Agency for communication networks and services of the Republic of Slovenia successfully concluded first spectrum auction for public mobile services

Agency for communication networks and services of the Republic of Slovenia on 5 September 2016 successfully concluded first spectrum auction in Slovenia in which frequencies three blocks in the 1800 MHz and 2100 MHz frequency bands were offered. These frequency blocks were unassigned after the first auction, held in 2014. Two out of four Slovene mobile operators were taking part in the auction: Telekom Slovenije and Telemach.

The deadline for the submission of applications expired on 8 August 2016 at 9 am. On the same day, it was a public opening. Two properly sealed and marked applications were submitted within the deadline by operators Telekom Slovenije and Telemach.

The tender commission recognized that the demand expressed in bidder’s initial bids only for lot BD (1955 – 1960 MHz / 2145-2150 MHz) exceeded the number of lots available in that category. In accordance with Article 3.3. of the Decision on Initiating a Public Tender with a Public Auction for Assigning Radio Frequencies for the Provision of Public Communication Services in case of no exess demand the bidder gets the block for reserve price. As for lots  BC14 (1775-1780 MHz paired with 1870-1875 MHz) and BC15 (1780-1785 MHz paired with 1875-1880 MHz) expressed interest only Telemach, as these two blocks were awarded by reserve price of €2,600,000.00 for each block.

A public auction was conducted  only for a frequency block BD (1955 - 1960 MHz paired with 2145-2150) and was completed after the first round when the bidder Telemach offered the price €1,350,000.00 Telekom Slovenije has submitted a bid equal to the reserve price of €1,300,000.00. As in accordance with auction rule 19 Telekom Slovenije despite the call for higher offer did not want to raise the bid, Telemach was the winner and got the frequency block BD.

In accordance with tender conditions Telemach has to provide services by using any of its assigned bands above 1 GHz in such a way that they provide coverage to:

• 25% of the population of the Republic of Slovenia after 3 years;
• 40% of the population of the Republic of Slovenia after 5 years.

Frequencies in the 1800 MHz band are awarded untill 4 January 2031, while frequencies in the band 2100 MHz untill 21 September 2021. With this auction the agency successfully awarded the unassigned frequency, left from 2014 auction for 800 MHz, 900 MHz, 1800 MHz, 2100 MHz and 2600 MHz frequency bands. In addition to €148,740,934.00 raised in the first auction in 2014, this auction raised additional €6,550,000.00 for the state budget.