Pro­ceed­ings for the award of mo­bile spectrum

Key elements for the award of frequencies in the band 790 MHz to 862 MHz

The first key elements have been developed by the Federal Network Agency on the award of frequencies in the band 790 to 862 MHz (so-called "digital dividend") that constitute the framework conditions for award.

Quick use is to be made of the potential of the "digital dividend" to ensure broadband Internet coverage for the population, in particular in rural areas. To this end, the Federal Network Agency has prepared key elements to structure the discussion at an early stage and submit concrete proposals to all parties involved. The outline conditions mainly provide that the frequencies in rural areas are to be awarded together with the frequencies in the band 1.8 GHz, 2 GHz and 2.6 GHz. Integrating these considerations into the already advanced preparatory work on the award of higher frequencies provides a special opportunity to award frequencies quickly in the 800 MHz band.

Based upon the following key elements, the Federal Network Agency will prepare a draft of the President's Chamber decisions in accordance with section 55 (9, 61) TKG on which comments are to be invited in June 2009.

Key elements - TRANSLATION (pdf / 90 KB)

Decisions of the President’s Chamber of the Bundesnetzagentur (BNetzA / Federal Network Agency for Electricity, Gas, Telecommunications, Post and Railways) of 7 April 2008 on the order and choice of allocation proceedings and on the detailed definitions and rules for allocating spectrum in the 1.8 GHz, 2 GHz and 2.6 GHz bands for wireless network access for providing telecommunication services in accordance with sections 55 (9), section 61 (1, 2, 4 and 5 sentence 2), 132 (1 and 3) of the TKG (Telecommunications Act).
File reference: BK 1- 07/003
Official Gazette of the Federal Network Agency No 07/2008 of 23 April 2008; Vfg. 34/2008, p. 581 ff

Preliminary remark

In the bands 1.8 GHz, 2 GHz and 2.6 GHz frequencies are available which are to be placed at the market's disposal in line with requirements.

Already during the initial consultations on the award of frequencies in the 1.8 GHz, 2 GHz and 2.6 GHz bands both the existing network operators and potential newcomers had indicated a demand for these frequencies which exceeded the volume of spectrum available. On 19.06.2007 the President's Chamber hence decided that frequency assignment had to be preceded by award proceedings. It also decided that the award proceedings should take the form of an auction (cf. Order No. 34/2007 in BNetzA Official Gazette 14/2007, p. 3115 ff.).

Prior to the execution of auction proceedings the President's Chamber needs to specify in consultation with the Advisory Council the detailed definitions and rules (award conditions) on which the award proceedings should be based.

The draft consultation of a decision on the award conditions was published in the BNetzA Official Gazette of 26 September 2007 (cf. Communication 664/2007 in BNetzA Official Gazette 19/2007, p. 3728 ff.) and interested parties were given the opportunity to submit their views by 23 November 2007. The comments were evaluated and taken into account in the decisions on the detailed definitions and rules for the award of frequencies for wireless network access for the provision of telecommunication services.

The President's Chamber's decision on the detailed definitions and rules largely corresponds to the draft submitted for consultation. It should be noted that the term formerly used for the relevant product market as the market for "wireless network access" has been modified editorially and is now detailed as the market for "wireless network access for the provision of telecommunication services" without this modification entailing any change in content.

Meanwhile the frequency usage plan to be used as a basis for the determination of the product market has also been adapted editorially by replacing the initially envisaged dedication "digital cellular mobile communications" by the term "wireless network access for the provision of telecommunication services". This term also takes into account the European Commission's Draft Decision on the „Harmonisation of the 2500-2690 MHz frequency band for terrestrial systems capable of providing electronic communications services in the Community". With a view to a uniform approach it was deemed expedient to earmark the frequency bands 900 MHz, 1.8 GHz and 2 GHz in the frequency usage plan for "wireless network access for the provision of telecommunication services" as well (cf. Order No. 27/2008 in BNetzA Official Gazette 26/2008, p. 543 ff.).

