delayed 2.1 and 2.3 GHz frequencies in order for people to get better access to telecommunications at affordable costs.
The Indonesian government, in this case Kemenkominfo, has delayed the auction of 2.1 GHz frequency band since 2014, while the 2.3 GHz frequency band has been delayed since 2009. So you can imagine how much the government losses to date. Auction delay has a direct impact on state finances; potential PNBP lost until July 2017 on the use of 2.3 GHz and 2.1 GHz bands of approximately Rp 6.24 trillion (Rp 3.7 T of 2.3 GHz pending auction for 94 months or since August 2009, and Rp 2.25 T of 2.1 GHz pending auction for 32 months or since October 2014)
This delay also affects delayed broadband service to the public. According to the International Telecommunication Union (ITU), every 10% increase in broadband penetration will provide an additional 1.38% of GDP growth of a country, and every 1% increase in broadband penetration will reduce unemployment growth to 8.61%
Frequency Auction Inhibitors
The 2.1 GHz and 2.3 GHz frequency auction was originally scheduled for March 2017, then postponed to May 2017, and until now the draft Ministerial Regulation (RPM) as the basis for the implementation of the frequency spectrum auction has not been resolved. In addition to the RPM problem, the auction of both frequencies is also hampered by the recommendation of the Ombudsman of the Republic of Indonesia (ORI) on the complaint of PT Corbec Communication (CC) which can not be executed by the Ministry of Communications and Informatics because it is inconsistent with the Supreme Court Decision.
It is planned that the government will soon auction the remaining 20 MHz on 2.1 GHz band plus 30 MHz in 2.3 GHz band, but until today has not been able to be done because of the opinion of ORI. For 20 MHz auction in the 2.1 GHz frequency band there is no problem. Constraints arose in the 2.3 GHz auction because, firstly, the Ministry of Communications and Informatics should allocate 1 x 15 MHz for CC and only the remaining 1 x 15 MHz auctioned. If this is done by the Ministry of Communications and Informatics, then legally also problematic because there is no MA command to give 1 x 15 MHz to CC for free.
Secondly, if the government conducts an auction only for 1 x 15 MHz, then the government will at least lose about 50% revenue from Rp 3.7 T and the Ministry of Communications and Informatics can be accused of harming the state. On this basis the Minister of Kominfo Rudyantara delayed the auction of 2.3 GHz frequency band either up to when. Of course this step is detrimental to the public, the operator and the state but safe for officials of the Ministry of Communications and Informatics.Steps to Take
All steps have been taken by the government, but apparently the efforts of PT CC to request a 15 MHz quota in the 2.3 GHz frequency band did not stop, so the government finally re-delayed the auction. The only final effort from the Ministry of Communications and Informatics is to re-request the President to hold the Limited Meeting (Ratas) in August 2017 because it has twice scheduled for Ratas but canceled. The decision for the 2.3 GHz frequency auction must be 1 x 30 MHz, not 2 x 15 MHz.
The auction must use a method that ensures fairness and has been used in many countries, for example using a simultaneous multi-round action (SMRA) method. Then the bidbond must be large enough to ensure that serious bidders are to develop their own telecommunication services in Indonesia. Guarantees to build must also be accompanied by measurable and scheduled targets. So if the winning operator breaks the promise, the state can sanction or fine big enough, in accordance with applicable laws and regulations.
Furthermore, the Ministry of Communications and Informatics can provide the frequency allocation in CC in accordance with the process that has been running for this, namely in the 3.3 GHz frequency band. If the Ministry of Communications and Informatics still hesitate and require opinions or legal considerations then it can request a legal "fatwa" to Kemenhukham, Attorney General or other legal entities. That is, Kemenkominfo will only implement the recommendations of the Supreme Court, without any additional interpretation of ORI recommendations, but the regulator should explain well the reasons.
If the CC accepts the Supreme Court's decision but wishes to obtain frequencies in the 2.1 GHz and or 2.3 GHz bands, the CC may enter the auction on both terms on the same basis as the other bidders. Since the auction participants including CC only 5 (five) operators, to ensure the optimal use of frequency and amount of non-tax revenues, no restrictions on bidders are required. In other words, all of them can follow the auction at 2.1 GHz and or 2.3 GHz.
In closing, the Ratas is the final key in which its decision can no longer be contested because it was decided directly by the President of the Republic of Indonesia.
Jumat, 20 April 2018
public auction | Auction Delay Frequency Adverse Public and Country
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