Notice No.DGRB-007-99

Department of Industry Act, S.C. 1995, c.1

Notice No. DGRB-007-99 — Fee order for the issuance of a spectrum licence to the Railway Association of Canada

Introduction

The issuance of a spectrum licence to the Railway Association of Canada (RAC) for the purpose of authorizing access to the radio frequency spectrum for Canadian railway companies is an administrative change to the type of radiocommunication authorization previously granted to these clients. A spectrum licence will replace radio licences currently issued to members of the RAC for the use of the spectrum allotted exclusively for railway operations in Canada.

On February 20, 1999, Industry Canada issued Gazette Notice DGRB-002-99, Consultation on the issuance of a spectrum licence to the Railway Association of Canada, to consult with the stakeholders as required by section 21 of the Department of Industry Act. This notice announced that Industry Canada proposes to issue a spectrum licence to the RAC, which will permit access to the spectrum allocated to railway operations within specific geographic areas by member railway companies. This will encourage technological innovation and efficiencies in the use of the subject spectrum in Canada.

The administrative burden to both stakeholders and the Department will also be significantly reduced with the issuance of one spectrum licence to replace approximately 4,900 radio licences issued annually for railway operations in the subject spectrum.

In addition, Industry Canada invited comments on a proposed annual spectrum licence fee of $15.00 for each 25 km2 of exclusive use of specified frequencies (see Appendix A of fee schedule). This amount is based on the fee currently paid by member railway companies in Canada for the specified frequencies.

The Department will implement the spectrum licence fee as proposed. Complete details of the fees fixed for the spectrum licence issued to the RAC for the purpose of authorizing Canadian railway companies' access to the radio frequency spectrum are set out in the following fee schedule.

In response to the notice, the RAC and the Radio Advisory Board of Canada (RABC) commented that they approve of Industry Canada's proposal to issue a spectrum licence to the RAC. Both associations agreed that this licence will allow Canadian railways to make more effective and efficient use of the radio spectrum with reduced administrative cost. They also commended Industry Canada for its foresight in re-examining spectrum management and stated that this new process will permit the railways to obtain greater spectrum efficiencies and benefits without compromising the principles of spectrum management. Both associations recommended that this proposal be adopted without amendment.

Fee Schedule

The Minister of Industry, pursuant to Section 19 of the Department of Industry Act, hereby fixes the following fees, effective the date of publication of this notice in the Canada Gazette. The fees are applicable to a radio authorization issued by the Minister pursuant to paragraph 5(1)(a) of the Radiocommunication Act to establish railway communication services in accordance with the terms of the authorization.

Interpretation

1. For the purpose of this fee schedule,

"specified frequency" means the frequencies utilized exclusively for the operation of railways in Canada that are set out in Appendix A of the fee schedule;

"renewal fee" means the annual fee payable for the renewal of a radio authorization before its expiration on March 31 of every year.

Annual Radio Authorization Fee

Annual Fee

2. The annual radio authorization fee is $15.00 for each 25 km2 for the exclusive use of specified frequencies, as set out in Appendix A of the fee schedule for the geographic areas covered in the radio authorization.

Prorated Fees

3. The month that the Minister issues the annual radio authorization determines the applicable prorated fee.

4. The prorated fee is $1.25 for each 25 km2 of the geographic area specified in the radio authorization for each month until the radio authorization expires on March 31.

Renewal Fee

5. The renewal fee is the applicable annual radio authorization fee.

General Notes

The aggregate fee will be rounded to the nearest dollar. This is an interim fee regime. The fees may be adjusted in accordance with the establishment of a general fee framework.

John Manley
Minister of Industry

Appendix A — Railway Frequency Plan

Frequencies (MHz)
From 160.170 to 161.580 (Band edges)
From 452.8875 to 452.9625 paired with 457.8875 to 457.9625
Channel 262: 812.5375 / 857.5375
Channel 272: 812.7875 / 857.7875
Channel 331: 814.2625 / 859.2625
902.000 to 928.000 (Shared frequency band)
Channel 71: 935.8875 / 896.8875
Channel 75: 935.9375 / 896.9375
Channel 79: 935.9875 / 896.9875
Channel 151: 936.8875 / 897.8875
Channel 155: 936.9375 / 897.9375
Channel 159: 936.9875 / 897.9875
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