Sl. 

Parameter 

Values that would be 

Remarks 

No. 

required in the model  

1 Population 

Census 

data 

The values used 

2 

Market share 

Statistical average 

in the model are 

3 

Busy Hour Traffic  Actual measurements 

indicative only. 

per subscriber 

4 Reuse 

9 

5 

Cost per BTS 

Industry data 

6 

Cost per TRX 

Industry data 

The fees can be calculated on an annual basis for each service area and may 

be reviewed after a fixed period, say every 2 or 3 years.  Over these years the 

market share has the potential to change significantly especially in a 

developing market and it is therefore proposed to assume a reasonable but 

equal market share. This is based on the principle that all service providers 

should be charged for per MHz of spectrum based on fair share and equally 

efficient use.  The market share may also be taken as some statistical value 

of existing market shares, say a mean or mode. 

The number of Erlangs per sector, assuming a 2% call blocking probability, is 

32.5 if four frequencies per sector are available (corresponding to 

2 x 10 MHz), or 42.4 if five are available (corresponding to 2 x 12.4 MHz).  

Hence the number of sectors required to cater for the busy hour traffic with 

2 x 10 MHz is (40000 / 33) = 1229 sectors, whereas the number required with 

2 x 12.4 MHz is (40000 / 42) = 943 sectors.  Hence the number of additional 

sectors required to compensate for a 2 x 2.4 MHz reduction in spectrum 

would be (1229   943) = 286 sectors. 

The number used in Table below are indicative.  In event, the stakeholders 

agree with the methodology, please provide the comments on the 

assumptions issued.  

47