On 13 August 2020, the Australian Government issued a direction to the Australian Communications and Media Authority (ACMA) to impose a 1 GHz allocation limit for spectrum licences in the 26 GHz band. ACMA is preparing to allocate these licences in an auction expected to commence in late March 2021.
A Regulation Impact Statement (RIS) was prepared and certified by the Department of Infrastructure, Transport, Regional Development and Communications (DITRDC). The RIS identifies the problem as the risk of monopolisation of spectrum during the auction process and negative impacts flowing from that on the delivery of effective and competitive 5G services in Australia.
The RIS provides a reasonable level of information on the risks and negative consequences stemming from the monopolisation of spectrum during an auction without allocation limits, and why existing competition law is not sufficient to prevent this.
The OBPR’s final assessment of the RIS is that it is compliant with the Government’s requirements and is consistent with good practice.
The RIS estimates the proposal will have nil regulatory costs.