HK govt proposes new spectrum fees

Robert Clark
29 Nov 2010

The Hong Kong regulator, Ofta, has proposed new spectrum fees for some wireless backhaul and satellite frequencies.

It is considering imposing a spectrum utilization fee (SUF) on spectrum that was administratively-allocated, rather than sold by auction, in order to encourage more efficient use of scarce radio real estate.

Currently, the annual SUF is charged only on 2G and 3G frequencies.

Ofta said in a consultation paper issued Friday that it was weighing an SUF charge for eight spectrum bands used for wireless backhaul, electronic news gathering and some fixed satellite services.

It would only impose fees on spectrum that was more than 75% occupied “and anticipated to become more congested in the future.”

The SUF would not apply to spectrum allocated to Wi-Fi, cordless telephony and government services.

The SUF charging scheme “would serve as a price signal to encourage users of spectrum in congested bands to deploy spectrum assigned to them in a more efficient manner and, where applicable, return the surplus spectrum to the government,” Ofta said in a statement.

MORE ARTICLES ON: Backhaul, Hong Kong, OFTA, Regulation

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