Issue 2.0 Dated 3 Aug 03

Issue 2.0 Dated 3 Aug 03 STATEMENT OF OBJECTIVES FOR IRAQ MOBILE LICENCE OFFER INTRODUCTION 1. This document states the objectives for the Iraq mobile licence offer. Bidders are required as a minimum to meet the general requirements listed herein and this document shall form the basis of the licence agreement. Bidders are requested to respond to this Statement of Objective utilising the pre-prepared Word and Excel file formats provided. This will enable rapid bid assessment and licence award. 2. Annex A to this document defines the terms used throughout this offering and bid submissions. GENERAL INFORMATION 3. The CPA will award up to 3 licences, one each for northern, central and southern regions. A breakdown of the regions, showing the governorates that will fall within each, is set out below in table 1 and depicted in figure 1. Licensees shall commence installation within 20 days of licence let and will be subject to performance reviews at 2, 6, 12 and 24 months. Figure 1 - Licence Regions North Region Central Region South Region Table 1 – Geographic boundaries of each region Region Governorates covered Estimated population of major cities in region South Al Basrah, Al Muthanna, Dhi Qar, Maysan, An Najaf, Babil, Karbala, Wassit, Al Qadisuyah 5.3 million Central Baghdad, Diyala, Al Anbar, 6.9 million North 4.4 million Erbil, As Sulaymaniyah, At Ta min, Dahuk, Ninawa Salah ad Din 4. Each applicant will be required to bid for at least two regions to encourage bidding for each of the regions and a rapid build-out of the main population centres. 5. Bidders will propose their minimum build-out and service levels at 2 months, 6 months, 12 months and 24 months in the region bid for. These will be subject to agreement with the CPA. The extent of the intended coverage area will be a criterion for selection and will become a condition in the licences. Once a licensee has met the 12 month build-out obligations (this may happen before or after the 12 month date), licences will be extended by the Ministry to become national. This process is expected to lead to 3 competing national mobile networks. 6. Licensees will be required to provide full national roaming service to their customers through agreements with the other two new regional Iraqi licensees. 7. Annex B defines basic packages for social users and for business users. Bidders will be required to offer this package and to set a maximum price for it in their bid. This price will not increase during the first 12 months from launch of service or until a second of the three new operator offers service in its area, whichever is the earlier. This information is required to inform the judgement of best value. 8. Each licence will be for 24 months. This is considerably shorter than is normal for a mobile telecommunications licence but reflects the special circumstances in Iraq. It is believed that this period will provide operators with sufficient opportunity to recover their investment while enabling a future Iraqi Authority to take responsibility for key decisions in relation to the long- term development of the sector. 9. Licences will be issued following an assessment of best value, undertaken by the CPA and based on the proposals received. 10. To ensure the rapid delivery of a high quality service appropriate to the people of Iraq, the CPA wishes to attract bidders that can demonstrate within their company or consortium current experience of delivering and operating world class mobile networks. 11. Coalition military and Iraqi civilian police remain responsible for general security. Licence holders will be responsible for provision of specific site, facility security and personnel security. Neither the Coalition Provisional Authority nor the Iraqi government shall be liable for damage or loss of the licence holder equipment either during shipment or in the final installation site. COMPANY REQUIREMENTS 12. Bidders are expected to have experience of operating in the global telecommunications market and have experience in constructing and operating mobile digital networks. 13. Bidders will submit data as required, in attachment 1, for financial audit and management purposes. No government shall directly or indirectly own more than 10% of any single bidding company or single company in consortia. Bidders will submit a list of up to five (5) contracts or licences broadly similar to those offered through this process to demonstrate previous experiences. The list should indicate the scope of the contracts or licences. The list will include contact details of the other party to the contract or issuer of the licence. 