She said access fees for the 1800MHz and 2,4gHz spectrums would be R100000 a year for each frequency pair used, plus a R5m annual radio frequency spectrum license fee prescribed by the Independent Communications Authority of SA and 5% of net operating income. 

The licences for the spectrum will be valid for 15 years and operators will have to fulfil annually universal service obligations, including the supply of 250000 free phones over five years; internet and phone links including computers in schools; and public pay phones in accessible places in rural areas and multi purpose community centres.

Vodacom CEO Allan Knot-Craig welcomed the announcement and said the conditions were fine.

One of the challenges for the year ahead, Matsepe-Casaburri said, was to create a policy framework for convergence, which would lead to new services.