SCOTTISH EXECUTIVE RESPONSE TO RA CONSULTATION ON USE OF LICENCE EXEMPT SPECTRUM FOR PROVISION OF PUBLIC TELECOMMUNICATIONS SERVICES - OCTOBER 2001 Introduction 1. Scotland’s infrastructure has been assessed as relatively advanced in terms of backbone, but with some issues around island and remoter links, and a heavy dependence on copper at a local level. To address the issue of local access to broadband in Scotland, we consider fixed wireless access as a key technology capable of delivering affordable pervasive access to broadband. 2. Currently no companies offer broadband fixed wireless services in Scotland. We therefore consider that the current prohibition on use of licence exempt spectrum for the provision of public telecommunication services should be removed so that this spectrum can be freed up for use by operators to deliver broadband to the rural areas. 3. Given the recent collapse of Atlantic Telecom there is now less opportunity for rollout of broadband fixed wireless services in Scotland. Although Energis hold the 28 GHz licence, this spectrum has limited use for delivery of commercial service in rural areas. The removal of the restriction on use of licence exempt spectrum could, therefore, have considerable economic benefit in Scotland. £30 M Broadband Fund Projects 4. The Executive has submitted a number of projects to DTI under the £30 M Fund for innovative broadband projects. More specifically we have proposed a project which would test the viability of wireless as a solution to rural and remote access by building a fixed wireless access network in the Western Isles. The project would provide the means to trial rural communities’ appetite for higher bandwidth services which are unlikely to emerge in the short term by wired provision. 5. This project will depend upon spectrum becoming available in the unlicensed spectrum bands. The network backbone will use a combination of 5Ghz and 2.4Gz wireless systems providing high, medium and low bandwidths to a user base. It was considered that the 5Ghz band would offer the benefits of more users per cell, higher bandwidth and more resilient radio connections. The Western Isles uniquely have the ICT sector at the top of their economic development agenda but despite this there is no rollout prospect of any broadband services in the foreseeable future by telcos. This proposed pilot could become the basis of a broadband network capable of delivering lasting and radical social and economic change across the Western Isles. For the success of this project it is vital that the RA remove the current prohibition on the use of licence exempt spectrum. A copy of the Western Isles project proposal is attached with this submission. 6. Among other projects submitted to DTI under this fund we also have a Centre for Excellence for rural wireless applications and a pilot project to use wireless technology to deliver rural content and applications over broadband to rural businesses. The removal of prohibition on the use of licence exempt spectrum could have a potential impact on these projects. Conclusion 7. The Scottish Executive agrees with RA that there would be considerable economic benefit in relaxing or removing the current prohibition on use of licenceexempt spectrum for the provision of public telecommunication services. We also support the agency's intention to introduce revised regulations to permit the introduction of public services in the new 5 GHz allocations in early 2002. Joanne Pegg Digital Scotland Unit Department of Enterprise and Lifelong Learning Meridian Court 5 Cadogan Street Glasgow G2 6AT Tel: 0141 242 5561