14. Bidders will be required to provide country specific or international identification numbers (such as, Dunn and Bradstreet, Tax Identification Number (TIN) etc.). These will be used to assist in verification of information about the companies or consortia through various data sources. 15. A licensee may not hold more than 10% interest in another mobile licence in Iraq. REGULATORY ISSUES 16. Service to the public: Licensee must provide mobile telecommunications services of its choice to the public and not unreasonably discriminate in doing so. 17. At the 2, 6, 12 and 24 month points the licensee must file a notification of the extent of its completed network with the Ministry. The notification must include a map of the area where service is available and the service statistics. 17.1. A performance bond for the full value of the expected capital cost of network and infrastructure construction will be established. 17.2 A regulator will be established to enforce licence conditions including frequency use with an appropriate system of fines and penalties. 18. Transfer of licence: The licence may be transferred in whole or in part upon approval of the Ministry. A request for approval will not be considered until the 12 month build target has been met. MANDATORY TECHNICAL REQUIREMENTS 19. This section sets forth the technical requirements for use of the spectrum and equipment in the mobile communications services. 20. Interconnection: The licensee will be provided with reasonable and non-discriminatory interconnection to the public switched telephone network of the ITPC. 21. The mobile system shall be interconnected with the ITPC and calls will be routed seamlessly between the licence network and the ITPC network. In addition, international connectivity must be provided via the ITPC or other licensee provisions. 22. Users shall be able to make calls to/from the following: ITPC-PSTN, International-PSTN, other Iraqi mobile networks, satellite phone networks. 23. Spectrum allocations. Licensees will be granted use of frequencies as outlined in Annex C, Spectrum Allocations. 24. Standards. deploys. The licensee must operate its system within the recognised international standards and constraints set forth in the technical standards for the particular technology it 25. All switching, network management and control, and network service operations must be conducted from within Iraq and meet international standards consistent with the technical specifications of the system provided. 26. Distress calls (911, 999, 112 etc) are to be handled by a licensee provided operator to international standards. 27. [deleted] 28. Maximum power for transmitters is as follows: 28.1. Portable: 2 Watts EIRP. 28.2. Mobile: 20 Watts EIRP. 28.3. Base stations: 800 Watts EIRP. 29. Border area coordination: Base stations placed within 60 kilometres of an international border must be coordinated with the foreign government prior to operation per Annex C. 30. Provision is to be made for automatic power control of mobiles and base stations. In addition, the power criteria may be delineated along with corresponding antenna heights. 31. Emissions on any frequency outside the licensee’s spectrum must be attenuated below the transmitter power (P) by at least 43 + 10 log (P) dB. If an emission outside the licensee’s spectrum causes harmful interference to other systems within or outside Iraq, greater attenuation may be required. 32. Transmitters must have sufficient stability to ensure that the fundamental emission stays within the authorised spectrum. 33. Licensees must certify that all transmitters comply with IEEE C95.1-1991, “IEEE Standards for Safety Levels with Respect to Human Exposure to Radio Frequency Electromagnetic Fields, 3 kHz to 300 GHz” as measured using methods specified in IEEE C95.3-1991, “Recommended Practice for the Measurement of Potentially Hazardous Electromagnetic Fields – RF and Microwave.” 34. Licensees that own their antenna structures must not allow these antennas to become hazards to air navigation and must install and maintain all appropriate marking and lighting fixtures. MOTC DELIVERABLES 35. Tower and Space Rental. ITPC has deployed a total of approximately 350 cell phone towers across the country. Details can be found on the CPA web site. These towers may be utilised by licensees if the licensee chooses to do so. Rental of space on these towers and in associated buildings, other assets and security will be by commercial agreement with the ITPC. 36. ITPC Call Tariffs. ITPC will charge mobile operators 80% of the domestic call tariff rates for terminating calls on its network. ITPC call tariff rates are provided on the CPA web site. Bidders are to note that these call tariffs are expected to increase during the licence period. 37. ITPC Interconnection Tariffs. Digital E1, PCM connection to the ITPC network will be charged at ITPC tariffs rates. 38. Trunk and Back-Haul. Access to trunk and back-haul capacity will be facilitated but capacity is limited and availability is not guaranteed by the Ministry. BID SUBMISSION AND ASSESSMENT General. The following information is available on the CPA web site: Bid information can be found at http://cpa-iraq.org under the business information 39. 39.1. section. 39.2. General information on telecommunications is provided at http://cpa- iraq.org/ministries/transportation.html . 40. A conference for potential bidders was held in Jordan at the Grand Hyatt Hotel Amman starting at 10:00hrs on 31 July 2003. Information provided at the conference may not be available from other sources. 41. All information provided on the CPA web-site for bidders other than the Statement of Objectives is provided on the basis of best endeavours, and the CPA will not be held accountable for the accuracy or otherwise of that information. 42. City and Road Definitions. Map files will be available for down load from http://cpa- iraq.org/ministries/transportation.html covering each major town and city as identified in Table-1. A notional municipal boundary is indicated on each map. Bidders must indicate their intended percentage geographic coverage of each of these municipalities within their region. Additionally a national map file is provided with an overlay defining major communication routes. Bidders should indicate the extent to which they intend to provide coverage along a 3 kilometre wide corridor centred on those routes within the region. 43. Procedure. Bids are to be submitted electronically to the cpa_contracting_acti@orha.centcom.mil email address or on CD ROM with an optional hard copy to CPA Contracting Activity Room M210 Republican Presidential Palace Baghdad APO AE 09335. Bids should be marked for the attention of the Mobile Telecommunications KO. Bids must be received by 10:00am (Iraq time) on 21 August 2003. CPA will acknowledge receipt of the bids by email within 24 hrs. Bid submissions will be reviewed by a source selection evaluation board and source selection authority. 44. Cost Information. All cost information is to be provided in US dollar (US$) amounts. 45. Bid submissions. Submissions are to be made on the Bid templates. One Word file and one Excel spreadsheet is to be submitted for each region bid for. The word document provides sufficient space for qualitative narrative responses. The excel spreadsheet then provides a preformatted set of tables for the capture of quantitative data. Bidders’ email submission should be less than 1 MB in size. If larger than 1MB, recommend contractors submit bids in parts identifying them as such. 45.1. Word Document. Total page count per bid is not to exceed 50 pages. 45.2. Excel Spread Sheets – are to be completed in accordance with the notes included. 45.3 All bid submissions will be treated in confidence. 46. Licence Fees. The following licence fees will be imposed to fund a regulatory agency. That agency will be tasked with monitoring the build-out of the mobile system and policing the radio spectrum at large: 46.1. First Year: Regions City Population Fee (M USD) North 4.4 1.33 Centre 6.9 2.08 South 5.3 1.60 Total 16.6 5.00 Management: Including speed of delivery (build-out), ability to deliver, bidder past performance and financial soundness of bidder and project financing. Cost of Use to the subscriber. 46.2. These fees will remain fixed whether or not a regional licence holder is granted a national licence. In the second licence year, the fee will be 1.33m USD for each operator. Licence fees shall be paid on issue of the licence. 47. Evaluation. Bids will be evaluated against a prepared scoring matrix. Scores will be assigned to the following 3 broad categories: 47.1. service. Technical: Including geographical service coverage, system capacity, and quality of 47.2. 47.3. Bidders should be certain to submit in their bids information concerning each of these elements LEGAL AUTHORITY 48. The Coalition Provisional Authority is exercising governmental authority in Iraq temporarily until such time as the Iraqi people can establish a permanent government. The Coalition Provisional Authority (CPA), has been recognized by the United Nations as the temporary government in Iraq pursuant to United Nations Security Council Resolution (UNSCR) 1483 (2003). CPA Regulation 1 states that Iraqi law that was in effect as of 16 April 2003 remains in effect unless suspended. CPA Order 11 authorises the Ministry of Transportation and Communications to licence and regulate all commercial telecommunications