Decree 88/2021/ND-CP on auction of the right to use radio frequencies for frequency bands

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Decree No. 88/2021/ND-CP dated October 01, 2021 of the Government providing the collection of the levy for grant of the right to use radio frequencies, and auction, licensing and transfer of the right to use radio frequencies for frequency bands
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Official number:88/2021/ND-CPSigner:Vu Duc Dam
Type:DecreeExpiry date:
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Issuing date:01/10/2021Effect status:
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Fields:Information - Communications

SUMMARY

Guidance on collection of fees for granting the right to use radio frequencies

The Government promulgates the Decree No. 88/2021/ND-CP on collection of fees for granting the right to use radio frequencies, auction, licensing and transfer of the right to use radio frequencies for frequency bands on October 01, 2021.

According to this Decree, in cases of auction of frequency bands for the development and application of technologies for efficiently using the radio frequency spectrum prioritized and encouraged in line with the Prime Minister’s decision and at the proposal of the Minister of Information and Communications, an enterprise shall pay fees for granting the right to use radio frequencies as follows:

Within a period of 03 months from the date of notification, the enterprise must pay 50% of the fees for granting the right to use radio frequencies in the first installment and submit the guarantee commitment of credit institutions, foreign bank branches established under Vietnamese laws for the unpaid amount.

Within a period of 18 months from the date of notification, the enterprise must pay 25% of the unpaid fees for granting the right to use radio frequencies in the second installment. The enterprise must pay remaining 25% of the fees for granting the right to use radio frequencies in the last installment, within a period of 36 months from the date of notification.

Besides, an enterprise shall be administratively sanctioned as prescribed by law provisions and have its frequency band use licenses revoked if after 02 years from the date of licensing, the enterprise fails to deploy a sufficient number of radio stations to deploy as committed.

This Decree takes effect on the signing date.

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THE GOVERNMENT

 

THE SOCIALIST REPUBLIC OF VIETNAM
Independence - Freedom - Happiness

No. 88/2021/ND-CP

 

Hanoi, October 1, 2021

DECREE

Providing the collection of the levy for grant of the right to use radio frequencies, and auction, licensing and transfer of the right to use radio frequencies for frequency bands[1]

 

Pursuant to the June 19, 2015 Law on Organization of the Government; and the November 22, 2019 Law Amending and Supplementing a Number of Articles of the Law on Organization of the Government and the Law on Organization of Local Administration;

Pursuant to the November 23, 2009 Law on Radio Frequencies;

Pursuant to the November 23, 2009 Law on Telecommunications;

Pursuant to the June 21, 2017 Law on Management and Use of Public Assets;

Pursuant to the November 17, 2016 Law on Property Auction;

At the proposal of the Minister of Information and Communications;

The Government promulgates the Decree providing the collection of the levy for grant of the right to use radio frequencies, and auction, licensing and transfer of the right to use radio frequencies for frequency bands.

 

Chapter I

GENERAL PROVISIONS

Article 1. Scope of regulation

1. Rates and methods of collection of the levy for grant of the right to use radio frequencies for frequency bands that are of high commercial value, subject to use demands exceeding the allocation capacity determined in the radio frequency master plan, and decided by the Prime Minister to be auctioned.

Rates of the levy for grant of the right to use radio frequencies specified in this Decree are applied in case of auction or extension of frequency band use licenses and exclusive of radio frequency use charge and fee for grant of radio frequency use licenses. 

2. The auction, licensing and transfer of the right to use radio frequencies are applicable only to frequency bands that are of high commercial value, subject to use demands exceeding the allocation capacity determined in the radio frequency master plan, and decided by the Prime Minister to be auctioned.

Article 2. Subjects of application

This Decree applies to state agencies, organizations and individuals involved in the determination of rates, collection and remittance of the levy for grant of the right to use radio frequencies, and auction, licensing and transfer of the right to use radio frequencies for frequency bands.

