Belgium opens applications for 5G auction

The publication of the call for candidates by the BIPT marks the launch of the long-anticipated auction of the future radio spectrum. The auction regards the assignment of the new 5G and the existing 2G and 3G radio spectrum. This auction, which is due to take place in June 2022, will help shape the telecom landscape in our country for the coming 20 years. The auction includes a package of spectrum reserved for a possible new mobile operator entering the market.

As the regulator of the electronic communications market, the BIPT manages the radio frequencies spectrum. In that capacity, the BIPT grants the user rights for radio frequencies spectrum entirely or partially used for electronic communications services offered to the public. For each radio frequency band the reserve price (i.e. a minimum entry bid for the auction) has to be laid down in the Telecom Act. Per radio frequency band the specific requirements are laid down in the necessary implementation orders (for instance: the minimum speed each operator has to enable in the frequency band concerned, territorial coverage requirements, reserved spectrum for new and existing players, rules regarding maximum spectrum purchases per player). On 24 November 2021, the Federal Government and the regional governments ratified the royal decrees allowing the BIPT, following their publication in the Belgian Official Gazette on 23 December 2021, to kick-off the preparations that should result in the actual auction of the radio spectrum.

The BIPT is now inviting the parties interested to submit their candidacies for participation in this auction that aims to allocate spectrum user rights in the radio frequency bands situated in the 700 MHz, 900 MHz, 1400 MHz, 1800 MHz, 2100 MHz and the 3600 MHz frequency band. By means of the radio frequencies assigned, the licence holder will be able to roll out a national network and to provide mobile electronic communications services to the end-users.

Today, the 900 MHz, 1800 MHz and 2100 MHz radio frequency bands are mostly used for 2G, 3G and 4G applications. The 700 MHz, 1400 MHz and 3600 MHz radio frequency bands are new frequency bands that will be the first to be used for the 5G technology.

The auction type that will be used, is the so-called “simultaneous multi-stage auction with bids”, which was also used for the previous allocations of radio spectrum for mobile telecom services in our country.

At the same time of the call for candidates, the BIPT also publishes the information memorandum for the granting of these spectrum licences, that will be used to provide mobile broadband services. This document contains more information on the applicable legislation and procedures, among other things on the terms and conditions accompanying the licence. It can be found on the dedicated website in preparation of the auction and is mainly addressed to the possible candidates who can use the information to prepare their participation in the auction. The information memorandum is purely informative as only the existing legislation is legally valid.

Candidates have until 16 February 2022 to submit their actual candidacy with the BIPT. Next, the BIPT will decide on the admissibility of each candidacy submitted. The operators who are deemed admissible, will take part in the auction scheduled for June 2022, anonymously. Following the auction the names of the winners will be made public, as well as the radio spectrum allocated per operator for each of the radio spectrum bands to be auctioned.

CT Bureau