M4 — BWA 24 and 38 GHz Auction Licences issued as a result of the renewal process of 2014

Conditions of Licence - Renewed spectrum licences in the auctioned 24 and 38 GHz bands

The following conditions apply to spectrum licences in the 24 and 38 GHz bands issued through the renewal process described in SLPB-006-14, New Licensing Framework for the 24, 28 and 38 GHz Bands and Decision on a Licence Renewal Process for the 24 and 38 GHz Bands.

It should be noted that the licences are subject to the relevant provisions in the Radiocommunication Act and the Radiocommunication Regulations, as amended from time to time. For example, the Minister continues to have the power to amend the terms and conditions of spectrum licences, under section 5(1)(b) of the Radiocommunication Act.

1. Licence Term

The term of this licence is 10 years. Prior to the end of the licence term, a consultation will be held to determine whether new licences will be issued through a renewal process and if so under what terms and conditions. Therefore, these licences do not have a high expectation of renewal.

2. Licence Fees

The licensee must pay the applicable annual licence fee on or before March 31 of each year for the subsequent year (April 1 to March 31).

3. Eligibility Criteria

The licensee must conform to eligibility criteria as set out in Section 9(1) of the Radiocommunication Regulations.

4. Licence Transferability and Divisibility

This licence is transferable in whole or in part (divisibility), in both bandwidth and geographic dimensions, subject to Industry Canada's approval. A Subordinate Licence may also be issued in regard to this licence, subject to Industry Canada's approval.

In all cases, the licensee must follow the procedures as outlined in Client Procedures Circular CPC-2-1-23, Licensing Procedure for Spectrum Licences for Terrestrial Services.

All capitalized terms have the meaning ascribed to them in CPC-2-1-23.

5. Radio Station Installations

The licensee must comply with Client Procedures Circular CPC-2-0-03, Radiocommunication and Broadcasting Antenna Systems, as amended from time to time.

6. Provision of Technical Information

The licensee must provide Industry Canada with, and maintain, up-to-date technical information on a particular station or network information in accordance with the definitions, criteria, frequency and timelines specified in Client Procedures Circular CPC-2-1-23 - Licensing Procedure for Spectrum Licences for Terrestrial Services, as amended from time to time.

7. Compliance with Legislation, Regulations and Other Obligations

The licensee is subject to, and must comply with, the Radiocommunication Act and the Radiocommunication Regulations, as amended from time to time. The licensee must use the assigned spectrum in accordance with the Canadian Table of Frequency Allocations and the spectrum policies applicable to this band, as amended from time to time. The licence is issued on condition that all representations made in relation to obtaining this licence are all true and complete in every respect.

8. Technical Considerations and International and Domestic Coordination

The licensee must comply on an ongoing basis with the technical aspects of the appropriate Radio Standards Specifications (RSS) and Standard Radio System Plans (SRSP), as amended from time to time. Where applicable, the licensee must use its best efforts to enter into mutually acceptable agreements with other parties for facilitating the reasonable and timely development of their respective systems, and to coordinate with other licensed users in Canada and internationally.

The licensee must comply with the obligations arising from current and future frequency coordination agreements established between Canada and other countries and shall be required to provide information or take actions to implement these obligations as indicated in the applicable SRSP. Although frequency assignments are not subject to site licensing, the licensee may be required through the appropriate SRSP to furnish all necessary technical data for each relevant site.

9. Lawful Interception

The licensee operating as telecommunication common carrier using the spectrum for voice telephony systems must, from the inception of service, provide for and maintain lawful interception capabilities as authorized by law. The requirements for lawful interception capabilities are provided in the Solicitor General's Enforcement Standards for Lawful Interception of Telecommunications (Rev. Nov. 95) - SGES. These standards may be amended from time to time.

The licensee may request the Minister of Industry to forbear from enforcing certain assistance capability requirements for a limited period of time. The Minister, following consultation with Public Safety Canada, may exercise the power to forbear from enforcing a requirement or requirements where, in the opinion of the Minister, the requirement is not reasonably achievable. Requests for forbearance must include specific details and dates indicating when compliance to the requirement can be expected.

10. Research and Development (R&D)

The licensee must invest, as a minimum, 2 percent of its adjusted gross revenues resulting from the use of this licence, averaged over the term of the licence, in eligible research and development activities related to telecommunications. Eligible research and development activities are those which meet the definition of scientific research and experimental development adopted in the Income Tax Act, as amended from time to time. Adjusted gross revenues are defined as total service revenues, less inter-carrier payments, bad debts, third party commissions, and provincial goods and services taxes collected. The licensee is exempt from research and development expenditure requirements if it, together with all affiliated licensees that are subject to the research and development condition of licence, has less than $1 billion in annual gross operating revenues from the provision of wireless services in Canada, averaged over the term of the licence. For this condition of licence, an affiliate is defined as a person who controls the carrier, or who is controlled by the carrier or by any person who controls the carrier, as per subsection 35(3) of the Telecommunications Act.

To facilitate compliance with this condition of licence, the licensee should consult the Department's Guideline GL-03 - Guidelines for Compliance with the Radio Authorization Condition of Licence Relating to Research and Development.

11. Implementation of Spectrum Usage

The licensee must demonstrate to the Minister of Industry, a maintained level of deployment equal to or greater than eight links per one million population (rounded up to a whole number) within the licensed service area on an ongoing basis.

12. Mandatory Antenna Tower and Site Sharing

The licensee operating as telecommunications common carrier must comply with the mandatory roaming requirements set out in Client Procedures Circular CPC-2-0-17 - Conditions of Licence for Mandatory Roaming and Antenna Tower and Site Sharing and to Prohibit Exclusive Site Arrangements, as amended from time to time.

13. Annual Reporting

The licensee must submit an annual report for each year of the licence term, which includes the following information:

  • a statement indicating continued compliance with all conditions of licence;
  • an update on the implementation and spectrum usage within the area covered by the licence;
  • a statement indicating the annual gross operating revenues from the provision of wireless services in Canada, and, where applicable, the annual adjusted gross revenues resulting from the use of this licence, as defined in these conditions of licence;
  • a report of the Research and Development Expenditures for licensees whose annual gross operating revenues exceed $1 billion (the Department reserves the right to request an audited Statement of Research and Development expenditures with an accompanying Auditor's Report);
  • supporting financial statements where a licensee is claiming an exemption to the Research and Development condition of licence;
  • a copy of any existing corporate annual report for the licensee's fiscal year; and
  • other information related to the licence as specified in any notice updating the reporting requirements as issued by Industry Canada.

All reports and statements must be certified by an officer of the company and submitted, in writing, within 120 days of the licensee's fiscal year-end. Confidential information provided will be treated in accordance with section 20(1) of the Access to Information Act.

Reports are to be submitted to Industry Canada at the following address:

Industry Canada c/o Manager, Emerging Networks Spectrum Management Operations Branch 235 Queen Street (C.D. Howe 6th East Floor) Ottawa, Ontario K1A 0H5

Where a licensee holds multiple licences, spectrum implementation reports should be broken down by licence area.

14. Amendments

The Minister of Industry retains the discretion to amend these terms and conditions of licence at any time.

Last revision date: May 14, 2015

Date modified: