Mobile operators’ request for four 3G licences turned down

TIRANA, September 13 – Government has turned down requests by the country’s four mobile operators to grant four 3G licenses instead of one. In a statement issued last weekend, the Innovation and Technology Ministry assured the four operators, AMC, Vodafone Albania, Eagle Mobile and the newly created Plus, that the granting of a single 3G licence would not create a monopoly situation as the companies claimed in a joint declaration addressed to government earlier.
“As evidenced before, government does not allow and tolerate monopolistic situations on the market,” said the ministry.
The tender with a price tag of 12.5 million euro will be held in the next few days and managed by the Electronic and Postal Communications Authority.
“Only one individual authorization will be initially granted. The race starts from the price of 12.5 million euros,” says the ministry.
Last week, the four mobile companies suggested the granting of four 3G licences to promote competition and increase technology investments, warning that a monopoly would be created.
The companies said that Albania currently ranks Europe’s last country as far as the spread 3G technology is concerned.
The four companies are also worried over the high 12.5 million euro tariff government has set for the service provider.
“It is very important that government demonstrates its political will to accelerate the widespread of 3G technology and open up the high speed internet market without creating unnecessary barriers,” said the companies in a statement.
The government decision to grant a single 3G licence has also been opposed by experts and consumer protection NGOs.
Zef Preci, an economy experts and former Competition Authority head, said the granting of more 3G licences would promote competition and prevent monopolies in this service.
“Allowing more than one company to provide 3G would diversify the service offered by mobile operators and also offer lower prices to consumers without affecting expected budget revenue,” said Preci in an interview for daily Standard.
According to the Authority, the launch of 3G, which refers to the third generation of mobile telephony technology, is necessary to further develop information technology and wireless internet in Albania.
Companies authorized to provide the service must be able to provide the service by the end of this year. The Authority expects the licenses will be granted within this autumn and service offered at the end of this year.