Radiocommunications Spectrum Conversion Plan (2302-2400 MHz Band) 2000

AUSTRALIAN COMMUNICATIONS AUTHORITY

Radiocommunications Act 1992

Radiocommunications Spectrum Conversion Plan (2302-2400 MHz Band) 2000

THE AUSTRALIAN COMMUNICATIONS AUTHORITY (‘the ACA’), makes this Conversion Plan under section 38 of the Radiocommunications Act 1992 (‘the Act’).

Dated 3 February 2000

A.J SHAW

Chair

D ROUND

Member

AUSTRALIAN COMMUNICATIONS AUTHORITY

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CONTENTS

Clause

1. Title

2. Commencement

3. Purpose

4. Interpretation

5. Conversion of existing apparatus licences

6. Preparation of draft spectrum licences

7. Core licence conditions

8. Other licence conditions

9. Variation of licence

10. Draft spectrum licences

11. Guidelines

12. Duration of spectrum licences

13. Spectrum access charge

14. Licensee’s representations

15. ACA’s consideration of licensee’s representations

16. Formal offer of spectrum licence

17. Closing date of offer

18. Accepting offer

19. Issue of spectrum licence

20. Registration of licences

21. Trading in licences

22. Licences that are about to expire

23. Re-issue of licences

24. Non-acceptance of offer

Schedules

Schedule 1 Areas covered by Multipoint Distribution Station (MDS) licences to be converted to spectrum licences

Schedule 2 Areas covered by spectrum licences resulting from conversion of Multipoint Distribution Station (MDS) Licences

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Summary of conversion scheme

The 2302-2400 MHz Band has been designated Australia wide, under s.36 of the Radiocommunications Act 1992 (the Act), as being available for allocation by issuing spectrum licences. Holders of existing apparatus licences that authorise the operation of radiocommunications devices in the 2302-2400 MHz Band will be offered the opportunity to convert to spectrum licences. The general scheme for converting these existing licences is set out in ss.52-59 of the Act. The Act (s.38) also requires the ACA to prepare a conversion plan to fill in the details of the conversion process.

A summary of the overall conversion scheme follows:

• after this Conversion Plan has been prepared, the ACA will prepare draft spectrum licences to replace existing apparatus licences (s.53). The replacement licences will, as far as practicable, allow the operation of radiocommunications devices to the same extent as the existing apparatus licences. The draft licences will contain core conditions and conditions relating to other aspects of spectrum use (ss.66-71).
• the ACA will then send the draft licences to the existing licensees (s.54), and ask the licensees for comments on the licences. The licensees will have one month to comment (Cl. 14).
• if a licensee gives comments to the ACA about a draft licence, the ACA must consider them, and may change the draft licence (s.55). While considering the comments, the ACA may discuss them, and any proposed changes to the draft licence, with the licensee (Cl. 15).
• the ACA will then offer the licensees spectrum licences in replacement of the apparatus licences (s.56), and tell the licensees the amounts of the spectrum access charges payable (Cl. 16). A licensee will have one month to accept the offer (Cl. 17).
• if a licensee accepts the offer and agrees to pay the spectrum access charge, the ACA will issue the spectrum licence to the licensee (s.57).
• if a licensee does not accept the ACA’s offer, the ACA may allocate the spectrum licence to someone else and the apparatus licence ceases to be in force (s.58).
• the spectrum licences will come into force on the day specified in the licences, and will be in force for the period set out in the licence (s.65). This period cannot be longer than 15 years. The ACA intends that all spectrum licences issued under this plan band will be in force for 15 years.
• No new apparatus licences will be issued except in special circumstances (s.105).
• The ACA may, with the written agreement of a licensee of a spectrum licence, vary the licence by including one or more further conditions or revoking or varying any conditions of the licence in accordance with section 72 of the Act.

Spectrum licences offered to but not accepted by existing licensees may be allocated by the ACA in accordance with a marketing plan prepared under section 39 of the Act and an allocation determination made under section 60 of the Act.

