Evolved spectrum usage rights: A catalyst for liberal spectrum management reform

Abstract

Radio spectrum is critically important to the functioning of modern society but is a scarce resource in great demand. Ideally, it should be allocated to the most valuable uses in a country and used as intensively as possible. Yet, we are far from this, with spectrum use entrenched for decades and much of spectrum unused for much of the time. Changing usage is typically bureaucratic and glacially slow compared to the speed of innovation. That is, the promise of spectrum management reforms has not been delivered so far. We promulgate and endorse the earlier views that the key elements needed to progress with spectrum liberalisation are fully flexible spectrum property rights where the use can be changed by the licence holder subject to interference constraints, improved conditions for secondary trading to enable change of ownership, and the lightest touch regulatory intervention. We propose and explain a comprehensive policy framework based on the concept of Evolved Spectrum Usage Rights (eSUR) that enables change of use and innovation that can apply to all exclusive spectrum licensing. We elaborate on this to discuss a practical path and roadmap to the future to realise a world where spectrum can deliver much greater value than currently. The proposed policy measures apply predominantly to commercial spectrum, but some elements might also help with public sector spectrum.