services within Iraq. 49. CPA has not been enforcing former Iraqi law concerning the foreign ownership registration provisions and the provisions of Iraqi law concerning restrictions on foreign ownership. The CPA is at this time conducting a review to determine what Iraqi laws, if any, should be suspended during the transition time in order to assist the economic recovery of Iraq. It is anticipated that the Administrator of the CPA will, in fact, suspend the operation of certain Iraqi commercial laws pending a more thorough review. However, the exact laws involved have not been determined at this time. 50. With this background information, firms wishing to submit offers in response to this solicitation should be aware of the following: 51. The licences to be awarded under the terms of this solicitation will be issued for a period not to exceed 24 months. This is to facilitate the transfer of authority to a permanent Iraqi government when such government is established. 52. At the present time, the restrictions of Iraqi commercial law concerning business activities by non-Iraqi firms, although not formally suspended, are not being enforced. As stated above, it is expected that the CPA will formally suspend certain laws in the near future to aid Iraq’s economic recovery. When that occurs, to the extent practicable, prospective offerors will be notified. 53. Firms wishing to submit offers in response to this solicitation, and firms, who ultimately receive licences from the Ministry as a result of this solicitation, are strongly encouraged to keep abreast of the current state of Iraqi commercial law to ensure compliance with local laws, which will be a condition of the licences to be awarded under this solicitation. 54. Firms who ultimately receive licences from the Ministry as a result of the solicitation are reminded that the governmental authority of the CPA and the Ministry expires upon the establishment of a permanent government in Iraq. Although it is likely that the licences awarded under this solicitation will be continued by the new permanent Iraqi government, neither the CPA nor the Ministry makes any representation that the permanent government will continue the current licences on the same terms and conditions as the Ministry. 55. Bid submissions made to this request, once accepted become part of the licence and compliance to the submitted bid is contractually one with the licence award. Annexes: A. Definitions and Terms. B. Subscriber Packages. C. Spectrum Allocations. Attachments: 1. 2. 3. 4. Bid Response Template – Word File Bid Response Template Northern Region – Excel File Bid Response Template Southern Region - Excel File Bid Response Template Central Region – Excel File Annex A DEFINITIONS AND TERMS The following definitions are provided for use in this Statement of Objectives and in all Bid documentation: 1) Antenna Structure: A structure comprising an antenna, the tower or other structure that exists solely to support antennas, and any surmounting appurtenances (attachments such as beacons or lightning rods). 2) Antenna: A device that converts radio frequency electrical energy to radiated electromagnetic energy and vice versa; in a transmitting station, the device from which radio waves are emitted. 3) 4) Authorised Bandwidth: The necessary or occupied bandwidth of an emission, whichever is more. Authorised Spectrum: The spectral width of that portion of the electromagnetic spectrum within which the emission power of the authorised transmitter(s) must be contained, in accordance with the rules prescribed by the Ministry. The authorised spectrum comprises one channel bandwidth or the bandwidths of two or more contiguous channels. 5) Available Service: Service is deemed “available” in areas where two-way, mobile voice service may be obtained with a blocked call rate and dropped call rate of 5% or less for both. 6) Base Transmitter: A stationary transmitter that provides radio telecommunications service to mobile and/or fixed receivers, including those associated with mobile stations. 7) Blanketing Interference: Disturbance in consumer receivers located in the immediate vicinity of a transmitter, caused by currents directly induced into the consumer receiver’s circuitry by the relatively high field strength of the transmitter. 8) Blocked Call Rate. The percentage of calls between 2 locations on the network which result in non-connection. Engaged distant subscribers do not count towards the blocked call rate. Failures on the PSTN do not count towards this calculation. This is to be calculated during the busy hour and averaged over a 5 minute period of worst performance for all coverage areas of 10 Km. 9) Build-out: The projected coverage and service levels at discrete time points. 