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Regulatory Impact
Assessment
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1 Title
Wireless Telegraphy (Exemption) Regulations 1999
2 Issue
Exempting a new range of radio equipment from the need for licensing and tidying up 9 existing sets of exemption regulations in a new consolidated statutory instrument.
3 Objective
The new Regulations will allow a new range of radio devices to be used without need for licensing or payment of licence fees under Section 1(1) of the Wireless Telegraphy Act 1949. The characteristics of devices which are suitable for exemption are that they use harmonised frequency bands which allows for free circulation and that they are unlikely to cause radio interference to other users. These Regulations will also replace and update earlier exemption regulations. The new services introduced by the Regulations include a variety of short range devices and terminal equipment used to complement licensed "Common Base Stations" and "Land Mobile Satellite Services" (LMSS). All these services should encourage greater use of the radio spectrum to benefit consumers, to facilitate the use of a new generation of sophisticated mobile telephony terminals and assist free circulation of radio- based equipment within Europe and beyond.
4(i) Identification of the benefits
Assisting the free circulation of new and existing equipment (benefiting UK manufacturers, and UK service providers and retailers), exempting the need for regulatory licensing and fee paying requirements for thousands of UK consumers.
4(ii) Quantifying and valuing the benefits
A consolidation of nine previous exemption regulations and introduces additional categories listed below :
PMR 446 equipment. This will save businesses and users in the Short Range Business
Radio sector, licence fees of around £130k annually (based on SRBR licence fees
received for financial year 1997/98. These are a modern brand of lightweight
"walkie-talkie" sets.
Land Mobile Satellite Service terminals, where reciprocal agreements to assist
in global markets are being developed. These Regulations will encourage an open
market assisting economic benefits for businesses in this sector. These personal
satellite terminals can be used almost anywhere within the UK and will particularly
benefit remote communities where current fixed/mobile telecommunications are
prohibitively difficult or expensive to install.
Subscriber terminals associated with licensed Common Base Stations.
Short ranges devices including new European-wide recommendations for general
purpose radio microphones, road traffic management telemetry devices, wireless
medical and audio equipment, alarms, remote analogue video applications and
equipment for detecting avalanche victims. The licence exemption applies to
many thousands of individual pieces of equipment e.g. electronic car door keys,
personal stereos, garage doors openers, mobile phone handsets, hearing aids.
It would be impossible to effectively licence these devices. The benefits of
exemption to permit them to operate to common standards is unquantifiable, but
considerable (estimated to be in the £10m - £100M range).
Additional frequencies for analogue cordless telephones to ease congestion and
increase consumer choice.
This range of new exempt apparatus should add significant financial benefit to the UK’s economy.
5 Business Sectors Affected
Many sectors of the economy and consumers would benefit by the Regulations including:
Radio equipment manufacturers and suppliers.
The satellite industry.
The telephone industry.
The electronics consumer market.
The retail consumer market
and many others
6 Results of Consultation
The proposals are supported by manufacturers and suppliers of the relevant apparatus covered by these Regulations. They and some of the relevant trade associations have been involved in consultation. Some key beneficiaries e.g. the satellite operators mentioned in the Regulations have also been consulted. The consultation started whilst setting common standards within the Conference of European Posts and Telecommunications Administrations (CEPT) and the European Telecommunications Standards Institute (ETSI). CEPT and ETSI are European-wide organisations (including non-European Union members) which set policy and standards for European radio usage.
7 Summary and Recommendation.
Objective |
Costs |
Benefits |
| To consolidate existing exemption
regulations for relevant apparatus used in Land Mobile Satellite Service, Cordless
Telephony, Network User, Short Range Devices. The Regulations will also extend exemption to PMR 446 equipment, common base stations, additional short range devices, cordless telephones and LMSS terminal equipment. |
No direct costs incurred for businesses or individuals as no licence fee would be payable. In order to make best use of the radio spectrum, there must be strict compliance with the terms of the Regulations. These terms are agreed on a pan-European basis, subject to implementation in other European states. | Removal of regulatory burdens for thousand
of users in the short range devices sector and facilitating a new generation of small
radio devices (worth £ millions). Savings of £130k licence fees per annum in the Short Range Business Radio sector for PMR 446. Facilitating an open global market for Satellite personal communications service terminals and opening up communications to remote communities. Easing congestion and prompting competition in the cordless analogue/digital telephone market. |
The recommendation is to make the Regulations.
Declaration:
I have read the Regulatory Impact Assessment and I am satisfied that the balance between cost and benefit is the right one in the circumstances.
Signed by the responsible Minister
Signed...............................................................
Parliamentary Under Secretary of State for Small Firms, Trade and Industry
Date...................................................................
RIA Prepared by: Christopher Larder, Licensing Policy Unit,
Radiocommunications Agency, Tel: 020 7211 0017, |
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