Hon David Cunliffe
Minister of Communications

New regulations will ensure greater security of tenure for radio licence holders, says Communications Minister David Cunliffe.

"Under the present radio licence regime, licensees have no guarantee of tenure," Mr Cunliffe said. "Radio licences may be revoked even if licensees have deployed infrastructure in the spectrum. The lack of security of tenure may inhibit investment in wireless infrastructure by radio licensees.

"Investment in infrastructure is a key component of the Labour-led government's economic transformation agenda. Providing greater security of tenure for radio licences supports our objective of encouraging investment in wireless infrastructure and maximising the value to society of radio spectrum."

To increase security of tenure, the Radiocommunications Regulations will be amended to include a five-year notice period for revocation of licences, while enabling the Crown to revoke licences in a shorter timeframe in certain conditions – for example, if a licensee is operating in breach of licence conditions, or if the licence is unused or no longer required for its original purpose.

"In addition to the five-year notice period, a policy for transition plans on conversion of spectrum to the management rights regime will be developed and published to offer greater security of tenure.

"This policy will also apply to transition plans under the radio licence regime. The Ministry of Economic Development will retain the power to revoke any radio licences not in use at the time of registering a management right.

"Responses to the public consultation held on this matter revealed some support for legislative change to provide security of tenure on registration of a management right," Mr Cunliffe said.

"The option of further reinforcing the transition plan policy with legislation will be addressed when the Radiocommunications Act is next reviewed."

The Cabinet paper and minute of the decision will be published on the Ministry of Economic Development website next week.

Interested parties can contact the Ministry of Economic Development's Radio Spectrum Policy and Planning group at radiospectrum[at]med.govt.nz

ENDS

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