10) Period: A period during which the licensee of the first cellular system authorised on each channel block in each cellular market may expand the system within that market. 11) Build-out Transmitters: Transmitters added to the first cellular system authorised on a channel block in a cellular market during the build-out period in order to expand the coverage of the system within the market. 12) Cardinal Radials: Eight imaginary straight lines extending radially on the ground from an antenna location in the following azimuths with respect to true North: 0°, 45°, 90°, 135°, 180°, 225°, 270°, 315°. 13) Carrier Frequency: The frequency of the unmodulated electrical wave at the output of an amplitude modulated (AM), frequency modulated (FM), or phase modulated (PM) transmitter. 14) Cell: The service area of an individual transmitter location in a cellular system. 15) Cellular Geographic Service Area: The geographic area served by a cellular system, within which that system is entitled to protection and adverse affects are recognised. 16) Cellular Markets: Standard geographic areas used by the Ministry for administrative convenience in the licensing of cellular systems. 17) Cellular Radiotelephone Service: A radio service in which common carriers are authorised to offer and provide cellular service for hire to the general public. 18) Cellular Repeater: In the Cellular Radiotelephone Service, a stationary transmitter or device that automatically re-radiates the transmissions of base transmitters at a particular cell site and mobile stations communicating with those base transmitters, with or without channel translation. 19) Cellular Service: Radio telecommunication services provided using a cellular system. 20) Cellular System: An automated high-capacity system of one or more multi-channel base stations designed to provide radio telecommunication services to mobile stations over a wide area in the a spectrally efficient manner. Cellular systems employ techniques such as low transmitting power and automatic hand-off between base stations of communications in progress to enable channels to be reused at relatively short distances. Cellular systems may also employ digital techniques such as voice encoding and decoding, data compression, error corrections, and time and code division multiple access in order to increase system capacity. 21) Centre Frequency: The frequency of the middle of the bandwidth of a channel. 22) CGSA: Cellular Geographic Service Area. 23) Channel: The portion of the electromagnetic spectrum assigned by the Ministry for one emission. 24) Channel Bandwidth: The spectral width of a channel, as specified in this part, within which 99% of the emission power must be contained. 25) Channel Block: A group of channels that are assigned together, not individually. 26) Channel Pair: Two channels that are assigned together, not individually. 27) Communications Channel: A channel used to carry subscriber communications. 28) Construction Period: The period between the date of grant of an authorisation and the date of required commencement of service. 29) Control Channel: A channel used to transmit information necessary to establish or maintain communications. 30) Dead Spots: Small areas within a service area where the field strength is lower than the minimum level for reliable service. Service within dead spots is presumed. 31) Effective Radiated Power (ERP): The effective radiated power of a transmitter (with antenna, transmission line, duplexers, etc) is the power that would be necessary at the input terminals of a reference half-wave dipole antenna in order to produce the same maximum field intensity. ERP is usually calculated by multiplying the measured transmitter output power by the specified antenna system gain, relative to a half-wave dipole, in the direction of interest. 32) Emission: The electromagnetic energy radiated from an antenna. 33) Emission Designator: An internationally accepted symbol for describing an emission in terms of its bandwidth and the characteristics of its modulation, if any. 34) Emission Mask: The design limits imposed, as a condition of certification, on the mean power of emissions as a function of frequency both within the authorised bandwidth and in the adjacent spectrum. 35) Equivalent Isotropically Radiated Power (EIRP): The equivalent isotropically radiated power of a transmitter (with antenna, transmission line, duplexers, etc.) is the power that would be necessary at the input terminals of a reference isotropic radiator in order to produce the same maximum field intensity. An isotropic radiator is a theoretical lossless point source of radiation with unity gain in all directions. EIRP is usually calculated by multiplying the measured transmitter output power by the specified antenna system gain, relative to an isotropic radiator, in the direction of interest. 