Context

5. The management of land and real estate is often used as an analogy when describing the framework of radio spectrum management in New Zealand. Where there can be boundary (e.g. fence type and colour) and use disputes (e.g. organic farming versus the use of pesticides on neighbouring property) between land owners, disputes can also arise between managers in the use of management rights. The likelihood of any disputes occurring can be prevented, or at least minimised, through suitable coordination between the managers.

6. The recent Review of Radio Spectrum Policy in New Zealand quoted the 1988 NERA Report 1 and identified that "the advantages of a market system are tempered … by the notion that a spectrum market could involve numerous bilateral transactions."

7. Experience has confirmed that technical coordination, foreseen in the NERA Report, is required in order to effectively manage spectrum which is adjacent in frequency to spectrum managed by another manager. This issue has been highlighted in disputes on at least four occasions in the last 15 years. These disputes have largely been resolved by the parties agreeing to work with each other, including coordination of the rollout of systems.

8. With the increasing deployment of services within private management rights, there is a heightened risk of disputes arising between managers.

9. The Ministry has provided advice and support to rightholders in response to individual disputes and in relation to technical coordination issues on an individual basis. However, the Review of Radio Spectrum Policy in New Zealand indicated that an opportunity existed for the Ministry to take a more pro-active role in coordination issues. Consequently, a workshop on coordination was held last year to provide managers with an opportunity to engage with the Ministry and to work together to manage technical interference and maximise business opportunities.

10. Following presentation of background material and suitable scene-setting, the workshop considered two main questions:

• the challenges to coordination; and
• mechanisms to address coordination issues.

11. Information gathered from the consideration of these two main questions forms the basis for issues outlined in this discussion document.

1 The NERA Report 1988 formed the economic basis for enacting the Radiocommunications Act 1989.