Govt releases spectrum consultation document

Communications and Information Technology Minister Amy Adams has today released a consultation document for the upcoming auction of the 700 MHz band of radio spectrum.

The 700 MHz band is the spectrum freed up by the switchover to digital television.  It can be used in the building of fourth generation (4G) mobile networks, capable of speeds up to ten times faster than today’s networks.

The document released today is likely to be of most interest to potential bidders for the 700 MHz spectrum, as it provides the technical details about the auction design.

The consultation to be under taken by the Ministry of Business Innovation and Employment will cover government decisions to date, including the technical band plan, acquisition limits, and an implementation requirement.  

The consultation will also focus on the auction rules, management rights and how best to achieve the Government’s objective of increasing cell phone coverage in rural areas.

Industry is also being consulted on a potential scheme that would spread payment for the spectrum over time, rather than having a one-off, lump-sum payment as has been the practice in the past.

The auction reserve price will be announced closer to the auction. The price does not form part of the current consultation.

The possibilities offered by the reallocation of the 700 MHz band of the radio spectrum are enormous, Ms Adams says.

“By using this spectrum, it will ensure New Zealand remains competitive on the world stage and continues to improve its productivity, prosperity and economic growth.”

Indications are that by using spectrum for 4G mobile networks, economic benefits of up to $2.4 billion can be expected over the next 20 years.

To view the consultation document, go to: http://www.rsm.govt.nz/cms/policy-and-planning/consultation/digital-dividend-auction