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31|01|08

Freeing up the valuable public spectrum

Government, its agencies and other public organisations including the Ministry of Defence (MoD) will be able to share, trade or release their considerable radio spectrum holdings under new plans announced by Ofcom.

Ofcom expects the arrangements to free up some of the most valuable spectrum for new wireless services for the benefit of citizens and consumers. This will enable the key public users such as the MoD to trade their spectrum holdings and acquire new spectrum in the market.

Public bodies use around half of the radio spectrum below 15 GHz – the most sought after and congested frequencies. An independent study published in 2005 estimated that the spectrum held by the public sector could have a market value of between £3bn and over £20bn.

The news is of particular significance to the MoD which holds about a third of the most sought-after public sector spectrum. The MoD has already committed to sharing and releasing a significant proportion of its spectrum holdings and plans to consult on proposals in May 2008.

Ofcom will enable public spectrum trading by issuing new regulations and aims to consult on them in the summer. The Government will take responsibility to ensure that in trading and releasing public spectrum, defence, national security and public safety remains paramount.

Ed Richards, Chief Executive of Ofcom, said: “Public bodies and the MoD in particular hold some of the most valuable and sought-after radio spectrum. By working with these organisations we are enabling them to trade and release this spectrum which will create new opportunities for the development of wireless services for the whole country.”

The statement can be found at: http://www.ofcom.org.uk/consult/condocs/sfrps/statement/

Ends.

NOTES FOR EDITORS AND CSEs

1. The proposals are part of a broader initiative by the Government and Ofcom to secure the optimal use of radio spectrum through the application of market mechanisms. The Independent Audit of Spectrum Holdings, led by Professor Martin Cave, was published in December 2005 which recommended wide-ranging changes to increase the efficiency with which the public sector manages and uses spectrum. These recommendations were accepted by the Government in March 2006 and are supported by Ofcom. Further details can be found at www.spectrumaudit.org.uk

2. Use of the UK Radio Spectrum and Public Sector Spectrum Holdings

3. Ofcom is the independent regulator and competition authority for the UK communications industries, with responsibilities across television, radio, telecommunications and wireless communications services.

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