Chapter II Operation Concession
Section 3 Competitive Bidding
Subparagraph 3 Location-based Bidding
The nominated frequency location of each frequency segment shall bedecided in accordance with Article 33-3; where the decision cannot be made, methods as prescribed in Article 33-4 shall then be adopted.
The winning bidders of the quantity auction may negotiate the awarded frequenciesof each frequency band among themselves from the ending date of the quantity auction until the start of the location-basedauction; the frequenciesnegotiated shall not be subject to the principles of Subparagraph 1, Paragraph 5 of the preceding article.
The location-basedauction shall commencein the morning on the announcement date specified in Paragraph 4 of Article 33.
Nominated quantity bidders shall submit a letter of intent in regard to the frequency location when the location bid proceeds.
Upon the submission, the letterof intent for frequency location must not be withdrawn or amended.
The nominated quantity bidder may designate a maximum of three people as its authorized agents to participate in the location bid. The said agent(s) shall present the letter of authorization.
The competent authority shall decide the nominated frequency location of nominated quantity bidder of each frequency segment according to the following order:
1.When all winning bidders of the quantity auction have submitted letters of intent for the frequencies, all of the frequenciesdo not includethe frequenciesthathave no winning bidders in the announced combination options specified in Subparagraph 3, Paragraph 4 of Article 33, and there is no overlapping, the awarded frequenciesshall be determined based on the letters of intent for the frequencies.
2.If according to the announcement specified in Subparagraph 3, Paragraph 4 of Article 33, there is only one combination option, the awarded frequency locationsshall bedetermined according to the said combination.
The nominated quantity bidder in any of the following circumstances shall be deemed as failing to submit a letter of intent for frequency location:
1.Failing to participate in the location bid in accordance with provisions of the preceding Article.
2.The letter of intent for frequency location is not signed or sealed by the company or person-in-charge.
3.The intent cannot be recognized in the foresaid letter of intent or more than two intents are recognized.
4.The intended frequency location does not comply with the frequency bandwidth of the item of nominated quantity bid.
Where the nominated frequency location for each frequency segment cannot be decided as in the preceding Article, the competent authority shall hold a one-round quotation session in the afternoon on the day of holding the location bid.
The winning bid for possible frequencies in one round shall be awarded in accordance with the combination options specified in Subparagraph 3, Paragraph 4 of Article 33.
The foresaid bidding price shall be based on units of 1 million New Taiwan Dollars and shall be determined in one round.
The bid must not be withdrawn or amended.
The nominated frequency location shall be determined according to the highest bid by nominated quantity bidders for the frequency location selected from the permutation array as described in Paragraph 2.
Where a nominated quantity bidder placed the highest bid for the frequency location has more than two permutation arrays, the competent authority shall decide the permutation array by drawing lots.
The nominated quantity bidder falling under any of the following circumstances shall be deemed as having submitted a bid of zero New Taiwan Dollar for that frequency location.
1.The bid is not made in the quotation format announced by the competent authority, or the quotation is not submitted.
2.The bid is not signed or sealed by the company or person-in-charge.
3.The bid is not submitted for the frequency location selected from its permutation array.
4.The bid is not submitted for that frequency location or more than two prices have been offered.
5.The bidding price is a negative value or cannot be recognized.
The bid submitted by nominated quantity bidder in regard to the nominated frequency location decided in accordance with Paragraph 5 or 6 shall be its nominated bid price for the location bid.
The bidding operations shall be closed after the competent authority decides the frequency location for each nominated bidder's bidding item. The competent authority shall then announce the list of nominated bidders, nominated bidding item and nominated bid price.
The winning bid in the preceding paragraph shall bethe sum of the total winning price announced in accordance with Subparagraph 1, Paragraph 4 of Article 33, and the winning bid of the location-basedauction in the preceding article.
After the auction operation hasconcluded, the competent authority shallpublicly announcethe bidding information ofeach round of the quantity auction and the location-basedauction.
The tender bond of a bidder falling under any of the following circumstances shall be returned:
1. Where the bidder has participated in the bidding but not been awarded with thebid; the competent authority shall return the tender bond to it without interest within seven days after the list of nominated bidders is announced.
2. Where the bidder has been nominated and paid the nominated bid or the first installment as regulated; the competent authority shall return the tender bond to it without interest. However, the tender bond may be converted into a part of the first installment without interest.
The tender bond of a bidder falling under any of the following circumstances shallbe returned; if the tender bond has been returned, repayment shall be requested:
1. The nominated bid has not been paid in full preceding the nomination, or the first installment, remaining amount and interest of nominated bid price has not been paid.
2. The bidder failed to quote in the first round of quantity bid, or submitted an invalid bid.
3. The bidder has been disqualified by the competent authority in accordance with Paragraph 1 or 2 of Article 21-2.
In the event where an application case should be given the following ruling, the ruling recipient will not be given an opportunity to impart opinion:
1.The review fee and the interest have been withheld per stipulated under Paragraph 4 of Article 10.
2.The application has been rejected per Article 13 or Article 27.
3.The application has been rejected, and the review fee or the tender bond has been also withheld per Article 14.
4.A bidder whose right to participate in the competitive bidding or bid award qualification has been revoked or abolished per Article 15.
5.A bidder's review fee or tender bond has been forfeited from reimbursement per Paragraph 2 or 3 of Article 16.
6.A bidder has lost the qualification to continue submitting bids, competitive bidding qualification, or failing to secure the bid per Section 3 of the competitive bidding work stipulations.
7.A bidder's tender bond has been forfeited form reimbursement per Paragraph 2 of the preceding Article.