NATIONAL TELECOMMUNICATIONS AND POST COMMISSION
Auction for
Fixed Wireless Access Individual Licences
Summary of Invitation to Tender
This summary contains 7 pages
1. Introduction
This summary gives concise information on the scope and procedural stages of the Auction for the award of Fixed Wireless Access Licences in the Frequency Bands of 3.5 GHz and 25 GHz. The Regulations of the Auction are described in detail in the Invitation to Tender, which is available at EETT’s offices (60 Kifisias Avenue, 7th floor, GR – 15125 Maroussi, Attiki), upon submission of proof of deposit of the amount of two hundred and fifty thousand drachmas (GRD 250,000) to the Commercial Bank of Greece (Bank Account # 83439335).
2. Description of the Licenses
The Individual Licences that will be awarded in the Auction will enable the Successful Bidder to develop a Fixed Wireless Access public telecommunications network and provide public fixed telephony service.
The allotted Frequency Blocks can be used for the development of a Fixed Wireless Access public telecommunications network as well as for supporting any other wireless infrastructure of the network. The Successful Bidders are also eligible to develop their own backbone wired infrastructure in order to support the Fixed Wireless Access public telecommunications network, provided they obtain all necessary licenses, authorizations and approvals.
There will be seven (7) Frequency Blocks available, three (3) in the Frequency Band of 3.5 GHz and four (4) in the Frequency Band of 25 GHz. Each Bidder can eventually obtain only one Frequency Block per Frequency Band.
3. Roll-out Requirements.
3.1Roll-out Requirements for the 3.5 GHz Frequency Band
The Successful Bidders who will be awarded a Frequency Block in the 3.5 GHz band, undertake the responsibility to install, operate and maintain the necessary equipment so that they are in a position to provide radio coverage to at least 20% of the population within 2 years from the day the Licence is awarded, and ever since until its expiration or revocation. In addition, the Successful Bidders undertake the obligation to provide services in at least four (4) Administrative Regions of Greece [See Appendix A for a list of the Administrative Regions of Greece] and be able to satisfy requests from potential users (within the 20% of the population) requesting public fixed telephony service as well as network services at rates at least equal to 64Kbps.
3.2Roll-out Requirements for the 25 GHz Frequency Band
The Successful Bidders who will be awarded a Frequency Block in the 25 GHz band, undertake the responsibility to install, operate and maintain the necessary equipment so that they are in a position to provide radio coverage to at least 20% of the population within 2 years from the day the Licence is awarded, and ever since until its expiration or revocation. In addition, the Successful Bidders undertake the obligation to satisfy requests from potential users (within the 20% of the population) requesting public fixed telephony service, as well as network services at rates at least equal to 2 Mbps.
3.3Roll-out Requirements for the 3.5 GHz AND the 25 GHz Frequency Bands
The Successful Bidders who will be awarded Frequency Blocks both in the 3.5GHz as well as in the 25 GHz bands, undertake the obligation to install, operate and maintain the necessary equipment so that they are in position to provide radio coverage to at least 20% of the population within 2 years from the day that the Licence is awarded, and ever since until its expiration or revocation. In addition, the Successful Bidders undertake the responsibility to satisfy the corresponding requirements for the 3.5 GHz and 25 GHz bands, set out in paragraphs 3.1 and 3.2, respectively, with the exception of the radio coverage.
4. Timetable
The Auction stages are set out in the following indicative timetable:
Table 6.1: Indicative timetable for the award of FWA Licences.
Issue of the Invitation to Tender / 20 October 2000Submission of Applications
(One Day Only) / 20 November 2000
Announcement of the Candidate Groups to the Bidders / 21 November 2000
Seminar to Inform Bidders about the Auction procedures / 22 November 2000
Deadline for Submission of Objections / Notification of Connected Bidders and breaches of Ownership Rules / 23 November 2000
(Until 12:00 o’clock)
Decision regarding Submitted Objections. Announcement of a temporary list of Pre-qualified Bidders / 27 November 2000
Deadline for Re-submission of Applications / 29 November 2000
Announcement of the Final list of Pre-qualified Bidders / 30 November 2000
Starting Date of the Auction / 4 December 2000
Estimated Auction termination and Announcement of Successful Bidders / 8 December 2000
5. Submission of Applications
The following parties are eligible to submit an Application:
(a) Any Societé Anonymé (S.A) company operating solely as a provider of telecommunications services.
(b) Consortium of companies, which are legally committed, in case the Consortium is awarded one of the Licences, to form a Societé Anonymé (S.A) company and operate solely as a provider of telecommunications services.
(c) An under formation Societé Anonymé (S.A) company, which will solely operate as a provider of telecommunications services.
The Application must be submitted in Greek, and contain the following:
The Application Form and the additional supporting documents supplied with the Invitation to Tender.
Letter of Acceptance of the Auction Regulations.
Initial Letter of Guarantee.
The Legal Representative of the Bidder must sign the Application. Applications must be submitted at EETT´s offices.
6. Letter of Guarantee
On submission of Applications, Bidders are required to provide a Letter of Guarantee for a minimum amount of two hundred and fifty million drachmas (GRD 250,000,000). Bidders should note that in order to make valid Bids in each Round of the Action, the Letter of Guarantee must always cover at least 25% of their total Bid in the Round.
