OBTAINING APPROVAL FOR A RADIO FREQUENCY FOR POWER TRANSMISSION Space Energy Inc. intends to broadcast power from space to Earth using radio frequencies in the industrial, scientific, and medical (ISM) radio bands originally reserved internationally for the use of RF electromagnetic fields for industrial, scientific and medical purposes other than communications. In general, communications equipment must accept any interference generated by ISM equipment. ISM bands are defined by the ITU-R in 5.138, 5.150, and 5.280 of the Radio Regulations. Individual countries' use of the bands designated in these sections may differ due to variations in national radio regulations. Because communication devices using the ISM bands must tolerate any interference from ISM equipment, these bands are typically given over to uses intended for unlicensed operation, since unlicensed operation typically needs to be tolerant of interference from other devices anyway. In the United States of America, ISM uses of the ISM bands are governed by Part 18 of the FCC rules, while Part 15 Subpart B contains the rules for unlicensed communication devices, even those that use the ISM frequencies. Thus, designers of equipment for use in the United States in the ISM bands should be familiar with the relevant portions of both Part 18 and Part 15 Subpart B of the FCC Rules. Specifically, Space Energy Inc. intends to broadcast energy from space to Earth at 2.45 GHz, or 5.8 GHz For many people, the most commonly encountered ISM device is the home microwave oven operating at 2.45 GHz. However, in recent years these bands have also been shared with license-free error-tolerant communications applications such as wireless LANs and cordless phones in the 0.915 GHz, 2.45 GHz, and 5.8 GHz bands. Because licensed devices already are required to be tolerant of ISM emissions in these bands, unlicensed low power uses are generally able to operate in these bands without causing problems for licensed uses. Space Energy Inc. will engage with the International Telecommunications Union (ITU) to secure general approval for the use of these frequencies and will also engage with customer countries' agencies responsible for national radio regulations (eg, the Federal Communications Commission (FCC) in the US) to obtain approval to use either 2.45 GHz or 5.8 GHz for power broadcasts in their country. If radio frequencies are unavailable, Space Energy Inc. will pursue power beaming using lasers at 1.0 micron or 0.86 micron wavelengths. This removes the need for any frequency approval, as lasers are not regulated as radio frequencies. Space Energy Inc. will also engage with national aviation agencies to establish no-fly zones around radio or laser energy corridors between the satellite and its ground-based receivers. OBTAINING PARKING SLOTS ON THE GEOSTATIONARY BELT Space Energy Inc. will acquire parking spots on the geostationary belt above the Equator for stationing its space-based solar power satellites. Parking slots are allotted internationally, by the International Telecommunications Union (ITU). However, the ITU only allocates orbital slots to countries, and not to private sector companies. Space Energy Inc. will negotiate with countries that hold the rights to orbital slots of interest to establish agreements whereby space-based solar power satellites can thereafter occupy the countries' allocated orbital slot(s). This is a common standard practice by all commercial communications satellite companies. Space Energy Inc. will follow these routine and well-established procedures to acquire its orbital parking slots. When satellites are located close to each other, their up-link and downlink frequencies and polarizations are to be coordinated, so that there is no interference. Sometimes this requires that existing satellites, to accommodate a new entrant, alter existing frequencies or polarizations. The ITU that allocates the orbital slots (to countries who in turn may grant use of their slots to commercial ventures) requires that all parties coordinate their frequencies so that there is no disruption of service. The new entrant is obliged to ensure that their transmissions will not disrupt existing services. Frequency coordination is a technical matter, and not easily resolved, particularly in regions over India, where practically every orbital slot is occupied by one or more satellites. NOTE: To date countries have been very responsible in their dealings with commercial ventures. We do not know of any commercial venture that had insurmountable problems acquiring parking slots.