 

Chapter II

RATES AND METHODS OF COLLECTION OF THE LEVY FOR GRANT OF THE RIGHT TO USE RADIO FREQUENCIES

Article 3. Determination of basic levy rates upon the use of information about the levy for grant of the right to use radio frequencies in Vietnam

1. In case Vietnam has determined the levy for grant of the right to use radio frequencies for frequency bands of the same type with those subject to determination of basic levy rates under Clause 2 of this Article for a period of 5 years prior to the effective date of the Minister of Information and Communications’ Decision on determination of basic levy rates, such basic levy rates shall be determined under Clause 3 of this Article.

2. Frequency bands of the same type with those subject to determination of basic levy rates  (below collectively referred to as same-type frequency bands) are frequency bands that are included in the same frequency band master plan as standardized under the Third Generation Partnership Project (of the same operating band code) with those subject to determination of basic levy rates or partially identical to and sharing the duplex transmission method with those subject to determination of basic levy rates.

 

3. A basic levy rate shall be determined according to the following formula:

In which:

MTCSMHz  is basic levy rate per megahertz (MHz) per year (12 months) licensed for use, calculated in Vietnam dong/MHz/year;

n is the number of samples for which the levy for grant of the right to use radio frequencies of the same-type frequency bands has been collected for the period of 5 years prior to the effective date of the Minister of Information and Communications’ Decision on determination of basic levy rates;

MTi is total amount of the levy for grant of the right to use radio frequencies of the same-type frequency band block corresponding to sample No. i (exclusive of charges and fees), calculated in Vietnam dong;

BTi is total bandwidth of the same-type frequency band block corresponding to sample No. i, calculated in MHz;

GPi is validity period of a license for the same-type frequency band block corresponding to sample No. i, calculated in year;

Ci is consumer price index in the field of post and telecommunications at the time closest to the effective date of the Minister of Information and Communications’ Decision on determination of basic levy rates (below referred to as the time of determination of basic levy rates) as compared to that at the time the Ministry of Information and Communications notifies in writing levy amounts payable by enterprises corresponding to sample No. i, calculated in percentage (%). Consumer price indexes in the field of post and telecommunications at a certain time are those announced by the General Statistics Office.

Article 4. Determination of basic levy rates upon the use of information about frequency band auction proceeds in countries and territories

1. In case Vietnam cannot determine the levy for grant of the right to use radio frequencies for same-type frequency bands for the period of 5 years prior to the time of determination of basic levy rates, such basic levy rates shall be determined under Clause 2 of this Article.

2. A basic levy rate shall be determined according to the following formula:

In which:

MTCSMHz  is basic levy rate per MHz per year (12 months) licensed for use, calculated in Vietnam dong/MHz/year;

n is the number of selected samples, with priority given to countries and territories with GDP (nominal) per capita closest to Vietnam’s, with n ≥ 3; for each country or territory, only one sample may be taken;

DSvn is Vietnam’s population announced at the latest time prior to the time of determination of the basic levy rate, calculated in person;

TGvn is official exchange rate of Vietnam dong to US dollar announced at the latest time prior to the time of determination of the basic levy rate;

Ti is total auction proceeds for same-type frequency bands of a country or territory corresponding to sample No. i, calculated in currency unit applied at such country’s or territory’s auctions;

BTi is total bandwidth of same-type frequency bands corresponding to sample No. i, calculated in MHz;

DSi is population of a country or territory corresponding to sample No. i announced at the latest time prior to the time of announcement of auction results, calculated in person;

GPi is validity period of licenses granted for same-type frequency bands corresponding to sample No. i, calculated in year;

CPI_Ti is consumer price index (CPI) of a country or territory corresponding to sample No. i announced at the latest time prior to the time of determination of the basic levy rate;

CPI_Di is consumer price index (CPI) of a country or territory corresponding to sample No. i announced at the latest time prior to the time of announcement of auction results;

GDPVN  is Vietnam’s GDP (nominal) per capita announced at the latest time prior to the time of determination of the basic levy rate, calculated in US dollar;

GDPi is GDP (nominal) per capita of a country or territory corresponding to sample No. i announced at the latest time prior to the time of announcement of auction results, calculated in US dollar;

TGis exchange rate for conversion of a domestic currency of a country or territory corresponding to sample No. i into US dollar announced at the latest time prior to the time of determination of the basic levy rate (TG= 1 in case US dollar is used in the auction).