Title

1. This Plan is called the Radiocommunications Spectrum Conversion Plan (2302-2400 MHz Band) 2000.

Commencement

2. This Plan commences on the day after the later of:

(a) the date on which the Multipoint Distribution System Frequency Band Plan 2000 commences; or

(b) the date on which the Radiocommunications Licence Conditions (Amateur Licence) Amendment Determination 2000 (No. 1) commences.

Purpose

3. This Plan sets out the procedures and timetable for converting existing apparatus licences for radiocommunications transmitters and receivers in the 2302-2400 MHz band to spectrum licences.

Interpretation

4.(1) In this Plan, unless the contrary intention appears:

Act means the Radiocommunications Act 1992.

draft licence means a draft of a spectrum licence prepared by the ACA under section 53 of the Act to replace an existing apparatus licence.

existing apparatus licence means an existing apparatus licence that authorises the operation of radiocommunications devices:

(a) at frequencies within the 2302-2400 MHz band; and

(b) within Australia.

geographic area, in relation to a licence, means the area within which operation of a radiocommunications device is authorised under the licence.

licensee means the holder of an existing apparatus licence.

marketing plan means a marketing plan prepared by the ACA under section 39 of the Act in relation to the notice of designation.

notice of designation means the notice given by the Minister to the ACA under section 36 of the Act dated 14 January 2000 which designated the 2302-2400 MHz band within Australia to be allocated by issuing spectrum licences.

standard trading unit means the parcel of spectrum space characterised by the area
covered by the spectrum licence and a frequency band which is one of those
having upper or lower limits defined by \[2302 + n x 7\] MHz and
\[2302 + (n + 1) x 7\] MHz, where n is any integer from 0 to 13.

[NOTE: The following terms, used in this Plan, are defined in the Radiocommunications Act 1992 and have the meanings given to them by that Act:

(2) In this Plan, the range of numbers that identifies a frequency band includes the higher, but not the lower, number.

Conversion of existing apparatus licences

5. The ACA will convert existing apparatus licences to spectrum licences under this Plan before allocating spectrum licences in accordance with a marketing plan.

Preparation of draft spectrum licences

6. The ACA will prepare draft spectrum licences to replace existing apparatus licences in accordance with section 53 of the Act and invite the licensees to make representations on the draft spectrum licences in accordance with section 54 of the Act.

Core licence conditions

7. Section 66 of the Act requires a spectrum licence to contain core conditions that define the parts of the spectrum that can be used under the licence, in terms of:

   (a) frequency band; and (b) geographic area; and (c) emission limits outside the area; and (d) emission limits outside the band.

These conditions will be included in the draft licence.

Other licence conditions

8. The spectrum licence will also include conditions about:

   (a) payment of charges (section 67 of the Act); and (b) use by third parties (section 68); and (c) registration of transmitters (section 69); and (d) other matters that the ACA may include in the licence (section 71).

These conditions will be included in the draft licence.

Variation of licence

9. The ACA may, with the written agreement of the holder of a spectrum licence, vary the licence by including one or more further conditions or revoking or varying any conditions of the licence in accordance with section 72 of the Act.

Draft spectrum licences

10.(1) Section 53 of the Act requires that a draft spectrum licence prepared to replace an existing apparatus licence must, so far as is practicable, authorise the operation of radiocommunications devices to the same extent as, or to a greater extent than, they are authorised under the existing apparatus licence.

(2) In preparing a draft licence, the ACA will, so far as is practicable, ensure that it authorises the operation of radiocommunications devices generally to the same extent as they are authorised under the existing apparatus licence.

(3) For the conversion of existing apparatus licences that are Multipoint Distribution Station (MDS) licences authorising operation within the areas set out in Schedule 1:

(a) an existing MDS licence relating to an area or location described in an item in Schedule 1 will be replaced by a spectrum licence covering the area set out in the item in Schedule 2 that has the same number as the item in Schedule 1;

(b) where a person holds a number of existing MDS licences covering the same area, with the spectrum covered by these MDS licences being contiguous, a spectrum licence covering this contiguous spectrum will be issued to replace these MDS licences.

