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Bangkok Post
Bangkok Post
Business

Regulator pursues options for unsold satellite packages

The telecom regulator's subcommittee responsible for satellite business has proposed the allocation of satellite orbital slots unsold from January's auction through any means except auction during this year.

The proposal is going to be forwarded to the National Broadcasting and Telecommunications Commission (NBTC) board on Feb 22 for approval, then proceed to a public hearing.

The move is meant to deal with the two packages of satellite orbital slots unsold in last month's auction, in line with Section 60 of the Constitution, which stipulates the regulator has the duty to maintain the rights to use frequencies and satellite orbital orbits for the country, said NBTC commissioner AM Thanapant Raicharoen.

AM Thanapant, also the chairman of the subcommittee, said the regulator needs to map out a clear timeline for how to deal with the two unsold packages to prevent the risk of the rights for the slots being taken away from Thailand.

Five packages were put up for bidding on Jan 15.

There were no bids for the first and fifth packages in the auction. The first covers the 50.5° East and 51° E orbital slots, with a starting price of 374 million baht. The fifth package involves the 142° E slot, with a starting price of 189 million baht.

Space Tech Innovation, a subsidiary of SET-listed satellite service provider Thaicom, won the second package, which covers 78.5° E, with a bid of 380 million baht, and the third package, which covers the 119.5° E and 120° E slots, with a bid of 417 million baht.

National Telecom, a state enterprise, secured the fourth package for 9 million baht, which covers the 126° E slot.

In January, the NBTC board agreed in principle to adjust the existing rule that requires an auction as the only method to allocate the rights to use satellite orbital slots.

If no companies are interested in participating in the bidding, Thailand risks having its rights to use the slots revoked, said AM Thanapant.

If the slots are taken away, the NBTC board could be at risk of violating the Constitution, he said.

Several other methods can be used to allot the satellite orbital slots, including a so-called beauty contest in which an interested party is picked based upon its readiness, qualifications and proposed benefits for the country, said AM Thanapant.

He said two packages received no bids because they did not cater to business in Thailand, requiring operators to seek customers abroad.

The opposite is true for 78.5° E and 119.5° E, which were sought by Thaicom because it wanted to continue its satellite business by leveraging the slots, said AM Thanapant.

Thaicom previously operated the Thaicom 4 satellite on 119.5° E and Thaicom 6 on 78.5° E, but ownership of the two satellites was transferred to the Digital Economy and Society Ministry after the firm's concession expired in September 2021.

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