After satellite auction flop, Telebras could move on without private partner
Brazilian state-run telco Telebras is considering abandoning the idea of awarding part of the capacity of Brazil's SGDC geostationary satellite for defense and communications and retaining the entire project for itself.
This was one of the suggestions raised by Telebras president Maximiliano Martinhão (pictured), who took part in a ceremony in Brasília Thursday to mark the 45th anniversary of the state-controlled, mixed capital telco.
After three postponements, no formal bidders showed up for an auction on October 31 to sell to private companies 57% of the capacity of the SGDC satellite, which was launched in May
Among other attributions, Telebras is responsible for supporting the federal government's broadband policies and one of the main projects in this regard is the SGDC.
"The absence of participants in the recent auction happened not because the project was not good, but because of various circumstances related to what the country is going through," said Martinhão, according to a release from the science, technology, innovations and communications ministry (MCTIC), to which Telebras is linked.
Companies and experts, however, blamed the lack of interest on uncertainties surrounding the obligations that private companies would have in the public broadband policies linked to the satellite, as well as the requirement to pay licenses in advance and doubts about the renewal of these permits.
In addition to the possibility of Telebras taking over the project without a private partner, other options being considered for the satellite include relaunching the whole auction with restructured terms and conditions.
Telebras could also opt "to contract someone directly," said Martinhão.
The company is expected to choose one of the options by the end of this month.
Martinhão recalled that after the launch of the satellite, the project continues with the construction of antennas in Florianópolis, Salvador and Campo Grande, in addition to the implementation of space operations centers in Brasilia and Rio de Janeiro.
The total price of the SGDC project, which involves earth stations, staff and related equipment, is 2.8bn reais (US$860mn).
Launched in May aboard a rocket owned by French firm Arianespace, the SGDC has been in operation since mid-June and has an estimated lifespan of 18 years.
BNamericas recently issued an Operator Series feature on the telco, which you can read here.
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