3. The selection of a country or territory for taking of samples for collation must fully satisfy the following criteria:

a/ The point of time when the country or territory holds an auction for same-type frequency bands falls in the period of 5 years prior to the time of determination of a basic levy rate. This period may be extended to 7 years or 10 years subsequently if there are less than 3 samples for collation;

b/ The licensed frequency band use period for auction winners is at least 10 years;

c/ Auction of the right to use frequency bands is held nationwide without using samples from auctioning countries or territories based on geographical regions.

4. Requirements on data collection

a/ Data on money amounts, bandwidths and licensed frequency band use periods of a country or territory must be taken from sources announced by such country’s or territory’s state management authority;

b/ Data on populations and GDP (nominal) per capita of a country or territory and Vietnam must be taken from the World Bank’s website. In case data of a country or territory cannot be taken from the World Bank, they may be taken from a management authority of such country or territory;

c/ Data on exchange rates between domestic currencies of countries or territories must be taken from x-rates.com website. In case no such data are available on x-rates.com website, they may be taken from websites specialized in exchange rates. Data on the official exchange rate of Vietnam dong to US dollar must be taken from the State Bank of Vietnam’s website;

d/ Data on consumer price indexes (CPI) in countries or territories must be taken from the website of the International Monetary Fund (IMF) and value of CPI for communication. In case no data on CPI for communication are available, the value of CPI for all items may be used. For any country or territory that has no data from the IMF, data may be taken from the management authority of such country or territory.

Article 5. Process of deciding on basic levy rates

1. The Minister of Information and Communications shall issue decisions on determination of basic levy rates; organize the determination of basic levy rates under Articles 3 and 4 of this Decree and based on results obtained from organizations qualified for price appraisal; and send a request together with documents of commentaries about methods of determination of basic levy rates to the Ministry of Finance for opinion.

2. Within 15 days after receiving a written request of the Ministry of Information and Communications, the Ministry of Finance shall give its written opinions on basic levy rates.

3. The Minister of Information and Communications shall decide on basic levy rates after receiving opinions of the Ministry of Finance.

Article 6. Rates of levy for grant of the right to use radio frequencies 

1. A rate of levy for grant of the right to use radio frequencies (below referred to as levy rate) for cases of extension of frequency band use licenses shall be determined according to the following formula:

In which:

MTth is rate of levy for grant of the right to use radio frequencies for the extended validity period of the frequency band use license, calculated in Vietnam dong;

MTCSMHz is basic levy rate of frequency bands with extended use licenses, which is determined and decided under Articles 3, 4 and 5 of this Decree;

BW is bandwidth of frequency bands with extended use licenses, calculated in MHz;

T is extended validity period of the use license, calculated in month.

2. Levy rates for frequency bands granted through the auction of the right to use radio frequencies are auction proceeds.

Article 7. Methods of collection of levy for grant of the right to use radio frequencies

1. The Ministry of Information and Communications shall collect the levy for grant of the right to use radio frequencies and remit it into the state budget.

2. In case of extension of a license, at least 6 months before the license expires, the Ministry of Information and Communications shall notify in writing the payable levy amount for grant of the right to use radio frequencies, and payment time limit and method to the enterprise before the latter carries out procedures for requesting license extension in accordance with the law on radio frequencies. At least 60 days before the validity period of the license expires, the enterprise shall pay in lump sum the whole levy amount for the requested license extension period.

