Telecommunications Regulatory Commission and Orange Signs the Final Settlement Agreement In the Arbitration Case Concerning the 900MHz Spectrum Licence

Telecommunications Regulatory Commission and Orange Signs the Final Settlement Agreement In the Arbitration Case Concerning the 900MHz Spectrum Licence

31 Oct 2016
​The Hashemite Kingdom of Jordan singed today the settlement agreement of the arbitration case initiated by Orange Company against the government of Jordan and the Telecommunications Regulatory Commission (TRC) on the (900MHz) spectrum license renewal. The agreement was signed between the representative of the Government, the Chairman of the Board of Commissioners Dr. Ghazi Al-Jobor, and Mr. Jérôme Hénique, Orange Jordan CEO. The signature of the agreement was attended by H.E the French ambassador in Amman and a number of officials from both parties, the negotiation committee as well as by representatives from the media and the press. According to the signed agreement terms, the TRC will renew the (900MHz) spectrum license for an additional period of ten years starting from 9 May 2019. The renewed license will be on a technology neutrality basis for the whole duration of its period (15) years and with a total amount of JOD (156.375) Million as a renewal spectrum license returns. The agreement insures that the company shall pay an amount of JOD (104.250) Million in two equal instalments where the first amount JOD (52.125) Million is payable by 8 May 2019 and the second to be payable by 8 May 2024 for the (900MHz) spectrum license renewal for the remaining ten-year period. Therefore, the (900MHz) spectrum license will remain valid for a cumulative period of 15-year starting from 9 May 2014 to, and including, 8 May 2029 provided that the Company paid the aforementioned instalments in full and in timely manner and subject to the terms of renewed license. Furthermore, the settlement agreement involves that the Company shall deploy an additional (100) new mobile radio sites for expanding Orange Jordan radio network coverage in governorates (outside Amman) before the expiry period of its current renewed license (8 May 2019). The new radio sites shall be identified by TRC in response to the complaints presented by citizens on Orange Jordan mobile services. Within this agreement, the Company will be granted gradual exemptions from the payment of annual spectrum returns for a cumulative period of six (6) years, subject to full payment of the two instalments of the renewal returns, and provided that the Company achieve the deployment of new 100 additional radio sites in the Kingdom. Following the signing ceremony, Dr. Al-Jobor stressed on the importance of reaching this final settlement due to its benefits on the Kingdom in terms of the overall national economy in general and on the ICT sector in particular. He also elaborated that this will be achieved through improving the credential position of Jordan, improving the regulatory environment in the telecommunications sector, and strengthening the partnership between the public and private sectors, in addition to attracting investment in the Jordanian telecommunications sector. Dr. Al-Jobor expressed his appreciation to all those who contributed to reach signing of the agreement in order to serve the Jordanian telecommunications sector, thus, reflecting positively on the Jordanian citizen. Michel Monzani, Senior Vice President in charge of the Middle East and North Africa Region for Orange Group expressed Orange’s satisfaction in signing the agreement with the Jordanian government regarding the 2G license dispute. He extended his gratitude to the government represented by TRC Chief Commissioner Ghazi Al-Jobor and stressed that such positive spirit will cater to the wellbeing of the telecommunications sector in the future and enhance the investment environment in Jordan. He elaborated by saying, “This agreement will support investment in the ICT sector and will strengthen the commitment of Orange Group as a long-term strategic partner of Jordan.” Jérôme Hénique, Orange Jordan CEO, praised the agreement and thanked Al-Jobor for the positive atmosphere that led to reaching the settlement. He added, “Reaching this agreement with the TRC is a major achievement for us. We envision people using this case as a key motivator to continue investing in telecommunications in Jordan. From the beginning, we have been dedicated to supporting and advancing the national ICT scene. Following this much awaited agreement, we seek to further expand our network and leverage the quality of our networks and services to assure Orange Jordan’s solid position of being the leading internet provider in Jordan.” End,
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