Re-allocation of 900 and 1,800 MHz frequency bands
The Plenary Session of the Hellenic Telecommunications and Post Commission (EETT) decided to start the process for the re-allocation of the mobile telephony spectrum at 900 and 1,800 MHz.
The frequency rights of OTE, Vodafone and Nova are expected to expire in 2027, with the providers wishing for a timely re-allocation, in order to ensure predictability in their investment plans.
Critical issues in the process are both the duration of the new licenses and the price that the providers will be asked to pay.
In 2011, the three companies paid a total of 380.535 million for the acquisition of the specific frequencies for a period of 15 years. Specifically, for the 900 MHz band, Cosmote paid 77.611 million, Vodafone 127.472 million and Nova 93.2 million euros. Correspondingly, for the 1,800 MHz band, Cosmote paid 41.222 million and Vodafone 41.030 million, while Nova had not acquired spectrum in the specific band at that time, and it is not clear whether it will seek participation in the new process.
Since then, however, the telecommunications market environment has changed significantly, a development that is also recognized at the European level.
Commission
In this direction, the proposal for a regulation on the Digital Networks Act (DNA), recently adopted by the European Commission for submission to the European Parliament and the Council for approval, provides as a basic rule for unlimited duration licenses, under strict conditions and safeguards. Exceptionally, a limited duration is also provided for, combined with almost automatic renewal and the application of an investment-friendly design in auctions.
The aim of the new approach is to prevent companies from being burdened with excessive prices, so that more funds can be directed to the development of networks and to cover the delays recorded in the adoption of new technologies in the countries of the European Union.
According to sources, EETT has included two alternative scenarios in the public consultation that is expected to launch probably today: the first concerns a 20-year concession and the second an indefinite concession.
