Release date: 14 June 2010
Promoter – Financial Intermediary
The promoter, Magyar Telekom Nyrt. (MT), is Hungary's principal provider of telecom services. It provides a full range of telecommunications and infocommunications (ICT) services including fixed line and mobile telephony, data transmission and non-voice as well as IT and systems integration services.
Location
Description
The project consists of the development of the promoter’s mobile (3G and LTE) and fixed line (copper, cable, Next Generation Access) telecom infrastructure in Hungary. The project will support the roll-out of the LTE network in Hungary, and fixed broadband will enable very high speed (up to 100 Mbit/s) services for over 1 million Hungarian households.
Objectives
This project will assist in providing Hungary with wider availability of competitive mobile and fixed broadband access networks. The project results in the first deployment of LTE and expansion of 3G mobile networks increasing the geographical coverage of mobile broadband in Hungary, therefore having an effect of bridging the current digital divide in the country.
The project supports the Digital Agenda for Europe flagship initiative of the EU2020 Strategy through further development of modern mobile and fixed line infrastructures, the key platforms for the provision of advanced broadband services.
Sector(s)
Proposed EIB finance (Approximate amount)
EUR 150 million.
Total cost (Approximate amount)
Project cost level complies with EIB rule of financing up to 50% of the project cost.
Environmental aspects
The project does not fall under Annex I or II of EIA directive 85/337/EEC, amended by directives 97/11/EC and 2003/35/EC. Generally mobile networks based on GSM/UMTS technology have limited environmental effects. The visual impact of base station towers or other impacts can be mitigated by appropriate construction and operation measures. Potential health risks from electromagnetic radiation are still under study at an international level, and the ICNIRP thresholds have been considered appropriate in the EU legislation. The promoter’s approach to visual and health impacts and its legal compliance will be assessed during appraisal, including the possible impacts on protected flora and fauna (Habitats 92/43/EC and Birds 79/409/EC).
Procurement
According to utility directive 2004/17/EC the telecommunications sector is exempt from public procurement procedures due to its competitive nature. The procurement processes of the promoter are regulated in details also at levels of Policies and Procedures. The effectiveness of the procedures applied will be assessed during appraisal.
Status
Signed - 26/11/2010
Disclaimer
Before financing approval by the Board of Directors, and before loan signature, projects are under appraisal and negotiation. The information and data provided on this page are therefore indicative.
They are provided for transparency purposes only and cannot be considered to represent official EIB policy (see also the Explanatory notes).