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PART 4BIDDING PROCEDURE

CHAPTER 3Permissible bid selections

Permissible bid selections

22.—(1) OFCOM shall, for the primary bid rounds and supplementary bids round, determine which selections of lots each bidder may bid for.

(2) Each selection of lots determined by OFCOM shall consist of lots of one or more of the following types—

(a)800 MHz paired frequency lots;

(b)2.6 GHz paired frequency lots;

(c)2.6 GHz individual frequency lots;

(d)the 800 MHz coverage obligation lot;

(e)2.6 GHz concurrent low power 10 MHz lots;

(f)2.6 GHz concurrent low power 20 MHz lots.

(3) For each selection of lots, OFCOM shall specify how many lots of each type (if any) are included in the selection.

(4) The list of possible selections of lots provided to each bidder may be different for each bidder.

(5) The list is the “permissible bid selection list” and each selection of lots in that list is a “permissible bid selection”.

(6) The permissible bid selection list for each bidder shall not change during the primary bid rounds and supplementary bids round.

Preparing a permissible bid selection list for each bidder

23.—(1) In determining the permissible bid selection list for each bidder OFCOM shall include each possible selection of lots which—

(a)would, if it were to be included in a licence granted to that bidder, comply with the spectrum cap rule in respect of that bidder;

(b)does not include more than one 2.6 GHz concurrent low power 10 MHz lot;

(c)does not include more than one 2.6 GHz concurrent low power 20 MHz lot;

(d)if it includes one 2.6 GHz concurrent low power 10 MHz lot, does not also include a 2.6 GHz concurrent low power 20 MHz lot;

(e)if it includes one 2.6 GHz concurrent low power 20 MHz lot, does not also include a 2.6 GHz concurrent low power 10 MHz lot;

(f)if it includes one 2.6 GHz concurrent low power 10 MHz lot, does not include more than twelve 2.6 GHz paired frequency lots;

(g)if it includes one 2.6 GHz concurrent low power 20 MHz lot, does not include more than ten 2.6 GHz paired frequency lots;

(h)if it includes any 2.6 GHz individual frequency lots, includes at least two such lots;

(i)does not include more lots of a type than the number of lots available of that type;

(j)has a number of eligibility points associated with it which is not more than the number that OFCOM have determined under regulation 15 to be the bidder’s eligibility limit for the first primary bid round;

(k)meets the rule set out in paragraph (2) if that paragraph applies; and

(l)meets the rule set out in paragraph (3) if that paragraph applies.

(2) If there is only one opted-in bidder, each permissible bid selection on that bidder’s permissible bid selection list must include (in addition to any other lots which are included) all of the lots selected in a valid opt-in bid made by that bidder.

(3) If there is at least one opted-in bidder, the permissible bid selections for each bidder must all be such that if that bidder were to make a valid principal stage bid for any one of those selections, that bid could, when taken together with others (which were also valid principal stage bids), form a combination which meets the requirements (in regulation 67(4)) which must be satisfied for a combination of principal stage bids to be a valid combination of principal stage bids.

(4) The number of eligibility points associated with a selection of lots shall be the number equal to the total of the eligibility points associated with the lots included in the selection of lots.

The spectrum cap rule

24.—(1) The spectrum cap rule consists of the two requirements on spectrum holdings.

(2) The first requirement is that a bidder’s post-award spectrum holdings may not amount to total rights of use of more than—

(a)two hundred and ten megahertz of frequencies in the frequency bands set out in List A in Schedule 3, if the bidder’s post-award spectrum holdings do not include rights of use of frequencies in the frequency band 2570 MHz to 2615 MHz; or

(b)two hundred and fifteen megahertz of frequencies in the frequency bands set out in List A in Schedule 3, if the bidder’s post-award spectrum holdings do include rights of use of frequencies in the frequency band 2570 MHz to 2615 MHz.

(3) The second requirement is that a bidder’s post-award spectrum holdings may not amount to total rights of use of more than fifty five megahertz of frequencies in the frequency bands set out in List B in Schedule 3.

(4) “Post-award spectrum holdings”, in relation to a bidder, means—

(a)the bidder’s recorded spectrum holdings; and

(b)rights of use of frequencies that the bidder acquires under this award process.