Due to the adaptation of the term "wireless network access for the provision of telecommunication services" the tenor der President's Chamber's Decisions on the order and the choice of allocation proceedings for the award of frequencies in the bands 1.8 GHz, 2 GHz and 2.6 GHz for digital cellular mobile communications was also adapted editorially. The frequency usage conditions were likewise aligned to the current level of technical harmonisation.

Decision of the President's Chamber III - TRANSLATION (pdf / 542 KB)

Draft of a decision of the President’s Chamber of the Bundesnetzagentur für Elektrizität, Gas, Telekommunikation, Post und Eisenbahnen (BNA / Federal Network Agency for Electricity, Gas, Telecommunications, Post and Railway) on the definitions and rules in detail for the award of spectrum in the 1.8 GHz, 2 GHz and 2.6 GHz bands for digital cellular mobile communications in accordance with section 61(1), (4) and (5) sentence 2, section 132(1) and (3) of the TKG (Telecommunications Act)

In communication 219/2007 (Official Gazette (OG/ABl.) of the BNA 7/2007,  p. 1113 ff.) the draft decisions of the President’s Chamber, along with the initial considerations on the award conditions, were published for consultation on the arrangement and choice of proceedings for the award of spectrum for digital cellular mobile communications in the 1.8 GHz, 2 GHz and 2.6 GHz bands.

After evaluation of the received views, the President’s Chamber of the BNA decided on 19.06.2007 (Order 34/2007 OG BNA No. 14/2007, p. 3115 ff.) on the arrangement and choice of proceedings for the award of frequencies for digital cellular mobile communications in the 1.8 GHz, 2 GHz and 2.6 GHz bands. In accordance with this decision, the award procedure under section 61 (1) TKG shall be conducted as an auction procedure in accordance with section 61 (4) and (5) TKG.

In accordance with section 61 (4) sentence 2 TKG, the rules that are to be used as the basis for the procedure for auctioning spectrum in the 1.8 GHz, 2 GHz and 2.6 GHz bands for digital cellular mobile communications are to be defined in detail in accordance with 61 (4) sentence 2 Nos. 1 to 4, 61 (5) TKG (award conditions) before the award procedure is held.

In accordance with section 61 (1) sentence 1 TKG the groups concerned are to be consulted initially prior to the decision by the President’s Chamber. For this reason, the draft decision of the President’s Chamber published in the appendix on the award conditions in accordance with section 61 (1), (4) and (5) sentence 2, section 132 (1) and (3) TKG is published here for comment. If, as part of the consultation on the decisions of the President’s Chamber on the arrangement and choice of award proceedings for the award of spectrum for digital cellular mobile communications, opinions have already been submitted that referred to the considerations on the award conditions, they have been included in the draft decision on the award conditions.

The President’s Chamber will make its decision after evaluating the comments on the draft award conditions published here on the award conditions. Consultation with the Council is to be initiated in accordance with section 137(3) sentence 3 TKG for the decision in accordance with section 61(4) Nos. 2 and 4 TKG.

In an additional step, the draft decision of the President’s Chamber on the auction rules in accordance with section 61 (5) sentence 1 TKG will be worked out and made available for comment. The auction rules shall be based on the definitions of the decision on the award conditions with the result that the auction rules will not be worked out until later.

The licensing procedure for the auction shall be opened after publication of the decision on the auction rules.