(4) For the conversion of other existing apparatus licences:

(a) the ACA will replace each of such apparatus licences by a spectrum licence covering an area to be decided upon in consultation with the holder of the existing apparatus licence;

(b) where a person holds a number of such apparatus licences, each of which is to be replaced by a spectrum licence covering the same area, with the spectrum covered by such apparatus licences being contiguous, a spectrum licence covering this contiguous spectrum will be issued to replace these apparatus licences.

[NOTES:

1. Under the Multipoint Distribution System Band Plan, the 2302-2400 MHz band is divided into 14 channels of 7 MHz each, with an MDS licence authorising the use of one channel.

2. The areas in schedule 1, which are based on census collection districts, are those referred to in determinations made under section 106 of the Act for allocating MDS licences by way of open-outcry auction. The areas in schedule 2 approximate those in schedule 1, except that the perimeters of the former areas are drawn in small steps of latitude and longitude.]

Guidelines

11. Any guidelines made by the ACA under section 262 of the Act about interference with radiocommunications may be taken into account in settling interference disputes under Part 4.3 of the Act.

[NOTES:

1. Paragraph 262(2)(c) of the Act authorises the making of guidelines about interference with radiocommunications.

2. The ACA proposes to develop in the longer term a technical framework for spectrum licences for the 2302-2400 MHz band which would allow greater flexibility to spectrum licensees. In the meantime, the existing technical framework for MDS licences, including guidelines, will be applied to spectrum licences for the band.]

Duration of spectrum licences

12. The period for which spectrum licences issued under this Plan are to remain in force will be 15 years.

[NOTE: Section 65 of the Act provides that the maximum duration of a spectrum licence is 15 years.]

Spectrum access charge

13.(1) Under section 57 of the Act, an apparatus licensee converting to a spectrum licence must agree to pay the spectrum access charge. The ACA may determine spectrum access charges under section 294 of the Act.

(2) The amount of spectrum access charge will, except as otherwise decided, be based on the net present value of MDS licence fees paid over 15 years using the long term bond rate. If the spectrum licence has a shorter period, the amount of spectrum access charge payable will be reduced proportionally.

Licensee’s representations

14.(1) Section 54 of the Act requires the ACA to give a licensee a copy of the draft licence prepared under section 53 of the Act and (in the notice asking the licensee for representations) to give the licensee at least one month to consider and make representations about the draft licence.

(2) In the notice, the ACA will give the licensee one month after the day the notice is given to the licensee in which to make representations to the ACA.

(3) In particular, if the licensee thinks that the draft licence does not authorise the operation of radiocommunications devices to the same extent as the existing apparatus licence, the licensee should tell the ACA this, and give reasons.

ACA’s consideration of licensee’s representations

15.(1) Section 55 of the Act requires the ACA to give due consideration to the licensee’s representations, and allows the ACA to alter the draft licence.

(2) The ACA will consider all representations and, while considering the representations, will discuss any proposed changes to the draft licence with the licensee.

(3) The ACA will tell the licensee whether or not the ACA has changed the draft licence as a result of the licensee’s representations.

Formal offer of spectrum licence

16.(1) Section 56 of the Act requires the ACA to offer a spectrum licence to the licensee as soon as practicable after the closing date for making representations.

The offer will be made by a letter addressed to the licensee, at his or her last known address, and will be sent by certified mail. The ACA is aiming to make offers of spectrum licences to replace MDS licences in accordance with this Plan by early March 2000.

(2) The offer will contain:

(a) details of the spectrum access charge determined under section 294 of the Act; and
(b) the expiry date of the licence.

Closing date of offer

17.(1) Section 56 of the Act requires the ACA to specify the day the offer will close (closing day). This must be at least one month after the date of the offer.

(2) The closing day for the offer will be one month after the day the offer is made to the licensee.