3. In case of auction of the right to use radio frequencies, the Ministry of Information and Communications shall notify in writing the payable levy amount for grant of the right to use radio frequencies, and payment time limit and method to the enterprise for the latter to pay it. Within 4 months from the date of notification, the enterprise shall pay in lump sum the whole levy amount, except the case specified in Clause 4 of this Article.

4. In case of auction of frequency bands for development and application of technologies to efficiently use radio frequency spectra that are prioritized or encouraged under the Prime Minister’s decisions at the proposal of the Minister of Information and Communications, an enterprise shall pay the levy for grant of the right to use radio frequencies under the following regulations:

a/ Within 3 months from the date of notification, the enterprise shall pay for once 50% of the payable levy amount for grant of the right to use radio frequencies and submit a guarantee commitment of a credit institution or foreign bank branch established under Vietnam’s law as security for the unpaid levy amount under Points b and c of this Clause;

b/ Within 18 months from the date of notification, the enterprise shall pay for once 25% of the payable levy amount for grant of the right to use radio frequencies;

c/ Within 36 months from the date of notification, the enterprise shall pay for once the remaining 25% of the payable levy amount for grant of the right to use radio frequencies.

5. Enterprises that fail to pay fully and on time levy amounts for grant of the right to use radio frequencies under Clauses 2 and 3, and Point a, Clause 4, of this Article may not be granted frequency band use licenses. For auction-winning enterprises, the Minister of Information and Communications shall annul decisions approving auction results.

 

Chapter III

AUCTION AND LICENSING OF THE RIGHT TO USE RADIO FREQUENCIES

Article 8. Frequency bands eligible for auction and extension of frequency band use licenses

1. The Minister of Information and Communications shall propose the Prime Minister to consider and issue decisions on auction of the right to use radio frequencies for frequency bands that are of high commercial value and subject to use demands exceeding the allocation capacity determined in the radio frequency master plan, including:

a/ Frequency bands for which use licenses are granted for the first time;

b/ Frequency bands for which use licenses have been granted.

2. For frequency bands specified at Point b, Clause 1 of this Article, their use licenses may be granted through auction only when their previous use licenses (including extended periods, if any) expire under Clause 1, Article 22 of the Law on Radio Frequencies.

3. For frequency bands specified at Point b, Clause 1 of this Article, their use licenses may be considered for extension after enterprises pay fully and on time levy amounts for grant of the right to use radio frequencies. Levy rates shall be determined under Clause 1, Article 6 of this Decree. Levy collection methods must comply with Clause 2, Article 7 of this Decree.

Article 9. Holding of auctions   

1. Auctions shall be held in accordance with the law on property auction and this Decree.

2. The Minister of Information and Communications shall approve tentative auction plans and hold auctions. A tentative auction plan must have the following contents:

a/ Conditions for participation in the auction;

b/ Information about frequency bands and frequency band blocks to be auctioned;

c/ Reserve prices, bid increments, and escrows;

d/ Auction holding forms and methods;

dd/ Handling of auction circumstances (if any);

e/ Other relevant contents.

A tentative auction plan shall be publicized on the website of the Ministry of Information and Communications within 5 working days after it is approved.

3. In case an enterprise wins more than one auctioned frequency band block, it may be granted licenses for sequential frequency band blocks under the auction rules.

