ARRANGEMENT. between the Estonian Technical Surveillance Authority and the Electronic Communications Office of the Republic of Latvia

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ARRANGEMENT between the Estonian Technical Surveillance Authority and the Electronic Communications Office of the Republic of Latvia on the use of the frequency band 790-862 MHz for terrestrial systems for Mobile/Fixed Communications Networks (MFCN) in border areas Riga, 4 th September 2012

Preamble According to Article 6 of the ITU Radio Regulations, representatives of the Estonian Technical Surveillance Authority and the Electronic Communications Office of the Republic of Latvia (hereinafter referred to as the Parties) have concluded the present Arrangement on the use of the 790-862 MHz frequency band (800 MHz band) by terrestrial systems for mobile and fixed communication networks (MFCN) capable of providing electronic communication services with the aim of optimizing the use of the frequency band and avoiding mutual interference in border areas on a mutually agreed basis (hereinafter referred to as the Arrangement). The 800 MHz band is currently used for digital terrestrial television broadcasting in accordance with the Regional Agreement Geneva, 2006 (GE06). The Decision No 243/2012/EU of the European Parliament and of the Council of 14 th March 2012 establishing a multiannual radio spectrum policy programme (Article 6, paragraph 4) designated the 800 MHz band for electronic communications services in the European Union following technical conditions for terrestrial systems capable of providing electronic communications services described in Annex of the Commission Decision 2010/267/EU of 6 th May 2010 on harmonised technical conditions of use in the 790-862 MHz frequency band for terrestrial systems capable of providing electronic communications services in the European Union (hereinafter referred to as the European Commission Decision 2010/267/EU). Bearing in mind that the 800 MHz band is currently used for television broadcasting in Latvia and Lithuania, transition from Broadcasting Service to Mobile Service may require certain transition period. Parties agree to apply good will measures with an objective to minimize the possibility of mutual interference between services at the same time imposing less operational limitations to the other Party during transition. Parties will follow the guidance provided in CEPT Report 22 of 1 st July 2008 and CEPT Report 29 of 7 st July 2009 on this issue. Each Party will provide operative information to the other Party about changes of the situation in its respective country (deactivation of TV transmitters in the 800 MHz band, and other). 1. Principles 1.1. This Arrangement is based on the concept of coordination threshold levels for base stations as described in Recommendation ECC/REC(11)04 "Frequency planning and frequency coordination for terrestrial systems for Mobile/Fixed Communication Networks (MFCN) capable of providing electronic communications services in the frequency band 790-862 MHz" (hereinafter referred to as the Recommendation ECC/REC(11)04), on the principle of equitable access to spectrum by Parties. 1.2. The use of the band shall be in accordance with the Commission Decision 2010/267/EU, based on the Block Edge Mask spectrum description, with the Frequency Duplex Division (FDD) arrangement. The use of other frequency band arrangements such as Time Division Duplex (TDD) is not covered in this Arrangement. 1.3. This Arrangement covers coordination of base stations. 1.4. The frequency arrangement contains a guard band of 1 MHz (790-791 MHz) intended for protection of broadcasting service. 1.5. This Arrangement does not include provisions concerning the use of the frequency band 821-832 MHz. 2/5

1.6. The field strength values in this Arrangement are based on a receiving antenna height of 3 m above ground for 10% of time and 50% of locations. 1.7. In context of this Arrangement the term "border" is understood as the international border line between the countries of the Parties. 2. Use of frequencies 2.1. Each Party may use the 791-821 MHz/ 832-862 frequency bands for stations in the FDD mode without coordination with the other Party if the predicted mean field strength produced by the cell (all transmitters within the sector) does not exceed the value of 55 dbpv/m/5mhz at the border and does not exceed the value of 29 db jv/m/5mhz at a distance of 9 km from the border inside the neighbouring country. 2.2. If frequency block size is wider than 5 MHz, correction calculated by equation 10 x iog10 (channel bandwidth / 5 MHz), db, shall be added to the field strength values indicated in items 2.1 3. Procedure 3.1. If the field strength value produced by the cell (all transmitters within the sector) exceeds levels indicated in item 2.1 the frequency assignment shall be coordinated with the other Party. 3.2. The period of coordination shall not exceed 45 days from the date of the receipt of the request and 20 days after the reminder. If no reply is received within 65 days the frequency assignment shall be considered as coordinated. The exchange of coordination information shall take place by e-mail or other electronic means. 3.3. Coordination requests shall be drawn up according to Annex 4 of the Recommendation ECC/REC/(11)04. 3.4. Complaints of harmful interference shall be based on the median value of measurements of field strength, performed at the receiving antenna height of 3 m at least in two different points over a distance of at least 100 m along the border. 3.5. Reports of harmful interference shall be presented in accordance to Appendix 10 and processed according to Article 15 of the ITU Radio Regulations. 3.6. For field strength calculations the Parties shall use the latest version of Recommendation ITU-R P. 1546 "Method for point-to-area predictions for terrestrial services in the frequency range 30 MHz to 3000 MHz". 4. Measures to assure compatibility between MFCN and DVB-T networks during transition period 4.1. In Latvia the 800 MHz band is currently used for digital television in accordance with the GE06 Agreement. Six countrywide DVB-T networks are in operation. 800 MHz band channels are used in ten (10) allotments of existing networks. To allow use of the band for Mobile Service new TV channels below channel 61 for replacement should be coordinated. The coordination results obtained up to now indicate that due to the required protection of analogue TV in the Russian Federation and in the Republic of Belarus full replacement will not be possible before the end of transition period in accordance with the GE06, i.e., 17.06.2015. The Latvian Administration is taking measures to make possible partly replacement before this date with an objective to limit the undesirable impact to mobile service to be introduced in the nearest future in Estonia. 4.2 Estonia recognizes Latvian above mentioned complicated situation with use of the 800 MHz frequency band caused by strong demand of TV channels. 3/5

4.3. Estonia already transferred all DVB-T channels 61-69 to the lower band. The aim of it is to open this band for terrestrial systems capable of providing electronic communications services in the European Union in accordance with the European Commission Decision 2010/267/EU. The interference free operation for MFCN could only be possible in conditions set in Report 29 from CEPT to the European Commission in response to the Mandate on "Technical considerations regarding harmonisation options for the digital dividend in the European Union" "Guideline on cross border coordination issues between mobile services in one country and broadcasting services in another country". The actual situation significantly restricts the development of MFCN networks in Estonia starting from the beginning of 2013. 4.4. Parties agreed measures to be taken to improve compatibility between services: Latvia will take measures to suppress use of TV channel 68 in the allotment Valmiera before end of 2012. By 5 th October 2012 after consultation with the network operator owning transmission licence confirmation in this regard will be sent to the Estonian party. Currently this channel is not operational. Latvia confirms that the actual characteristics of TV stations on channels 66, 67 and 69 will not be increased. The currently used characteristics are: Riga, channel 66, e.r.p.=49 dbw, H eff max= 365 m; Viesite channel 67, e.r.p.=42 dbw, H eff max=190 m; Cesvaine channel 69, e.r.p.=51 dbw, H e ff max = 271 m; Aluksne channel 69, e.r.p.=37 dbw, H e ff_ max =234 m. After analogue switch-off in Lithuania proposed by November 2012, Latvia agrees to consider the possibility to decrease interference caused by use of TV channels 66 and 69 in nearest future and to inform Estonian Party about possible actions in this regard by 15 th November 2012. Estonia agrees to inform operators during the MFCN competition about precise parameters of 66, 67 and 69 TV channels which may impact their frequency usage. In process of improving compatibility between services in both countries Parties will take guidance from CEPT Report 22 and CEPT Report 29. 5. Revision and cancellation 5.1. This Arrangement may be revised at any time on the initiative of any Party with the consent of the other Party. 5.2. This Arrangement may be cancelled by a mutual decision of both Parties on terms and conditions adopted by the Parties or by a decision of one Party notifying other Party on its intention at least six months before. 4/5

6. Entry into force 6.1. This Arrangement comes into force on the date of signing it by both Parties. 6.2. This Arrangement has been drawn in two identical copies, one for Republic of Latvia and one for the Republic of Estonia. Riga, 4 th September 2012 For the Estonian Technical Surveillance Authority For the Electronic Communications Office of the Republic of Latvia Priit Soom Māris Aleksandrovs 5/5