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The Secretary for Information Technology and Broadcasting invites representations on the Consultation Paper on "Implementation of Carrier Licence under Telecommunications Ordinance as amended by Telecommunication (Amendment) Ordinance 2000". The invitation was published in the Gazette today (September 8), in accordance with section 7(3) of the amended Telecommunications Ordinance.

The consultation exercise aims at seeking views from the telecommunications industry and the public on the carrier licence. After considering the representations made during the consultation exercise, the Secretary may by regulations prescribe the general conditions and fees payable for a carrier licence under section 7(2) of the amended Telecommunications Ordinance.

"To streamline licensing procedures to cope with the rapid developments in the telecommunications industry, we are putting in place under the Telecommunication (Amendment) Ordinance 2000 a new licensing regime which includes a carrier licence," a spokesman for the Information Technology and Broadcasting Bureau said.

According to the proposal set out in the Consultation Paper, there will be three categories of carrier licences: carrier (fixed), carrier (mobile) and carrier (space stations). The general conditions of the carrier licences would be similar to those of the licences under the existing licensing regime. Moreover, the fees payable for the carrier licences would remain the same or set at a comparable level to those respective licences under the existing regime.

The period of validity would be the same as that for the corresponding type of existing licences it replaces, except for carrier (mobile) licence. The proposed period of validity for carrier (mobile) licences is 15 years.

" This is to ensure that the validity period for third generation mobile services, which would fall under the category of carrier (mobile) licences, would be sufficient for operators to recoup their substantial investment," the spokesman explained. By comparison, the existing licences for mobile networks is 10 years plus up to three years upon renewal.

"The proposal contained in the Consultation Paper seeks to update the licensing regime for telecommunications carriers, and maintain a fair and transparent licensing and regulatory environment. It ensures that telecommunications carriers, existing and new, will continue to operate in a level playing field," the spokesman said.

Background

The introduction of the carrier licence is part of the programme to implement a new licensing regime under the Telecommunication (Amendment) Ordinance 2000 recently enacted in June 2000.

The Consultation Paper sets out in detail the proposed licensing regime for the carrier licence, including the general conditions and the fees payable.

The proposal does not affect the existing licensees who are operating under the current licensing regime with licences such as the fixed telecommunications network services (FTNS) licence for fixed networks and the public radiocommunications service (PRS) licence for mobile networks. Section 7O of the amended Telecommunications Ordinance has already provided that the existing licences should, for the unexpired period of validity it has left to run and subject to the same conditions, be deemed to be a licence granted under the amended Telecommunications Ordinance. Notwithstanding the transitional arrangement, the Consultation Paper proposes that the Telecommunications Authority may have the discretion to accept applications from existing licensees to apply for the corresponding new carrier licence, subject to certain conditions on the validity periods and fees of the licences thus issued.

Those who are interested to make representations should forward their representations by 8 October 2000 to the Information Technology and Broadcasting Bureau by mail to: Information Technology and Broadcasting Bureau, 2/F, Murray Building, Garden Road, Hong Kong, by fax to 2511 1458 (open) or 2827 0119 (confidential), or by e-mail to itbbenq@itbb.gcn.gov.hk.

Submissions should be made in writing and in electronic form in Microsoft Word 97 version. The Secretary reserves the right to publish all representations received and reveal the identity of source.

Copies of the Consultation Paper are available for collection at the Information Technology and Broadcasting Bureau and headquarters of the Office of the Telecommunications Authority or can be downloaded from the homepages of these two offices.

For enquiry, members of the public may contact Miss Linda So, Assistant Secretary for Information Technology and Broadcasting, at 2189 2208.

End/Friday, September 8, 2000

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