4. Handling of auction circumstances where only one enterprise registers for participation in the auction, only one enterprise participates in the auction or only one enterprise offers bids

a/ In case of re-auction for a frequency band block following an unsuccessful auction, if, upon the expiration of the time limit for auction participation registration, there is only one enterprise registering for participation in the auction or only one enterprise participating in the auction among those having registered for participation in the auction or only one enterprise offering bids among those participating in the auction or only one enterprise offering the highest bid which is at least equal to the reserve price among those offering bids, such frequency bank block shall be sold to such enterprise. The sale of the frequency bank block to the enterprise under this Clause must be stated in the tentative auction plan approved by the Minister of Information and Communications;

b/ Property auction in the case specified at Point a of this Clause may only be held after the order and procedures for property auction are fully carried out in accordance with the Law on Property Auction and guiding documents, and this Decree, and provided that there is no complaint related to such order and procedures by the date of auction;

c/ Within 3 working days from the date of auction completion under Point a of this Clause, the property auction organization or property auction council shall send to the Ministry of Information and Communications a report on auction process and minutes. In this case, in addition to contents specified by the auction law, the auction minutes must show that during the auction process, there is only one enterprise registering for participation in the auction or only one enterprise participating in the auction among those having registered for participation in the auction or only one enterprise offering bids among those participating in the auction or only one enterprise offering the highest bid which is at least equal to the reserve price;

d/ The approval and announcement of auction results must comply with Article 15 of this Decree.

Article 10. Reserve prices       

1. The reserve price of a frequency band block shall be determined according to the following formula:

GKD = MTCSMHz x BW x T

In which:

GKD is reserve price, calculated in Vietnam dong;

MTCSMHz is basic levy rate determined and decided under Articles 3, 4 and 5 of this Decree;

BW is bandwidth of the frequency band block for which reserve price needs to be determined, calculated in MHz. In case it is necessary to determine a reserve price for one MHz, BW = 1 MHz.

T is licensed frequency band use period, calculated in month.

2. In case of re-auction of a frequency band block following an unsuccessful auction and the previous winning bid for the same-type frequency band block is available, the reserve price shall be determined according to the following formula:

GKD = BW x T x GTCN

In which:

GKD is reserve price, calculated in Vietnam dong;

BW is bandwidth of the frequency band block for which reserve price needs to be determined, calculated in MHz. In case it is necessary to determine a reserve price for one MHz, BW = 1 MHz;

T is the licensed frequency band use period, calculated in year;

GTCN is the previous highest winning bid for same-type frequency band blocks per MHz per year of use, calculated in Vietnam dong/MHz/year.

Article 11. Conditions for auction participation

1. To participate in an auction, an enterprise must satisfy the following conditions and requirements:

a/ Conditions for being considered for grant of a telecommunications network establishment license;

b/ Requirements of the auction.

2. Conditions for being considered for grant of a telecommunications network establishment license include:

a/ Conditions for being considered for grant of a license to establish a public telecommunications network using frequency bands granted through auction in accordance with the law on telecommunications;

b/ Compliance with provisions of the law on telecommunications regarding ownership in telecommunications service provision, and forms, conditions and portions of capital contribution by foreign investors.

3. Requirements of an auction include:

a/ Fulfillment of previous financial obligations toward the State regarding telecommunications and radio frequencies (if any);

b/ Requirements on organization of the telecommunications network, including one or several of the following requirements:

Number of radio transmitter stations that must be installed within 2 years from the date of grant of the license until the expiration of the license;

Time of official service provision;

Requirements on service coverage upon the development of the telecommunications network (to be satisfied on an annual basis until the expiration of the license to establish the public telecommunications network, for a certain population density or administrative units down to the commune level);

Minimum requirements on quality of telecommunications services;

Commitments on land mobile service roaming between telecommunications networks in deep-lying, remote and poor communes, regions provided with public-utility telecommunications services, and provinces and cities based on criteria issued by the Minister of Information and Communications.

4. The Minister of Information and Communications shall specifically determine requirements on organization of telecommunications networks for each auction.

Article 12. Appraisal of satisfaction of conditions for auction participation

1. Within 55 days after the Ministry of Information and Communications publicly notifies a tentative auction plan, an enterprise shall send 1 dossier of request for consideration and approval of its eligibility for auction participation to the Ministry of Information and Communications (the Vietnam Telecommunications Authority) by hand-delivery, by post or online via the National Public Service Portal.