Draft decisions of the President's Chamber (pdf / 341 KB)

Decision of the President' Chamber of the Federal Network Agency for Electricity, Gas, Telecommunications, Post and Railways (Bundesnetzagentur für Elektrizität, Gas, Telekommunikation, Post und Eisenbahnen) on the arrangement and selection of an award procedure for the award of spectrum in the 1.8 GHz, 2 GHz and 2.6 GHz bands for digital cellular mobile communications
Dated 19th June 2007
Official Gazette of the Bundesnetzagentur No. 14/2007 -  Dated 18th July 2007 - Cf. Order 34/2007 page 3115 ff

General Order

Decisions of the President’s Chamber of the Bundesnetzagentur für Elektrizität, Gas, Telekommunikation, Post und Eisenbahnen (BNA / Federal Network Agency for Electricity, Gas, Telecommunications, Post and Railways) dated 19th June 2007 on the order for and choice of proceedings for the award of spectrum in the 1.8 GHz, 2 GHz and 2.6 GHz bands for digital cellular mobile communications in accordance with section 55(9), section 61(1) and (2), section 132(1) and (3) of the TKG (Telecommunications Act) 

File reference: BK 1- 07/003

The BNA shall issue via the President’s Chamber, by virtue of section 55(9), section 61(1) and (2), section 132 (1) and (3) of the TKG dated 22.06.04 (BGBl. I p. 1190 [BundesGesetzBlatt / Federal Law Gazette]) the following decisions on the award of spectrum for digital cellular mobile communications in the 1.8 GHz, 2.0 GHz and 2.6 GHz bands:

I. Order for the award procedure

File reference: BK 1- 07/003-1

It is ordered in accordance with Section 55 (9) TKG that an award procedure in accordance with Section 61 TKG is to precede the allocation of spectrum for digital cellular mobile communications in the 1.8 GHz, 2.0 GHz and 2.6 GHz bands.

II. Choice of award procedure

File reference: BK 1 - 07/003-2

The procedure under section 61 (1) TKG shall be conducted as an auction procedure in accordance with section 61 (4) and (5) TKG.

Decision of the President's Chamber (pdf / 152 KB)

Communication 219/2007
Consultation on draft decision
Draft decision by the President's Chamber on the order for and choice of proceedings for the award of spectrum in the bands 1.8 GHz, 2 GHz and 2.6 GHz for digital cellular mobile communications under sections 55(9), 61(1) and (2), 132(1) and (3) TKG; Consultation in accordance with sections 55(9) second sentence and 61(1) first and second sentence TKG

In Communication 308/2006 published on 13 September 2006 (Official Gazette 18/2006, page 2972) the Federal Network Agency announced that it would invite comments in early 2007 on its decision to award further spectrum for digital cellular mobile communications. ´

Under section 55(9) of the Telecommunications Act (TKG) the Agency can issue an order for frequency assignment to be preceded by award proceedings as per section 61 TKG when frequencies are not available for assignment in sufficient numbers. Such an order is based on a decision by the President's Chamber as set out in section 55(9) in conjunction with section 132(3) TKG. Also required under section 61(1) in conjunction with section 132(3) TKG is a decision by the President's Chamber on the choice of award proceedings.

The specific determinations and rules required by the TKG for an auction (award conditions) as per section 61(4) second sentence TKG and the rules for conducting it (auction rules) as per section 61(5) TKG are set by decisions published at a later date. Decisions as referred to in section 61(4) second sentence, paras 2 and 4 TKG are taken under section 132(3) third sentence TKG in consultation with the Agency's Advisory Council.

To accelerate proceedings, the decision on ordering award proceedings as per section 55(9) TKG is to be taken at the same time as the decision on the choice of proceedings as per section 61(1) TKG and the two steps thus taken simultaneously. In the same way, at a later date, the decision on award conditions as per section 61(4) TKG will be published at the same time as the decision on the auction rules as per section 61(5) TKG.

Section 55(9) second sentence and section 61(1) TKG require that persons likely to be affected should be heard prior to such decisions. Thus comments are invited on the draft decision by the President's Chamber, published in Annex 1, on the order for and choice of proceedings for the award of spectrum in the bands 1.8 GHz, 2 GHz and 2.6 GHz for digital cellular mobile communications under sections 55(9), 61(1) and 2, 132(1) and (3) TKG.

Annex 2 sets out initial considerations on the later decisions on award conditions as per section 61(4) second sentence TKG and the auction rules as per section 61(5) TKG.

Draft decision by the President's Chamber (pdf / 141 KB)