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Peru Resumes 4G Spectrum Tender for 2.3 GHz and AWS-3

2023-01-10 15:55:00| Source:peru.detailzero.com

After almost a year of suspending the process, the Agency for the Promotion of Private Investment (Proinversión) of Peru re-launched the tender for the 2.3 GHz and AWS-3 bands (1.7/2.1 GHz extended).


Through a circular, the institution announced the new bases of the public tender. The blocks of radio frequencies will be assigned to the bidder who presents the best technical and economic offer, which includes investment obligations to provide 4G mobile services.


Proinversión explained that the telecommunications companies interested in participating will have until March 22 of this year to consult about the bases and until February 28 to make suggestions regarding the intermediate version of the concession contract.


The schedule established by the agency provides that, once they are qualified, Bidders will have to present envelopes one, two and three on different days in April, inthat on the 21st of that month, who will be able to bid in the tender be notified.


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However, the schedule projected by the institution does not define a specific date to carry out the opening of the proposals of the operators nor for the award of the spectrum blocks in the AWS-3 (60 MHz) and 2.3 GHz (30 MHz) bands.


To be part of the 4G auction, bidders must meet some technical requirements such as proving the experience of five years as service operators of telecommunications, of which four have to be in LTE technology, either at home or abroad.


If a company is awarded the spectrum, it must present a coverage plan and a technical project that explains how it will advance in the implementation of 4G in the chosen localities within its investment obligations.


The new call from Proinversión to resuming the 4G tender happens after almost a year that the process was put on hold, in February 2022. The lack of certainty and attractiveness in the definition of the requirements to participate in the contest and the political instability in the country led the agency to save the auction.


Although the government intended to relaunch the tender over the course of last year, the project failed to come to fruition. The Ministry of Transport and Communications and Proinversión underwent many changes of commands and managersand so far the public policy agenda in the sector is uncertain as it is in the entire political landscape of Peru.


One of the main objectives of this public tender is to make the radio spectrum available for the expansion of 4G or higher services, since the bands AWS-3 and 2.3 GHz allow for improved data capacity and coverage range.


Proinversión projects that the auction will attract investments of around 289 million dollars in the telecommunications sector. But to a large extent that amount will depend on whether the auction conditions are attractive to the operators, and whether the process is completed this time.

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