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Australian Government - Australian Communications and Media Authority

IFC 9/2012

Introduction of opportunity cost prices in the high density areas of the 400 MHz band

ACMA response to submissions

In April 2012, the ACMA released the Adoption of opportunity cost prices for apparatus licences in the 400 MHz band paper (400 MHz OC pricing paper) for a 6 week consultation period. In this paper, the ACMA proposed to increase apparatus licence taxes to a new OC price of $199/kHz for high density areas of the 400 MHz band in the second half of 2012. The increase in taxes will be implemented over five years with increases of 15 per cent per annum plus CPI over that time. These tax increases would apply to all categories of licences in high density areas (Brisbane, Melbourne and Sydney) except for non-assigned licences.

The consultation period ended 22 May 2012. The ACMA received 15 submissions from Federal and State government agencies engaged in law enforcement, security and public safety, and from participants in the telecommunications and radiocommunications industry.

The ACMA has carefully considered these submissions and believes that there is compelling and appropriate evidence to implement the first of the five proposed changes to introduce OC pricing into the band. It will continue to monitor, measure and review the impact of yearly OC price increases before considering any further changes. The ACMA has also provided a response to submissions to the 400 MHz OC pricing paper.

Submissions received

Submissions to the consultation paper closed on 22 May 2012. The ACMA received 15 submissions to the consultation paper.

Background

In April 2012, the ACMA sought comment on a proposal to introduce opportunity cost pricing for apparatus licences taxes in the high density areas of the 400 MHz band.

The proposal is outlined in the consultation paper - Word (.docx 158 kb) or PDF (513 kb)

In this paper, the ACMA proposed to increase apparatus licence taxes to $199 per kHz over a five-year period. Stakeholders were invited to comment on:

  • the methodology for estimating the opportunity cost of spectrum;
  • the implementation issues associated with the changes; and
  • the introduction of opportunity cost pricing in other bands, examination of OC pricing in remote areas and future price reviews and iterations.

Enquiries

Enquiries relating to this discussion paper should be made to:

By email:

spectrumpricing@acma.gov.au 

By mail:

Manager
Spectrum Pricing Section
Australian Communications and Media Authority
PO Box 13112 Law Courts
Melbourne Vic 8010

Publication of submissions

In general, the ACMA publishes all submissions it receives.

The ACMA prefers to receive submissions that are not claimed to be confidential. However, the ACMA accepts that a submitter may sometimes wish to provide information in confidence. In these circumstances, submitters are asked to identify the material over which confidentiality is claimed and provide a written explanation for the claim.

The ACMA will consider each confidentiality claim on a case-by-case basis. If the ACMA accepts a claim it will not publish the confidential information unless authorised or required by law to do so.

Release of submissions where authorised or required by law

Any submissions provided to the ACMA may be released under the Freedom of Information Act 1982 (unless an exemption applies) or shared with other Commonwealth Government agencies under Part 7A of the Australian Communications and Media Authority Act 2005. The ACMA may also be required to release submissions for other reasons including for the purpose of parliamentary processes or where otherwise required by law (for example, under a court subpoena). While the ACMA seeks to consult submitters of confidential information before that information is provided to another party, the ACMA cannot guarantee that confidential information will not be released through these or other legal means.

 

Last update: 8 August 2012 09:21