Backbone Telecom Network (“Red Troncal”) Draft Tender Rules

On April 29, 2018, Telecomunicaciones de México (the Mexican federal government’s telecom arm; “TELECOMM“), published, the draft tender rules (the “Draft Tender Rules“) to tender the international public bid for the award of the telecommunications backbone “Red Troncal” project ( the “Project“), to be implemented as a self-financing public-private partnership. [1]

The Project consists in the design, financing, installation, management, maintenance and updating of the backbone network that runs as part of the infrastructure of the Federal Electricity Commission (“CFE“). Pursuant to the Draft Tender Rules, TELECOMM will contribute to the Project:

1. The exclusive right to use 2 (two) strands of fiber optic cable installed in the power transmission and distribution lines of CFE; and
2. Right of access and interconnection necessary for the Project.

The winning bidder will be awarded a telecommunications network concession for a period of 30 (thirty) years, which may be extended for equal terms as established by the Federal Telecommunications and Broadcasting Law and the Public Private Partnership Law.

It is envisioned that the Project will increase the breadth of fiber optic coverage in the country to operators and resellers of telecommunications services and will enable the infrastructure necessary for the provision of new and better broadband services.

At this stage of the Draft Tender Rules and until May 18, 2018 at 18:00 hours, those domestic or foreign interested parties may  register and participate in the initial Q&A and comments process with TELECOMM.

The call for the tender is scheduled to be launched during the last week of May 2018.

Our Firm will be happy to answer any question about this alert.

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