Telecom regulator ANCOM has published the official announcement for the tender to sell licenses for radio frequency bands 800 MHz, 900 MHz, 1800 MHz and 2600 MHz for mobile communications services in the period 2013-2029.
The tender committee will evaluate the documents and announce by August 20 which of the candidates has qualified for the next stage. The auction will start on September 10 and final results are expected to be announced in October, says an ANCOM press release.
The participants must have paid their debts to the state budget, social security budget and special funds, have had an average turnover in the last three years of at least EUR10 million, must not be insolvent, under special administration, undergoing liquidation or suspended.
ANCOM will auction off 42 mobile telephony licenses valid from April 6, 2014 until 2029: six in the 800 MHz band, seven in the 900 MHz band, 15 in the 1,800 MHz band and 14 in the 2,600 MHz band, as well as three unpaired 15 MHz blocks in the 2,600 MHz band.
The regulator will also sell short-term licenses for ten paired 2.5 MHz blocks in the 900 MHz band, and six paired 5 MHz blocks in the 1,800 MHz band, which will be valid for 15 months. These bands are currently used by Orange and Vodafone.
For blocks awarded for 15 months, the starting prices are as follows: EUR1.7 million in the 900 MHz band and EUR0.8 million in the 1,800 MHz band. Block awarded for 15 years in the 800 MHz band will have a minimum price of EUR35 million, those in the 900 MHz band – EUR40 million, in the 1,800 MHz band – EUR10 million, paired blocks in the 2,600 MHz band – EUR4 million, unpaired blocks – EUR3 million.
The tender book provides minimum coverage requirements, which vary according to the bands and whether the operator is already present on the market.
To encourage the creation of mobile virtual operators, ANCOM has stipulated incentives for bidders that will allow them access to their networks, such as a lower required value for the letter of guarantee and more generous deadlines to meet coverage demands.