7. Pre-qualification Criteria
In order to participate in the Auction, an Applicant must pre-qualify. EETT will determine those that pre-qualify (Qualified Bidders) according to:
(a)The submitted Application.
(b)The submitted Proof of Financial Capacity.
(c)The restrictions of Ownership Rules.
(d)Letter of Guarantee.
8. Auction Procedure
The method of the Auction is based on Multiple Rounds Ascending with Simultaneous Separate Bids. During each Round, the Bidder is eligible to do the following:
(a)Submit a Bid for one Frequency Block in one Frequency Band.
(b)Submit two Bids for two different Frequency Blocks, provided that the latter are in different Frequency Bands.
(c)Submit one of four Waivers.
In each Round, the highest Bid for each of the Frequency Blocks is considered to be the “Current Price” for that block. A Bidder holding a Current Price on a Frequency Block (a “Current Price Bidder”) is required to remain inactive in the following Round only with respect to the Frequency Band encompassing the particular Frequency Block.
Prior to the start of each Round, EETT will determine the minimum (maximum) Bid for each Frequency Block; they will all be notified to all Bidders. In each Round, the minimum (maximum) Bid for a particular Frequency Block will be calculated as a percentage of the previous Round Current Price for this block. The Reserve Prices for each of the Frequency Blocks are depicted in Table 2.
Table 2: Reserve Prices for each of the Frequency Blocks in the two Frequency Bands
Frequency Band 3410 - 3600 MHzFrequency Block
/ Reserve Price(in GRD)
A.I 2x28 MHz spectrum segment, (3410 MHz to 3438 MHz and from 3510 MHz to 3538 MHz) / 2.000.000.000
A.II 2x21 MHz spectrum segment, (3476.5 MHz to 3497.5 MHz and from 3576.5 MHz to 3597.5 MHz) / 1.500.000.000
A.IV 2x14MHz spectrum segment, (3459 MHz to 3473 MHz and from 3559 to 3573) / 1.000.000.000
Frequency Band 24500 - 26500 MHz
Frequency Block / Reserve Price
(in GRD)
B.I 2x112 MHz spectrum segment, (24549 MHz to 24661 MHz and from 25557 MHz to 25669 MHz) / 3.000.000.000
B.II 2x112 MHz spectrum segment, (24717 MHz to 24829 MHz and from 25725 MHz to 25837 MHz) / 3.000.000.000
B.III 2x56 MHz spectrum segment, (24885 MHz to 24941 MHz and from 25893 to 25949) / 1.500.000.000
B.V 2x56 MHz spectrum segment, (25053 MHz to 25109 MHz and from 26061 to 26117) / 1.500.000.000
9. Payment Options
Successful Bidders have the option to pay the full amount of the Auction Price in cash within 5 days from the Announcement of Successful Bidders. Alternatively, the Successful Bidders have the option to pay 50% of the Auction Price in cash, within the aforementioned time period, and the rest must be paid within 20 days from the Announcement of Successful Bidders.
10. Auction Rules
This section briefly refers to the most important rules, which aim to ensure, as well as safeguard, the integrity and transparency of the Auction procedures. It is noted that, in case a Bidder is excluded from the Auction for a breach of the Regulations, EETT reserves the right to forfeit the whole amount of his Letter of Guarantee.
Members of a Candidate Group of one Bidder are not allowed to be Members of the Candidate Group of another Bidder. Bidders are also not allowed to be Associated. Great care has been exercised in order to precisely define the respective terms; they can be found in the Invitation to Tender.
The composition of the Candidate Group of a Bidder is not allowed to change following the Submission of Applications and at least up to the date of awarding the Licences. Moreover, no new Members are allowed to join the Candidate Group of a Bidder, following the Submission of Application from this Bidder. The ownership of the Candidate Group may only be permitted to change as a result of either withdrawal of a Member from the Candidate Group or as a result of any merger / acquisition (subject to approval from the competent Competition Authority) up to one day before the Announcement of the Final list of Pre-qualified Bidders.
The exchange of Confidential Information among Bidders is not permitted during the Auction, from the day of submission of Applications. Members of a Candidate Group of a Bidder, Bidders, and Insiders are not allowed to communicate or try to communicate in any way Confidential Information to another Bidders in the Auction, or members of a Candidate Group of another Bidder or Insiders.
A Bidder and / or any Member of his Candidate Group must not enter into any arrangements with suppliers of equipment (including software) that would restrict the supplier’s ability to supply such equipment (including software) to other Bidders. A Bidder and / or any Member of his Candidate Group is not permitted to agree with suppliers of equipment (including software) on such terms that would result in undue prices charged, and / or conditions imposed, by that supplier to other Bidders.
Appendix A: List of the Administrative Regions of Greece
- Eastern Macedonia / Thrace (Anatoliki Makedonia / Thraki).
- Central Macedonia (Kentriki Makedonia).
- Western Macedonia (Dytiki Makedonia).
- Epirus (Ipiros).
- Thessaly (Thessalias).
- Ionian Islands (Ionia Nisia).
- Western Greece (Dytiki Ellada).
- Continental Greece (Sterea Ellada).
- Attika (Attiki).
- Peloponese (Peloponnisos).
- Northern Aegean (Voreio Aigaio).
- Southern Aegean (Notio Aigaio).
- Crete (Kriti).
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