Poland cancels 4G LTE auction

The President of the Office of Electronic Communications took a decision to cancel 4G LTE auction for general exclusive frequency licenses in the 791-816 MHz band, 832-857 MHz band, 2500-2570 MHz band and 2620-2690 MHz band allocated for provision of telecommunications services in the mobile or fixed service.

The reason for such decision of the President of UKE is its concern for ensuring stability and legal certainty as well as eliminating any possible doubts of formal and legal nature that may accompany the auction procedure.

“The auction process itself as well as the accompanying documentation were prepared correctly and in accordance with the provisions of law,” said Magdalena Gaj, president, UKE.

“My obligation as a regulatory authority is to ensure that all market players may conduct their business in stable and certain environment. The least desired scenario would be the one in which, due to technical problems with access to the attachments with clarifications of the auction documentation during 2.5 hours at night, the auction participants were exposed to the risk of questioning the decisions taken after the auction,” added Gaj.

The auction notice was published on 30 December 2013. The original time limit for the submission of initial bids was fixed for 13 February 2014. In accordance with the relevant legal provisions, the entities which had paid a fee for the auction documentation could, not later than 21 days prior to the time limit for the submission of initial bids, request the President of UKE to clarify the contents of the auction documentation.

The clarifications of the auction documentations were published by the President of UKE within the time limit required by the law, which expired on 6 February 2014.

The relevant documentation was published on the UKE Public Information Bulletin website. However, due to technical reasons, potential auction participants for a short period of time were not able to access the replies to their requests for clarifications of the auction documentation published on 6 February 2014.

In effect, the publication of clarifications of the contents of the auction documentation in a manner that allowed all interested parties to read the attached files, took place on 7 February. For this reason, guided by the interests of potential auction participants, the President of UKE took a decision to modify the auction notice and to prolong the time limit for the submission of initial bids until 14 February, at 15.00.

Having regard to the reactions from potential auction participants to the decision to prolong the time limit for the submission of initial bids, and guided by the obligation to provide the auction participants with stable, transparent and predictable environment with no room for the slightest legal doubts, the President of UKE decided to cancel the auction.

The decision of the President of UKE means that the auction process will start from the beginning. UKE has already started work on a new schedule of the auction procedure. In accordance with the law, the first step in this process will be to publish the auction documentation for consultations with all interested parties. The relevant notice will be published within the next few days.

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