Auction summary - 2010 to 2025 MHz Broadband wireless access (2006)

Applications closed for the allocation of spectrum licences in the 2010-2025 MHz band on 27 September 2006. The ACMA received a single application that indicated interest in the full suite of spectrum licences. The allocation was completed in December 2006 with no spectrum licences sold.

No spectrum sold

Responses to discussion papers issued by the Australian Communications Authority (ACA) in April and July 2004 indicated that there was a demand for additional spectrum for broadband wireless access (BWA) services in metropolitan, regional and remote areas of Australia. The papers defined BWA as: ‘a broad term that describes connection of an end-user to a core network, usually a public network, such as the public switched telephone network (PSTN), internet or local/wide area network’. The ACA developed three initiatives to address this perceived need. Two of these were targeted at regional and remote areas only: the issuing of apparatus licence over-the-counter in the 1900–1920 MHz band in regional and remote Australia and in the 2010–2025 MHz band in remote Australia; and allowing the operation of point to point services in the 5.8 GHz band with radiated power levels up to 200 watts, under apparatus licensing arrangements, in certain regional areas. For metropolitan and regional areas, it proposed to auction spectrum licences in the 2010–2025 MHz band. This band had been identified by the International Telecommunication Union (ITU) for time division duplex (TDD) third generation (3G) mobile telephone applications.

On 4 April 2005, in accordance with the ACA’s recommendation, the Minister made the Radiocommunications (Spectrum Re-allocation) Declaration No. 1 to facilitate the re-allocation of the encumbered spectrum by spectrum licensing.

The ACMA invited applications in August 2006 for an auction of spectrum licences in the 2010–2025 MHz band covering metropolitan and regional areas. While the technical framework for the licences was designed for TDD BWA services, licensees could use the spectrum for any purpose in compliance with that framework.

The licences were to be issued for a fixed term of 15 years in 8 areas: NSW/ACT, South Queensland, North Queensland, Victoria/Southern NSW, SA, WA, Tasmania, and Darwin. The areas were state and territory based, with the exception of Queensland, which was split into two areas (North and South Queensland). Canberra was included in the NSW/ACT area.

Applications closed for the allocation of spectrum licences in the 2010-2025 MHz band on 27 September 2006. ACMA received a single application that indicated interest in the full suite of spectrum licences. In this circumstance, the Radiocommunications (Spectrum Licence Allocation — 2010-2025 MHz Band) Determination 2006 provided for the sale of all or part of the spectrum on offer at a pre-determined price equal to the sum of the starting bids of the relevant lots. The applicant company declined to pay the pre-determined price for the complete suite of licences. It was not interested in acquiring a subset of the licences.

The Minister's declaration set a re-allocation deadline of 31 December 2006, by which time at least one spectrum licence must be issued or the band would revert to its previous usage. As no spectrum licences were issued, the band reverted to apparatus licensing on 1 January 2007. As of 26 March 2004 the ACMA has an embargo 38 that prohibits the issuing of any new apparatus licences in this band. The embargo will continue until the ACMA has considered future options for this band.