The company demands EUR15 million damages for a loss it suffered because part of the frequency spectrum it bought from the government in 2012 cannot be used in more than 20 counties as specified in the conditions of the contract due to interference caused by Ukrainian communications companies, telecom sources told ZF.
“Vodafone is seeking EUR14.7 million damages from ANCOM,” the sources said.
The operator added to its complaint measurements conducted in the field by experts for a month, documenting the extent of the problem, which showed that the operation of more than 1,000 antennas in over 20 counties where millions of people live is disrupted.
The interference caused by Ukrainian operators impacts the use of the 900 MHz frequency blocks that Vodafone bought in 2012 in the largest frequency spectrum auction ever held by the Romanian government. Vodafone paid almost EUR230 million for licenses at the time, the highest amount of all bidders.
The company’s claim for damages is based on the failure of ANCOM to specify in the conditions of contract before the auction that certain frequency blocks are affected by interference from Ukraine, so ANCOM should compensate it for the loss it suffered as a result of being unable to provide services as it had expected to based on the conditions of contract.
To be able to continue providing voice and data services in the 20 counties affected, Vodafone had to ‘rent’ radio spectrum from rivals RCS&RDS and Telekom Romania.
Vodafone officials did not return ZF’s calls for comment on the subject by the time the story was ready for posting.
ANCOM officials on the other hand, did not verify that Vodafone had filed a preliminary complaint, suggesting, however, it was too late for any claims arising from the 2012 auction.
(English version by Loredana Fratila-Cristescu)