Cabinet mulls raising spectrum costs eight-fold

15 Apr 2010

The Ukrainian Cabinet is considering increasing operators’ fees for the usage of mobile frequency resources by a multiple of eight, as part of wider plans to increase state revenues from the telecoms market, reports local daily Delo. The move could be implemented in the near future via a decree, according to the report. Currently, the monthly fee for mobile frequency usage is UAH1,580 (USD197) per 1MHz, and overall, spectrum fees are a relatively minor source of cost for mobile operators. According to the telecoms regulator, the National Commission on Communications Regulation (NCCR), the revenue gained from cellcos’ use of frequencies in 2009 was UAH90 million (USD11.2 million at today’s exchange rate). According to NCCR head Vladimir Oleynik, the watchdog’s existing plans for this year – excluding any effects from Cabinet decrees – would increase spectrum fee revenue up to UAH150 million.