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Executive summary
- Spectrum rights allocated under the Radiocommunications Act 1989 have a maximum term of 20 years. The first rights created, for UHF television, expire in 2010. Rights for AM and FM sound broadcasting expire in early 2011 and VHF television rights (TV1, TV2, TV3 and C4) in 2015. Expiry dates for mobile telephone services vary, with the first rights expiring in late 2011.
- Cabinet has agreed a policy [POL Min (03) 9/1 refers] for the reallocation of commercial spectrum rights at expiry that provides for offers of replacement rights to be made to existing rightholders five years from expiry, based on a price-setting formula which estimates the market value of the rights. If a rightholder does not wish to pay this price, for the respective rights to be reallocated by way of auction.
- This report seeks agreement to the adoption of a price-setting formula commissioned by the Ministry of Economic Development as a general framework for implementing the policy noted above. It also seeks agreement to the release of a discussion paper as a basis for consultation on implementation of the policy noted above, including application to rights due to expire before 30 April 2011. The report also proposes policies for dealing with non-commercial spectrum rights when they expire.
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Last updated 4 April 2008
