Outline Proposal for Completing Spectrum Pricing

Press release - 1 October 1999

Proposals to extend spectrum pricing into all areas of radio use were published today by the Radiocommunications Agency.

The consultation document 'Spectrum Pricing: Implementing the Third Stage and Beyond' proposes changes to licence fees to reflect the value of radio spectrum being used. This will result in lower fees for the majority of smaller businesses who share channels, although it may mean higher fees for users of exclusive or congested spectrum.

The changes will also assist spectrum management of broadcasting, programme making, some satellite stations and other fixed radio services. The Radiocommunications Agency will publish more detailed consultation papers for each sector.

It is also recognised that spectrum pricing is not appropriate for licensing certain areas, such as aeronautical, maritime, amateur and citizen's band and the testing and development of new services. In such cases, the Radiocommunications Agency proposes a simplification of the current cost pricing regime with some further fee reductions.


Notes to Editors

1. Under the Wireless Telegraphy Act 1998, the Secretary of State for Trade and Industry can apply licence fee charges which reflect the
value of radio spectrum used. This helps to balance spectrum availability with demand. It also helps to promote efficient spectrum
use and management, the economic benefits, the development of innovative services and fair competition.

2. Regulations to implement the first two stages of spectrum pricing, covering mobile radio and fixed links, were laid before Parliament in
July 1998 and July 1999. The proposals in this consultation document are expected to come into effect in July 2000 and July 2001.

3. 'Spectrum Pricing: Implementing the Third Stage and Beyond', as well as previous and supporting papers are published on the
Radiocommunications Agency website: www.radio.gov.uk. The document is also available from:

Radiocommunications Agency Library
Wyndham House
189 Marsh Wall
London
E14 9SX

  Top