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PART 4BIDDING PROCEDURE

CHAPTER 7Procedure and further deposit for primary bid rounds

Notice to be given to bidders before primary bid rounds

52.—(1) Before the start of each primary bid round, OFCOM shall notify each bidder of—

(a)the date on which, and the times on that date within which, the primary bid round will take place;

(b)the round price for—

(i)each 800 MHz paired frequency lot;

(ii)each 2.6 GHz paired frequency lot;

(iii)each 2.6 GHz individual frequency lot;

(iv)the 800 MHz coverage obligation lot;

(v)each 2.6 GHz concurrent low power 10 MHz lot;

(vi)each 2.6 GHz concurrent low power 20 MHz lot;

(c)the bidder’s eligibility limit for that primary bid round; and

(d)whether there is more than one opted-in bidder which has an eligibility limit for that primary bid round which is the same as or more than that bidder’s eligibility threshold.

(2) An opted-in bidder’s eligibility threshold is the number equal to the number of eligibility points associated with the valid opt-in bid made by that bidder which, out of all of the valid opt-in bids made by that bidder, has the lowest number of eligibility points associated with it.

(3) The number of eligibility points associated with a valid opt-in bid shall be the number equal to the total of the eligibility points associated with the lots included in the selection of lots specified in that valid opt-in bid.

Extension to primary bid rounds

53.—(1) The time notified by OFCOM under regulation 52(1)(a) as the end of the primary bid round (“end of round time”) may be treated by a bidder in respect of—

(a)no more than two primary bid rounds, and also

(b)in respect of each occasion where paragraph (2) applies to the bidder, a further primary bid round,

as that time extended by thirty minutes and OFCOM shall treat that extended time as the end of round time for the purposes of regulation 54(2).

(2) This paragraph applies to a bidder where—

(a)in respect of a previous primary bid round, the bidder treated the end of round time for that round as extended by thirty minutes in accordance with paragraph (1);

(b)the bidder submitted its completed primary bid form for that primary bid round so that it was received by OFCOM by the end of round time so extended; and

(c)OFCOM have notified the bidder that they are satisfied that, in respect of that primary bid round, circumstances existed which were beyond the bidder’s control which had the effect that the bidder could not have submitted its primary bid form so that it was received by OFCOM by the end of round time without such an extension.

Submission of primary bid form to OFCOM

54.—(1) A bidder must submit the completed primary bid form to OFCOM by using the electronic auction system, except as provided for in regulation 55.

(2) The completed primary bid form must be received by OFCOM by the end of round time.

Alternative method for submission of primary bid form

55.—(1) Where OFCOM are satisfied that a bidder is unable to submit a primary bid form by using the electronic auction system because of technical failure (or an event or circumstance with similar effect on the bidder’s ability to use the electronic auction system), OFCOM shall notify the bidder of an alternative method of submitting the primary bid form and any requirements relating to the authentication of communications made by means of the alternative method.

(2) The bidder must submit the primary bid form by means of the alternative method and must comply with any requirements which have been notified to it under paragraph (1) relating to the authentication of communications.

Incomplete or defective primary bid form

56.—(1) Where, due to the manner of completion, a primary bid form is incomplete or defective but OFCOM believe that they can ascertain the bidder’s intention in relation to the making of the primary bid, OFCOM shall ask the bidder to confirm in a notice to OFCOM by a deadline specified by OFCOM that OFCOM have correctly ascertained the bidder’s intention in relation to the making of the primary bid.

(2) Where the bidder confirms in a notice given to OFCOM by the deadline which is signed by two authorised persons that OFCOM have correctly ascertained the bidder’s intention, the primary bid form in its entirety shall be accepted by OFCOM on that basis.

(3) Where the bidder does not give such confirmation, the primary bid form in its entirety shall be rejected by OFCOM and the primary bid submitted on the primary bid form shall not be a valid primary bid.

Notification that primary bid not valid

57.  Where a bidder submits a primary bid that is not a valid primary bid during a primary bid round, OFCOM shall, after the end of that primary bid round, notify the bidder of that fact and shall give the reasons why the bid is not a valid primary bid.

Release of information on primary bids in principal stage

58.  After the end of each primary bid round and before the start of the next primary bid round (or before the start of the supplementary bids round if there is no further primary bid round), OFCOM shall notify bidders of—

(a)the total number of 800 MHz paired frequency lots included in valid primary bids made in the primary bid round that has most recently ended;

(b)the total number of 2.6 GHz paired frequency lots included in valid primary bids made in that round;

(c)the total number of 2.6 GHz individual frequency lots included in valid primary bids made in that round;

(d)the total number of 800 MHz coverage obligation lots included in valid primary bids made in that round;

(e)the total number of 2.6 GHz concurrent low power 10 MHz lots included in valid primary bids made in that round;

(f)the total number of 2.6 GHz concurrent low power 20 MHz lots included in valid primary bids made in that round; and

(g)whether there is excess demand.

Further deposit during primary bid rounds

59.—(1) Where, in respect of a primary bid, the amount which a bidder specifies that it is willing to pay is more than double the total amount that the bidder has on deposit with OFCOM for the purposes of the award process at that time OFCOM may, having regard to the desirability of securing an efficient outcome to the principal stage, subsequently notify the bidder that the bidder is required to pay a further sum in pounds as a deposit.

(2) The further sum shall be an amount determined by OFCOM such that the total amount that the bidder is required to have on deposit is at most half the amount of the highest valid primary bid that the bidder made before OFCOM gave notice to the bidder under paragraph (1).

(3) Any such sum must be paid into OFCOM’s bank account by a same day electronic transfer, with accompanying information which identifies the bidder, by a deadline specified by OFCOM.

(4) Where a bidder does not satisfy the requirements set out in paragraph (3), OFCOM shall notify the bidder of that fact, and for any primary bid rounds following notice being given under this paragraph the bidder’s eligibility limit shall be zero.