36) Extension. An area within the service area boundary of a cellular system, but outside of the market boundary. 37) Fill-in Transmitters: Transmitters added to a station, in the same area and transmitting on the same channel or channel block as previously authorised transmitters that do not expand the existing service area, but are established for the purpose of improving reception in dead spots. 38) Fixed Transmitters: A stationary transmitter that communicates with other stationary transmitters. 39) Frequency: The number of cycles occurring per second of an electrical or electromagnetic wave; a number representing a specific point in the electromagnetic spectrum. 40) Height Above Average Terrain (HAAT): The height of an antenna above the average elevation of the surrounding area. 41) Iraqi Telephone and Post Company (ITPC). The state owned telephone provider and sole PSTN operator in Iraq. 42) In-building Radiation Systems: Supplementary systems comprising low-power transmitters, receivers, indoor antennas, and/or leaky coaxial cable radiators, designed to improve service reliability inside buildings or structures within the service areas of stations in the Public Mobile Services. 43) Initial Cellular Applications. Applications for authority to construct and operate a new cellular system, excluding applications for interim operating authority. 44) Interfering Contour. The locus of points surrounding a transmitter where the predicted median field strength of the signal from that transmitter is the maximum field strength that is not considered to cause interference at the service contour of another transmitter. 45) Licensee. The company or consortia holding the authorisation to operate telecommunication services issued by the Ministry. 46) Ministry. The Ministry of Transport and Communications. 47) Mobile Station: One or more transmitters that are capable of operation while in motion. 48) Necessary Bandwidth: The calculated spectral width of an emission. The bandwidth so calculated is considered to be the minimum necessary to convey information at the desired rate with the desired accuracy. 49) Occupied Bandwidth: The measured spectral width of an emission. The measurement determines occupied bandwidth as the difference between upper and lower frequencies where 0.5% of the emission power is above the upper frequency and 0.5% of the emission power is below the lower frequency. 50) Partitioned Cellular Market: A cellular market with two or more authorised cellular systems on the same channel block during the build-out period, as a result of settlements during initial licensing or contract(s) between the licensee of the first cellular system and the licensee(s) of the subsequent systems. 51) Public Switched Telephone Network (PSTN). The fixed public netwok(s). 52) Radio Common Carrier: A telecommunications common carrier that provides radio communications services but is not engaged in the business of providing landline local exchange telephone service. 53) Radio Telecommunications Services: Communication services provided by the use of radio, including radiotelephone, radiotelegraph, paging, and facsimile service. 54) Radiotelephone Service: Transmission of messages from one place to another by means of radio. 55) Repeater: A fixed transmitter that retransmits the signals of other stations. 56) Roamer: A mobile station receiving service from a station or system other than one to which it is a subscriber. 57) Service Area: The geographic area considered by the Ministry to be reliably served by a station. 58) Service Contour: The locus of points surrounding a transmitter where the predicted median field strength of the signal from that transmitter is the minimum field strength that is considered sufficient to provide reliable service to mobile stations. 59) Service to Subscribers: Service to at least one subscriber that is not affiliated with, controlled by, or related to the providing carrier. 60) Signal Booster: A stationary device that automatically reradiates signals from base transmitters without channel translation, for the purpose of improving the reliability of existing service by increasing the signal strength in dead spots. 61) Station: A station equipped to engage in radio communication or radio transmission of energy. 62) System Availability: The availability of subscriber services measured over a 30 day time period. 