Commission opens in-depth investigation into allocation of mobile radio frequencies by Poland to telecoms operator Sferia

The European Commission has opened an in-depth investigation to assess whether the allocation by the Polish authorities of a frequency block for the provision of 4G services to telecommunications operator Sferia S.A (‘Sferia') is in line with EU state aid rules.

The Commission received complaints from a number of competing telecoms operators, alleging that the allocation of mobile radio frequencies to Sferia in 2013 was not in line with EU state aid rules. Under the EU regulatory framework for electronic communications, member states may allocate frequencies from their national spectrum to operators without maximizing their revenues.

Such allocation does not in principle constitute state aid within the meaning of EU rules, provided that the operators concerned are treated equally, in line with the principle of non-discrimination. At this stage and based on the information available, the Commission's preliminary view is that Sferia may have been awarded by the Polish authorities 800 MHz frequencies on more favourable terms than other operators and that, hence, the allocation may have amounted to state aid.

The Commission will also investigate if a possible difference in treatment between Sferia and other operators, should it be confirmed, was justified and whether the allocation in question may have given Sferia an undue economic advantage vis-à-vis its competitors, in breach of EU state aid rules. The opening of an in-depth investigation gives Poland and interested third parties an opportunity to submit comments. It does not prejudge the outcome of the investigation. The full press release is available here.

Share this article: