According to a report by SeeNews, Kosovo's telecommunications regulator said on Thursday it would offer Slovenian mobile operator Mobitel and its local partner Mobikos a deal to build a second GSM network in the U.N.-governed southern Serbian province.

The Telecommunication Regulatory Authority (ART) intended to sign the concession contract early in September but Kosovo's telecommunications ministry and the United Nations Mission in Kosovo (UNMIK) asked the ART to postpone the signing to resolve controversies associated with the deal.

ART chose Mobitel and Mobikos as the winner of the tender to build the second GSM network in the region, but later the U.N. advised the cancellation of the tender based on the findings of a team of experts hired to review the tender. The team established inconsistencies after diplomats voiced concerns about the fairness of the process.

Subsequently, Kosovo's Transport and Telecommunications Minister Zef Morina announced he had cancelled the tender based on the experts’ report. This decision was backed by UNMIK. However, ART rejected the minister's and UNMIK's demands to rerun the tender saying it saw no grounds in Morina's decision.

"We picked the winner and now we have to sign the contract and to put a full stop on this story," said ART Chairman Anton Berisha.

Mobitel and Mobikos won the tender in competition with Swedish operator Tele2, local company IPKO – which bid with U.S. provider Western Wireless International – local AlbaCell in consortium with Norwegian company Telenor and Kostel, and a local consortium that bid with French mobile company Orange.

Kosovo already has a mobile phone network that covers most of its territory. It is run by Monaco Telecom under an arrangement with Kosovo's telecommunications service provider Post and Telecom Enterprise of Kosovo (PTK).

Intelecon Research & Consultancy Ltd. 16/09/2004