In case the enterprise fails to submit such dossier within the above time limit, the Ministry of Information and Communications (the Vietnam Telecommunications Authority) shall notify in writing its refusal to receive and process the dossier.

2. For enterprises already granted telecommunications service provision licenses, such a dossier must comprise:

a/ A dossier of request for modification or supplementation of the license to establish a public telecommunications network or license to provide telecommunications services using frequency bands due to a change in the demand for licensed telecommunications resources use must comprise:

A written request for modification or supplementation of the telecommunications service provision license, made in accordance with the law on telecommunications;

A report on actual implementation of the license from the date of grant to the date of submission of the dossier in accordance with the law on telecommunications;

Modified or supplemented business plan and technical plan as appropriate to changed telecommunications resources in accordance with the law on telecommunications.

b/ A written commitment on organization of the telecommunications network after winning the auction under Point b, Clause 3, Article 11 of this Decree.

3. For enterprises other than those specified in Clause 2 of this Article, such a dossier must comprise:

a/ An application for a license to establish a public telecommunications network or license to provide telecommunications services using frequency bands, made in accordance with the law on telecommunications;

b/ A written commitment on organization of the telecommunications network after winning the auction under Point b, Clause 3, Article 11 of this Decree.

4. Business plans and technical plans in dossiers shall be worked out by enterprises based on reserve prices of auctioned frequency band blocks in conformity with essential economic and technical conditions of such enterprises and requirements on organization of telecommunications networks and committed investment amounts as specified by the law on telecommunications to secure their feasibility.

5. The consideration for grant of certificates of eligibility for auction participation shall be carried out simultaneously with the consideration for grant of telecommunications service provision licenses according to Clauses 2 and 3, Article 11 of this Decree and licensing conditions related to dossiers of application for telecommunications service provision licenses of enterprises.

6. After winning auctions for frequency bands, enterprises specified in Clause 2 of this Article may be granted modified or supplemented licenses that are valid in accordance with the law on telecommunications. Enterprises may be granted new telecommunications service provision licenses after their current licenses expire under regulations on establishment of public telecommunications networks or provision of telecommunications services corresponding to frequency band blocks with auction winners, ensuring legality of the provision of telecommunications services using frequency band blocks with auction winners and fulfillment of commitments to organize telecommunications networks after winning the auction. Procedures for grant of new telecommunications service provision licenses shall be carried out in accordance with the law on telecommunications with dossiers of application for new telecommunications service provision licenses enclosed with documents approving frequency auction-winning results.

7. Time limit and procedures for dossier processing

a/ Within 1 day after receiving an enterprise’s dossier, the Ministry of Information and Communications (the Vietnam Telecommunications Authority) shall notify in writing the enterprise of the invalidity of its dossier. Within 4 days after being notified, the enterprise shall complete and submit a valid dossier under regulations;

b/ Within 15 days after receiving a valid dossier, the Ministry of Information and Communications shall consider granting to the enterprise a certificate of eligibility for auction participation, made according to the form provided in the Appendix to this Decree;

c/ In case the dossier fails to satisfy the conditions specified in Clauses 2 and 3, Article 11 of this Decree, the Ministry of Information and Communications shall notify in writing its refusal to grant a certificate, clearly stating the reason.

Article 13. Auction participation dossiers

An auction participation dossier must have the following principal contents:

1. An application for registration of auction participation.

2. Number or width of frequency band blocks registered for purchase.

3. The original or a certified copy or a copy enclosed with the original for collation of the certificate of eligibility for auction participation.

Article 14. Settlement of escrow amounts

Enterprises that fail to fulfill the obligation to pay the levy for grant of the right to use radio frequencies under Clause 3 and Point a, Clause 4, Article 7 of this Decree may not have their escrow amounts refunded. Such escrow amounts shall be remitted into the state budget.

