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Public Consultations on the proposed allocation plans for 700 MHz, 3600 MHz and 26 GHz frequency bands launched

Apart from the basic bands for 5 G deployment, for which public auction process will be carried out, a public discussion was initiated on the proposal for an information memorandum.
 
ZAGREB, 2 April 2021 - The Croatian Regulatory Authority for Network Industries (HAKOM) launched public consultation on the information memorandum and proposed allocation plans for the 700 MHz, 3600 MHz and 26 GHz frequency bands. These frequency bands are defined as basic bands for the implementation of 5G networks. HAKOM decided that a public auction process would be carried out for the allocation of rights of use for the aforementioned frequency bands, and for that purpose an information memorandum has been prepared, containing the summarised proposals of conditions and requirements included in the Decision on Public Auction Announcement. In drafting the public auction framework, included in the information memorandum, HAKOM also took into account the objectives of the National Plan for Broadband Development in the Republic of Croatia in the period from 2021 to 2027 (OG 26/21), which is in line with the Croatian  National Development Strategy until 2030. (Official Gazette 13/21). It can be expected that broadband access through mobile communications networks, primarily based on 5G technology, will soon be the main engine for the growth of national markets and that operators will have a great interest in further development of the network. The main goal of the 5G deployment is to provide quality signal coverage of the entire territory of the Republic of Croatia and thereby stimulate economic development and enable better quality of life for the population, both in urban and rural areas of the Republic of Croatia.

Compliant to the information memorandum the assignment of RF spectrum rights of use has been provided at national level for 60 MHz (3 frequency blocks of 2 x 10 MHz) in the 700 MHz, 320 MHz frequency band (32 frequency blocks of 10 MHz) in the 3600 MHz and 1000 MHz frequency band (5 frequency blocks of 200 MHz) in the 26 GHz frequency band. The allocation of rights of use at regional (county) level for 80 MHz in the 3600 MHz frequency band has also been provided. Future licence holders for the use of RF spectrum in the 700 MHz frequency band are required to cover rural and urban areas, all motorways and certain railway routes with 5G.  In urban areas it is necessary to cover at least 90 % of the population with 5G by 31.12.2025. In addition, by 31.12.2025, it is necessary to cover at least 25%, and by 31.12.2027 at least 50% of the total area of rural areas in the Republic of Croatia. Obligations to cover transport routes include covering at least 99% of the total length of all motorways and at least 95% of the total length of individual train routes by 31.12.2025.

The second part of the obligations for RF spectrum licence holders in the 700 MHz frequency band refers  to the areas not covered by a satisfactory signal level comprising 20 local self-government units of special interest and 60 settlements. In order to ensure that the coverage conditions of areas, not covered by the appropriate signal level, are met, HAKOM has grouped the obligations for each 2 x 10 MHz frequency block in the 700 MHz frequency band. In the settlements that are not covered by a satisfactory signal level, it is necessary to cover 95% of the population with 4G and/or 5G networks by 31.12.2024., and in the local self-government units of special interest it should be covered 80% of their total area within 3 years of issuing the permit.

Regarding the future holders of RF spectrum licences in the 3600 MHz frequency band at the national level it is planned to put into operation  one base station in  each individual county and City of Zagreb by 31.12.2022 and a total of 200 base stations by 31.12.2025., Regarding the licence holders at the regional level, the same frequency band it is planned to put into operation  one base station until 31.12.2022, except in Međimurje and Varaždin County, where the same obligation should be provided  until 31.12.2024.
It is important to point out that for all these obligations the minimum reception signal level (RSRP) of -110 dBm has been defined, which ensures a satisfactory quality of service, i.e. user experience of using broadband mobile service of at least 10/2 Mbit/s outdoor.

The obligations to be fulfilled by the licence holders have not be predicted for the 26 GHz frequency band.

The information memorandum plans to define obligations to share passive infrastructure, active infrastructure, including national roaming in an isolated local area and to provide wholesale access to mobile virtual network operators (MVNO). In order to ensure regulatory predictability for the licence holders  Directive (EU) 2018/1972 of the European Parliament and of the Council of 11 December 2018 establishing the European Electronic Communications Code (Recast) Text with EEA relevance provides that, the period of validity of the licence must not be less than 15 years and that an appropriate extension of up to 20 years should be provided for wireless broadband electronic communications services, A transparent procedure for assessing the conditions for renewal will be carried out  for this 5-year extension based on criteria for effective and efficient use of radio spectrum and ensuring a smooth competition. The frequency bands that are subject to this public auction procedure will be allocated by HAKOM for 15 years, with the possibility of extension for a maximum of 5 years.

HAKOM has provided that licences should to be issued for a period of 15 years and that operators can choose to pay the total value of permits at once or through a maximum of 10 equal annual instalments.

“Public Consultation - Information Memorandum on the public auction for the allocation of rights of use for radio spectrum in the 700 MHz, 3600 MHz and 26 GHz frequency bands” shall start on 2 April 2021 at 9 a.m. and shall run until 3 May 2021, 3 p.m. Public Consultation is available here.

“Public Consultation -Allocation plan for the 703-733/758-788 MHz frequency band” shall start on 2 April 2021 at 8 a.m. and shall run until 23 April 2021, 1 p.m. Public consultation is available here.

“Public Consultation - Allocation plan for the 3400-3800 MHz frequency band” shall start on 2 April 2021, 8 a.m. and shall run until 23 April 2021 1 p.m. Public Consultation is available here.

“Public Consultation - Allocation plan for the 26.5-27.5 GHz frequency band” shall start on 2 April 2021 at 8 a.m. and shall run until 23 April 2021, 1 p.m... Public consultation is available here.

For additional information please contact:

Croatian Regulatory Authority for Network Industries (HAKOM)

  • Roberta Frangeša-Mihanovića 9 Street
  • 10110 Zagreb, Croatia
  • Tel. + 385 (0) 1 700 70 07
  • Fax + 385 (0)1 700 70 70

Media inquiries can be submitted online using HAKOM’s official website: www.hakom.hr

About Hakom

HAKOM - Croatian Regulatory Authority for Network Industries – ensures preconditions for a fair market competition, stable growth and environment for innovations in the electronic communications and postal services market. HAKOM protects users’ interests and the possibility of choice among various communications and postal services at affordable prices, defines sustainable competitive conditions for operators and service providers under fair conditions for return on investment, and provides support to economic growth, public services and the quality of life in the Republic of Croatia by using modern technologies. HAKOM’ strategic goals are: to promote regulation of the electronic communications and postal services market, to support growth of investments and innovations in the electronic communications and postal services market, to provide efficient use of limited resources, to accelerate the growth of broadband products and services, to provide affordable offers of communications and postal services, to provide protection and informing of users, to build an efficient and comprehensive information system, to define and implement efficient processes, and to acquire multi-disciplinary expertise in market regulation.