63) Telecommunications Common Carrier: An individual, partnership, association, joint-stock company, trust, or corporation engaged in rendering radio telecommunications services to the general public for hire. 64) Unserved Areas: A geographic area that is not within the CGSA of any cellular system authorised to transmit on that channel block. Annex B SUBSCRIBER PACKAGES 1. Bidders should provide the costs of a basic package for business and social users that they will guarantee to offer throughout the period before competition is established. This should include: 2. Social 2.1. 2.2. 2.3. An entry level handset capable of roaming throughout the country Connection, line rental and other recurring and non-recurring costs 200 minutes per month of use at any time on home network to on-network mobile or fixed users throughout Iraq. 3. Business 3.1. As for Social, but: 3.2. 300 minutes per month to on-network mobile or fixed users throughout Iraq 3.3. 100 minutes per month to neighbouring countries 4. 4.1. 4.2. A bidder proposing the use of CDMA technology shall provide two sets of costings Assuming CDMA in all three regions Assuming a mix of GSM and CDMA 5. 5.1. 5.2. A bidder proposing the use of GSM technology shall provide two sets of costings Assuming GSM in all three regions Assuming a mix of GSM and CDMA Annex C SPECTRUM ALLOCATIONS 1. The spectrum offering is for operation in 2 groups of frequency blocks. frequencies will be allocated to each licensee for use within the applicable region. One block of 2. Group 1 includes 3 frequency bands split into 3 regions as follows: Table C-1 Group 1 Frequencies Up Link Up Link Down Link Region Lower (MHz) Upper (MHz) Lower (MHz) South (Block A) 880.1 891.5 925.1 936.5 Central/Baghdad (Block B) 891.5 903.3 936.5 948.3 North (Block C) 903.3 914.9 948.3 959.9 North Contingency (Block D) 1710.2 1721.6 1805.2 1816.6 Down Link Upper (MHz) 3. Block D will be held in reserve and allocated by the Ministry should insufficient spectrum become available within block C. This will be resolved once the spectrum utilisation of existing operators in Dohuk, Erbil and Sulymania is resolved. 4. [deleted] 5. Table C-2 Group 2 Frequencies Up Link Up Link Down Link Region Lower (MHz) Upper (MHz) Lower (MHz) Block E 825.0 835.0 870.0 880.0 Block F 835.0 845.0 880.0 890.0 Down Link Upper (MHz) 6. Due to the pre-existing frequency situation in Iraq which is part of ITU-Region 1, utilisation of Group 2 frequencies places additional constraints on licences as defined in Appendix 1 to this Annex. 7. Deconfliction of frequencies in blocks F and A will be subject to bid submissions and the spectral requirements of licensees as stipulated in bid submissions. Combinations of technologies will be addressed in the licence awards. Furthermore, the Group 2 frequency range will be allocated, depending on the technologies proposed by the winning bidders during the bid selection process. 8. Licence holders may choose to deploy systems and services of their own choice without regard to any predetermined technical specification for the licensed band. Appropriate interference protection criteria are provided below. These are to be implemented at international and regional boundaries. 9. Frequencies at international borders are normally ‘deconflicted’ via coordination through Memoranda of Understandings with neighbouring administrations. Bidders are to recognise that such de-confliction has not at this stage taken place. 10. At borders, standard agreements in compliance with ITU regulations such as the following will be followed. Preferential frequencies or preferential frequency bands shall be agreed between Administrations concerned. Preferential frequencies may be used without co- ordination with a neighbouring country if the field strength of each carrier produced by the base station does not exceed a value of 19 dBμV/m for digital systems and 19 dBμV/m for analogue systems at a height of 3 m above ground at a distance of 15 km inside the neighbouring country or region. When blocks of preferential frequencies are allocated to different countries or regions in border areas one RF channel in each end of the blocks shall be treated as non- preferential frequencies, in order to take account of adjacent channel interference. All other frequencies are subject to co-ordination between Administrations if the interfering field strength produced by the base station exceeds 19 dBμV/m at a height of 3 m above ground at the border between two countries. Appendix 1 To Annex C RULES FOR UTILISATION OF BLOCK E AND F 1. Blocks E and F currently contain a small number of military and civil users. The status of spectrum allocation within Iraq inside block E and F is being determined at this time. The licensee will be expected to perform a complete spectrum survey prior to commencement of operations. This survey is to be made available to the authority. 