Article 15. Approval and announcement of auction results

1. Within 15 days after receiving an auction minutes, the Minister of Information and Communications shall issue a decision approving auction results and publicize it on the website of the Ministry of Information and Communications.

2. A decision approving auction results must include information on the auction-winning enterprise, frequency band block with auction winner, licensed use period, and auction proceeds, and information for requesting the enterprise to pay fully and on time the levy for grant of the right to use radio frequencies in order to be granted a frequency band use license or telecommunications service provision license.

Article 16. Frequency band use licenses and telecommunications service provision licenses

1. Within 3 working days after an enterprise pays the levy for grant of the right to use radio frequencies under Clause 3 and Point a, Clause 4, Article 7 of this Decree and the amount as security for implementation of its telecommunications service provision license in accordance with law, the enterprise may be granted a frequency band use license or telecommunications service provision license.

2. The responsibility of enterprises to fulfill their commitments to organize public telecommunications networks is specified in their telecommunications service provision licenses or frequency band use licenses.

Article 17. Revocation of frequency band use licenses and handling of commitment breaches

1. Enterprises will have their frequency band use licenses revoked in cases specified in the Law on Radio Frequencies.

2. Enterprises that breach their commitments to organize public telecommunications networks stated in their telecommunications service provision licenses or frequency band use licenses shall, in addition to being sanctioned for administrative violations in accordance with law, have their frequency band use licenses revoked if they fail to install the number of radio transmitter stations as committed within 2 years from the date of grant of such licenses.

Chapter IV

TRANSFER OF THE RIGHT TO USE RADIO FREQUENCIES

Article 18. Transfer conditions

1. Enterprises that are granted frequency band use licenses through auction, including also those specified in Clause 4, Article 9 of this Decree, may transfer the right to use radio frequencies after 5 years from the date of grant of such licenses.

Enterprises may only transfer the right to use radio frequencies after discharging their responsibilities specified in Article 20 of this Decree.

2. A transferee of the right to use radio frequencies must fully satisfy the following conditions:

a/ Being an enterprise fully meeting the conditions specified in Clause 2, Article 11 of this Decree;

b/ Complying with regulations on the maximum number of frequency spectra that an enterprise may use.

3. The transfer of the right to use radio frequencies must cover all the following:

a/ Frequency band blocks with auction winners;

b/ Rights and responsibilities to implement telecommunications service provision licenses;

c/ Responsibility to fulfill commitments to make investment to establish telecommunications networks under regulations;

d/ Responsibility and obligation to secure the exercise of lawful rights and interests of related service users.

Article 19. Transfer procedures  

1. An enterprise requesting for acquisition of the right to use radio frequencies shall send 1 dossier of request for transfer, made according to the form issued by the Ministry of Information and Communications, to the Ministry of Information and Communications (the Vietnam Telecommunications Authority) by hand-delivery, by post or via the National Public Service Portal.

2. For enterprises that possess licenses to provide telecommunications services using frequency bands and request for acquisition of the right to use radio frequencies, a dossier of request for transfer must comprise:

a/ A written request for transfer bearing the seal and signature of the at-law representative of the transfer-requesting enterprise;

b/ A written agreement between the transfer-requesting enterprise and the acquisition-requesting enterprise on guarantee of lawful rights and interests of organizations and individuals affected by the transfer;

c/ Documents of the acquisition-requesting enterprise proving its compliance with regulations on the maximum number of frequency spectra that an enterprise may use after additionally acquiring frequency bands;

d/ A report of the transfer-requesting enterprise on implementation of its telecommunications service provision license and fulfillment of its commitment to organize a telecommunications network after winning the auction;

dd/ A written request of the acquisition-requesting enterprise for modification or supplementation of its license to provide telecommunications services using frequency bands;

e/ A written request of the transfer-requesting enterprise for modification or supplementation of its telecommunications service provision license or a written request for revocation of such license;

g/ A commitment of the acquisition-requesting enterprise to comply with the provisions of Points b, c and d, Clause 3, Article 18 of this Decree.

