HIGH speed internet services will improve significantly in the next three years as the Tanzania Communications Regulatory Authority (TCRA) starts to license spectrum in prime bands from next July.

Dr Jabir Bakari, the TCRA director-general, said at a press conference yesterday that TCRA has released a draft information memorandum for stakeholder engagement that outlines the licensing of four spectrum blocks in the 3600-3800 MHz band by auction.

Set for July 10, holding a spectrum band auction will mark a strategic step in enhancing high-speed internet access across the country, with successful bidders required to extend their services to at least six administrative regions by 2028.

By the end of 2033, they will have set up a presence at the key urban centres of all administrative regions, he said, noting that the draft memorandum includes regulatory and policy objectives for auctions.

It also spells out spectrum packaging, bidder qualifications, applicant instructions, eligibility requirements, conduct guidelines and the award process, alongside details on the auction design, he stated.

Bidders must submit a bank guarantee of 3bn/- where full payment from successful bidders will be required in full or in a maximum of four instalments, he said, elaborating that 40 percent will have to be paid within 14 days, 20 percent within six months, and another 20 percent within 12 months and the balance within 18 months.

The auction is open to operators with valid national network facilities (NF), national network services (NS) and national application services licenses, he specified.

He referred to decisions at the 2023 world radio communication conference (WRC-23) in Dubai, where the 3600-3800 MHz band was allocated to mobile service providers and identified for international mobile telecommunications (IMT).

He stressed that the auction will boost the utility of Tanzania’s mobile and fixed broadband infrastructure, improving access to mobile broadband services for a broader segment of the population.

 “This development is expected to significantly contribute to the country’s economic growth, particularly in the digital economy. Enhanced mobile and fixed broadband services will also help to provide key services in education, health, agriculture, commerce and financial services,” he stated.

The new spectrum will play a crucial role in advancing Tanzania’s broadband capabilities and facilitating superior mobile communication standards, essential for the country’s strategy to build a robust digital economy, he declared.

The rollout of services using the new spectrum is expected to further amplify internet use, for years on a steady rise, with internet use rising by 65 percent in the past four years, he stated.

Stakeholders are invited to submit comments and questions on the draft information memorandum by April 23 after accessing the document at spectrum-auctioning.

This will be the second spectrum auction TCRA has managed as in October 2022 it auctioned 11 blocks of four prime radio spectrum bands for $187m through an internally managed process, he pointed out.

The 2022 auction, designed and managed entirely by TCRA’s internal team, adhered to international best practices from design to final award, he said.

TCRA’s first spectrum auction took place in 2018, involving two blocks in the 700 MHz band, conducted through a consultancy, helping to build the confidence of TCRA’s engineers, lawyers, economists, he added.