2. The CPA’s intention is to relocate all military users to alternative spectrum locations. 3. A licensee using Blocks E and F will be expected to operate on a non-interference basis with civil users. However, during the period of a licence issued to a user of these blocks, the CPA would not authorise any new allocation in the relevant band that would cause harmful interference to that user’s system 4. ITU Frequency allocation tables for Region 1 including Iraq do not allocate mobile services to the frequency ranges covered by blocks E and F. Additionally, there are no footnotes listing Iraq that would allow mobile use. As such any licensee choosing to utilise Blocks E and F defined above are to abide by Article 4.4 of the ITU - Radio Regulations. In effect, they would be a secondary user of the spectrum. 4.1. Article 4.4 only allows use on a non-protected non-interference basis. It is the licensee’s responsibility to address the civil interference, potentially requiring the licensee to negotiate with the interference sources to spectrally relocate their operating frequency. 4.2. The bidder or licensee would assume full responsibility for ensuring its system did not interfere with neighboring countries and would have no recourse should its system experience interference from neighboring countries. 4.3. Bidders are to be aware that neighboring countries do have UHF TV assignments. Iran and Jordan indicate that TV channels 65-68 (822-863 MHz) are currently allocated. The status of these allocations is unknown at this time. 5. The bidder may request use of either block E or F. The specific assignment of these blocks as well as blocks A, B, and C is to be determined by the CPA Ministry of Transport and Communcations CPA AMENDMENTS TO THE STATEMENT OF OBJECTIVES FOR IRAQ MOBILE LICENCE OFFER ISSUE 1 Paragraph 3 At end after “let” insert “and will be subject to performance reviews at 2, 6, 12 and 24 months.” Table 1: delete “east” insert “South” Paragraph 5 First line delete “state” substitute “propose” Second line after “bid for.” Insert “These will be subject to agreement with the CPA.” Fourth line after “obligations” insert “(this may happen before or after the 12 month date)” Paragraph 6 delete “and international” delete “and with a wide range of operators in trading partner countries Second line” after “with” insert “the”. After “other” insert “two new regional” Paragraph 7 third line after “second” insert “of the three new” Paragraph 12 delete “in multiple countries” Paragraph 13 delete “5%” insert “10%” line 3 insert between “of” and “five” the phrase “up to” Paragraph 17.1 new paragraph inserted Paragraph 17.2 new paragraph inserted Paragraph 27 paragraph deleted Paragraph 35 fourth line after “buildings” insert “, other assets and security” Paragraph 43 delete “14 August” insert “21 August” Paragraph 45.3 new paragraph inserted Paragraph 46 delete paragraph Insert new paragraphs 46, 46.1, 46.2 and 46.3 Paragraph 47 paragraph deleted New paragraphs 47, 47.1, 47.2 and 47.3 inserted Paragraph 55 second sentence deleted. Annex B SUBSCRIBER PACKAGES Paragraph 2.3 after “at any time” insert “on home network [to] on network” Paragraph 3.2 after “per month to” insert “on network” Annex C SPECTRUM ALLOCATIONS Table C1 Second Column from right: delete “Upper” substitute “Lower” minor adjustments made to the second number down in the second column from the left and to the first, second and third numbers in the right hand column. Paragraph 4 Delete text Paragraph 7 technologies proposed by the winning bidders” last line; delete word “reassessed” substitute “allocated, depending on the Paragraph 10 first line; after “standard agreements” insert “in compliance with ITU regulations” Last line: delete “line” Appendix 1 To Annex C RULES FOR UTILISATION OF BLOCK E AND F 5. 6. 7. Paragraph 3 Insert at end: “However, during the period of a licence issued to a user of these blocks, the CPA would not authorise any new allocation in the relevant band that would cause harmful interference to that user’s system.” Paragraph 4 delete “range 862 MHz to 470 MHz” substitute “ranges covered by blocks E and F” 8. Paragraph 4.1 At end, insert: “It is the bidder’s responsibility to address the civil interference, potentially requiring the bidder to negotiate with the interference sources to spectrally relocate their operating frequency.” 9. Paragraph 4.3 second line: brackets inserted. 10. Paragraph 5 delete text. Substitute “The bidder may request use of either block E or F. The specific assignment of these blocks as well as blocks A, B, and C is to be determined by the CPA.”