3. For acquisition-requesting enterprises other than those specified in Clause 2 of this Article, a dossier of request for transfer must comprise:

a/ A written request for transfer bearing the seal and signature of the at-law representative of the transfer-requesting enterprise;

b/ A written agreement between the transfer-requesting enterprise and the acquisition-requesting enterprise on guarantee of lawful rights and interests of organizations and individuals affected by the transfer;

c/ A dossier of application for a license to provide telecommunications services using frequency bands, made by the acquisition-requesting enterprise;

d/ A report of the transfer-requesting enterprise on implementation of its telecommunications service provision license and fulfillment of its commitment to organize a telecommunications network after winning the auction;

dd/ A written request of the transfer-requesting enterprise for modification or supplementation of its telecommunications service provision license or a written request for revocation of such license;

e/ A commitment of the acquisition-requesting enterprise to comply with the provisions of Points b, c and d, Clause 3, Article 18 of this Decree.

4. Time limit and procedures for dossier processing:

a/ Within 5 days after receiving an enterprise’s dossier, the Ministry of Information and Communications (the Vietnam Telecommunications Authority) shall notify in writing the enterprise of the invalidity of its dossier;

b/ Within 45 days after receiving a valid dossier, the Ministry of Information and Communications shall consider deciding to permit the transfer of the right to use radio frequencies;

c/ In case of refusal to permit the transfer, the Ministry of Information and Communications shall notify in writing such refusal, clearly stating the reason.

5. Enterprises permitted to transfer the right to use radio frequencies may be granted modified or supplemented telecommunications service provision licenses or have their telecommunications service provision licenses revoked; enterprises acquiring the right to use radio frequencies may be granted new or modified or supplemented telecommunications service provision licenses in accordance with the law on telecommunications.

The grant of frequency band use licenses to enterprises acquiring the right to use radio frequencies must comply with the law on radio frequencies.

6. Telecommunications service provision licenses and transferred frequency band use licenses granted to enterprises acquiring the right to use radio frequencies are valid until the expiry dates of telecommunications service provision licenses and frequency band use licenses previously granted to transfer-requesting enterprises.

Article 20. Responsibilities of transfer-requesting enterprises

Enterprises that request for transfer of the right to use radio frequencies have the following responsibilities:

1. To guarantee lawful rights and interests of organizations and individuals affected by the transfer.

2. To perform financial obligations related to the transfer in accordance with law.

3. To fulfill financial obligations to pay the levy for grant of the right to use radio frequencies, fee for grant of radio frequency use licenses, and charge for radio frequency use.

Article 21. Responsibilities of acquisition-requesting enterprises

Enterprises requesting for acquisition of the right to use radio frequencies have the following responsibilities:

1. To exercise transferred rights and perform transferred responsibilities and refrain from further transferring the transferred right to use radio frequencies to other enterprises.

2. To perform financial obligations related to the transfer in accordance with law.

3. To comply with the laws on telecommunications and radio frequencies.

4. To pay fully and on time fees and charges for grant of licenses in accordance with the laws on telecommunications and radio frequencies.

 

Chapter V

IMPLEMENTATION PROVISIONS

Article 22. Effect

1. This Decree takes effect on the date of its signing.

2. The Prime Minister’s Decision No. 16/2012/QD-TTg of March 8, 2012, providing the auction and transfer of the right to use radio frequencies, ceases to be effective on the effective date of this Decree.

3. Ministers, heads of ministerial-level agencies, heads of government-attached agencies, and chairpersons of provincial-level People’s Committees shall implement this Decree.-

On behalf of the Government
For the Prime Minister
Deputy Prime Minister
VU DUC DAM


[1] Công Báo Nos 847-848 (10/10/2021)

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Official Gazette
Decree 88/2021/NĐ-CP DOC (Word)

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Decree 88/2021/NĐ-CP DOC (Word)

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