Accepting offer

18.(1) Section 57 of the Act requires a licensee who wants to accept the ACA’s offer to give the ACA a written notice before the closing day. The notice must be in accordance with the Acceptance Form and must be given to the ACA by recorded delivery.

(2) As well as doing this, the licensee must sign and return the agreement to pay the spectrum access charge to the ACA before the closing date.

Issue of spectrum licence

19. The spectrum licence to replace the apparatus licence will be issued under section 57 of the Act. The ACA is aiming to issue spectrum licences to replace MDS licences in accordance with this Plan by 15 April 2000.

    Registration of licences

20. The ACA will register spectrum licences, as required by section 144 of the Act.

    Trading in licences

21. As permitted by Division 5 of Part 3.2 of the Act, a spectrum licensee may assign or otherwise deal with the whole or any part of his or her licence, subject to rules determined by the ACA under section 88 of the Act. These rules will not allow trading other than in whole standard trading units.

    Licences that are about to expire

22.(1) As required by section 78 of the Act, the ACA will publish notices periodically in the Gazette:

(a) stating where information can be obtained about spectrum licences that are due to expire within the next 2 years; and
(b) inviting expressions of interest from people who want to have these licences issued to them.

This information will also be available through area offices of the ACA.

(2) The ACA will also send spectrum licensees regular reminders during the last 2 years of their licences that the licences are due to expire.

Re-issue of licences

23.(1) The ACA may re-issue spectrum licences in accordance with sections 78-84 of the Act.

(2) As a general rule, licences will be re-issued only after the lots they cover are offered for re-allocation by auction, tender, or predetermined or negotiated price. In re-allocating the licences, the ACA will follow the procedures set out in the determinations as in force at the time under section 60 of the Act.

(3) However, as set out in section 82 of the Act, the ACA may re-issue a licence to the previous spectrum licensee without re-allocating the licence if it is in the public interest to do so. Spectrum licensees should not assume that they will be reallocated their existing licence.

Non-acceptance of offer

24.(1) Under section 58 of the Act, if a licensee does not accept the offer, the ACA may allocate the spectrum licence to someone else under the procedures determined under section 60 of the Act and in accordance with a marketing plan. The apparatus licence ceases to be in force on issue of the spectrum licence, and the ACA must refund a proportion of the apparatus licence tax paid by the licensee.

(2) The ACA must refund the tax as soon as practicable after the issue of the spectrum licence.

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SCHEDULES

SCHEDULE 1

Sub-clause 10(3)

Areas covered by Multipoint Distribution Station (MDS) licences to be converted to spectrum licences

SCHEDULE 2

Sub-clause 10(3)

Areas covered by spectrum licences resulting from conversion of Multipoint Distribution Station (MDS) Licences

A geographic area named below is the area bounded by a line starting at the intersection of the first coordinates listed in the table for the area passing sequentially through the intersection of each set of coordinates shown in the table to the point of commencement.

1. ADELAIDE

2. ALICE SPRINGS

3. BRISBANE

4. CAIRNS

5. CANBERRA

6. DARWIN

7. GOLD COAST

8. HOBART

9. MELBOURNE

10. NEWCASTLE

11. PERTH

12. SYDNEY

13. WOLLONGONG

14. SOUTHERN NSW (This does not include the Canberra Area)

15. NORTHERN NSW

16. GOSFORD

17. BROKEN HILL

18. SOUTH EAST QUEENSLAND

19. MACKAY & ROCKHAMPTON

20. TOWNSVILLE

21. SANCTUARY COVE

22. MOUNT ISA

23. PORT DOUGLAS

24. REGIONAL VICTORIA (This does not include the Melbourne Area)

25. REGIONAL TASMANIA (This does not include the Hobart Area)

26. SOUTH-WEST WESTERN AUSTRALIA

27. KALGOORLIE

28. GERALDTON

29. SPENCER GULF (This does not include the Adelaide Area)

30. MT GAMBIER

31. RENMARK & LOXTON

32. ROXBY DOWNS

33. TELFER MINE