The Federal Government is projecting about N44 billion ($224 million) in revenue from the planned auction of 14 lots on the 2.6GHz spectrum band which it plans to license to telecom companies from May 16, 2016 in Abuja,

The spectrum will be offered by the Nigerian Communications Commission (NCC) on a tech neutral basis which means it can be used to provide any telecommunication service.

According to Nigeria CommunicationsWeek, the planned licensing of the 2.6GHz spectrum is influenced by the need to open up the space for better delivery of present and future generations of broadband services to subscribers in tandem with the National Broadband Plan of 2013.

READ: Regulator announces commencement of 2.6GHz spectrum auction

The telecom regulator is offering 14 Lots of 2 X 5 MHz FDD paired spectrum in the 2.6 GHz band ranging from 2500 – 2570MHz and 2620 to 2690MHz (totaling 2 X 70 MHz) for auction. According to reports, theGeneric Reserve Price (GR) is the minimum price at which a Lot shall be sold, which is the Reserve Price for one Lot of 2 X 5MHz. It has a value of $16,000,000.00.

According to the 72-page information memorandum, each winner who does not currently hold a Unified Access Service License (UASL) - which is the operational license - will be issued one at an additional fee of N347, 600, 000.