[MLB-WIRELESS] Public internet access

[Steven Haigh]

On 20/09/2006, at 4:07 PM, Dan Flett wrote:
> My personal preference would be for us to exploit the "non-commercial"
> exemption.  I feel that it has not been properly explored.  The  
> ultimate
> goal (I think) would be for us to be able to allow our members to  
> share
> their personal internet connection on - at most - a cost-recovery  
> basis, and
> to allow Melbourne Wireless to handle the authenitcation side of  
> things and
> to provide a unified logon method to any Internet that anyone  
> choses to
> provide to the network.
>
>> The difficulty in obtaining a carrier licence for coverage of  
>> Melbourne
>> Wireless Group would be that, from my understanding of its  
>> operation, it is
>> the individual members who own the base stations.  Therefore under  
>> section
>> 42 requirements each individual owner would need to have a carrier  
>> licence
>> or a nominated carrier licence in force.
>
> Again, they wouldn't if they could satisfactorialy prove they were
> non-commerical.  One of the tests  of non-commerciality (from the  
> ACMA's own
> fact sheet) is whether or not a contract has been entered in to -  
> i.e. pay
> us money, we give you internet.  If the payment of a membership fee  
> could be
> proved to not be linked to the provision of Internet access, then I  
> believe
> that no contract has been made and the arrangement is therefore
> non-commercial.

Interestingly enough, I received a letter back from the minister for  
communications in the past few months. I wrote to them to ask if we  
would qualify for a ministerial exemption for the carrier license as  
we are a non-profit and community group. Below is the reply in full.

########### BEGIN LETTER ###############
Dear Mr Haigh,

CARRIER LICENSING AND EXEMPTIONS

Thank you for your email of 5 March 2006 to the Minister for  
Communications, Information Technology and the Arts concerning the  
operations of Melbourne Wireless and seeking advice on carrier  
license exemptions. The Minister has asked me to reply on her behalf.  
I apologise for the delay in responding.

As you would be aware telecommunications licensing is managed by the  
Australian Communications and Media Authority (ACMA). ACMA recommends  
that persons or businesses wishing to apply for a carrier licence, a  
nominated carrier declaration, or operating as a service provider  
should familiarise themselves with these provisions of the  
Telecommuncations Act 1997 and the Telecommunications (Consumer  
Protection and Service Standards) Act 1999.

The Telecommunications Act (Section 51) allows the Minister to grant  
an exemption from the obligation to hold a telecommunications carrier  
license. While this power exists, its use is limited. The obligation  
to hold a carrier license and the related requirements associated  
with being a licensed carrier are important to assure strong law  
enforcement, consumer protection and service standards are met.

As a general rule, carrier license exemptions are only granted in  
exceptional circumstances and where the exemption would not have a  
negative impact on, or would benefit, the long term interested of  
telecommunications users. An important consideration in this regard  
is whether the exempted operator would compete with, and be  
advantaged relative to commercial providers.

To ensure the similar treatment of fixed line and wireless networks  
under the Telecommunications Act, a Ministerial Determination was  
issued in 2002 so that operators of wireless local area networks that  
provide services and single premises did not require a carrier  
license or nominated carrier declaration.

While I appreciate that you consider the service that you provide  
offer community benefits, it would also be offered in competition  
with other licensed operators as a commercial venture. As such, any  
exemption would not be competitively neutral. It is unlikely,  
therefore, that a carrier license exemption would be granted in these  
circumstances.

The Government recognises that license fees should not present an  
unreasonable barrier to entry for telecommunications service  
providers. In line with this, the carrier license charges were  
significantly reduced on 1 July 2004. The carrier license application  
charge was decreased from $10,000 to $2,200 and the fixed component  
of the annual carrier license charge fell from $10,000 to less than  
$1,000. Several small scale service providers have applied for, and  
received, carrier licenses under this reduced fee structure.

Detailed information on carrier licensing and carriage service  
provider obligations is provided by the ACMA at http:// 
www.acma.gov.au (licensing), or can be obtained by calling Mr Peter  
Skeen, Assistant Manager, Telecommunications Licensing on 03 9963 6707.

Thank you for bringing your concerns to the Minister's attention.

Yours sincerely
<signature>
JEREMY FIELDS
Assistant Adviser
############### END LETTER ##################

In the general drift of this letter, it looks like as we might offer  
a service in the present, or future that would compete with the  
telcos etc, that we would not be granted an exemption from the  
carrier licensing schemes.

I am currently looking at writing a reply, however if anyone would  
like to help out on this to help convey our message to the Minister,  
then please feel free to contact me :)

-- 
Steven Haigh

Email: netwiz at crc.id.au
Web: http://www.crc.id.au
Phone: (03) 9017 0597 - 0412 935 897