The State Enterprise Policy Office has questioned the authority of the telecom regulator to grant 3G-2.1GHz spectrum licences.
Sepo recently sent a formal letter commenting on the National Telecommunications Commission's plan to auction the licences. The public hearing on the plan was held last Friday.
Sepo noted that the 2.1GHz spectrum could be used to provide not just telecom services but also television and radio broadcasting services.
It also urged the NTC to check if the 3G licensing has to comply with the Public-Private Joint Venture Act.
The 2.1GHz spectrum, which is a limited natural resource of the country, should sell off just one licence at a time, it said.
According to the draft plan, if at least four bidders pre-qualify, the NTC will auction three licences, but only two licences if three bidders pre-qualify, one licence if two pre-qualify and no licence if there is only one bidder. The starting bid price is Bt10 billion per licence.
Sepo said the combined cost for licences and the annual licence fee should not be lower than the combined fees received by the state enterprises from 2G concession holders. Wireless broadband 3G service has higher profit-making potential than the 2G conventional cellular service, it said.
Many parties had expressed concern about the NTC awarding spectrums during the drafting of the law setting up the National Broadcasting and Telecommunications Commission, which would replace the NTC.
The move to 3G will also allow the 2G concession-holders under CAT Telecom and TOT, if they get a 3G licence, to migrate their customers from the concessions to the licences to save regulatory costs at the expense of the two state enterprises.
The annual concession fee averages about 25 per cent of revenue, while the total licence fee will cost about 6 per cent of revenue.