Techno-Economic 5G New Radio Planning Using 26 GHz Frequency at Pulogadung Industrial Area

Abstract

The Pulogadung industrial area is a widely known developing industrial area that is perfectly ideal for the implementation of 5G technology to help run the Indonesian economy. Nonetheless, it is noteworthy that knowing the level of economic feasibility of an operator is highly crucial before making an investment in a network performance. This study focuses on an analysis of 5G network design in terms of coverage using the Urban Micro propagation model in the Uplink (UL) and Downlink (DL) Outdoor to Outdoor (O2O) Line of Sight (LOS) scenarios. In addition, it also aims to cover the discussion on the economic level of project feasibility using an optimistic scenario assuming 80% users, which is based on the projected increase in population growth of 5G users using the bass growth model method since its implementation in 2021–2030. The economic analysis used the parameters of Capital Expenditure (CAPEX), Operational Expenditure (OPEX), Net Present Value (NPV), Internal Rate of Return (IRR) to determine the feasibility of planning a 5G New Radio network in the Pulogadung Industrial Area. The calculation of Cost Benefit in the optimistic techno-economic scenario shows that each UL O2O LOS NPV scenario resulted in Rp. 28.369.498.095.53 with an IRR of 31.18%, while DL O2O LOS NPV resulted in Rp. 24.862.173.071.28 with an IRR of 26.68%. This result indicates that the performance of the 5G NR network in the Pulogadung Industrial Estate assuming the projections for the next 10 years is feasible.