NZ announces spectrum consultation

New Zealand’s Communications and Information Technology Minister, Amy Adams, has released a consultation document for the upcoming auction of the 700 MHz band of radio spectrum.

The 700 MHz band - freed up by the switchover to digital television - can be used in the building of fourth-generation (4G) mobile networks, capable of speeds up to 10 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 undertaken 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.

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.