Costa Rica’s environment, energy and telecommunications ministry (Minaet) has raised concerns about the spectrum auction rules set by telecoms regulator Sutel in the country’s long-awaited market liberalisation, local paper La Nacion has reported.
The…
Costa Rica’s environment, energy and telecommunications ministry (Minaet) has raised concerns about the spectrum auction rules set by telecoms regulator Sutel in the country’s long-awaited market liberalisation, local paper La Nacion has reported.
The auctions, for three licenses for spectrum in the 850MHz, 1,800MHz and 2,100MHz bands, are due to conclude in December. Sutel has reportedly set the base price for each of the three auctions at US$70m, diverging from the advised base prices from the Telecommunications Management Group, a US-telecommunications consultancy commissioned by public utilities regulator Aresep, to establish the fair value of the tender.
TMG reportedly recommended a base price of US$60m for two of the three packages on offer, and US$66m for the final package, which includes 10MHz of the 850MHz band.
Minaet also questioned the watchdog’s development plan, which fails to guarantee 90% coverage of inhabited areas of the country.
The initial bidding rules were published in February, but the auction process was delayed to allow a probe into a suspected conflict of interests regarding one of the potential bidders, as well as an investigation by Aresep into potential irregularities in the way members of Sutel were conducting the bidding process.
This latest hitch may make it impossible for Sutel to comply with a recent order from Costa Rica’s constitutional court, which instructed the body to re-launch the auction and have a winner within three months.