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DE RUEHSA #0675/01 0471254
ZNR UUUUU ZZH
R 161254Z FEB 06
FM AMEMBASSY PRETORIA
TO RUEHC/SECSTATE WASHDC 1613
INFO RUEHBU/AMEMBASSY BUENOS AIRES 0186
RUCPDC/DEPT OF COMMERCE WASHDC

UNCLAS PRETORIA 000675 
 
SIPDIS 
 
SIPDIS 
 
DEPT OF COMMERCE FOR NTIA 
STATE FOR EB/CIP/MA 
 
E.O. 12958: N/A 
TAGS: ECPS SF
SUBJECT: SOUTH AFRICA: SPECTRUM MANAGEMENT DEMARCHE RESPONSE 
 
REF: 05 SECSTATE 225777 
 
¶1. Per reftel questions, Woutjek Skowronski, General Manager 
of Technology and Engineering and Dr. Tracy Cohen, Councilor, 
both with the Independent Communications Authority of South 
Africa (ICASA), provided the following responses. 
 
¶2. Responsible Authority.  The responsible authority for 
radio frequency management is ICASA, the independent 
telecommunications and broadcasting regulator, which derives 
its authority from the Telecommunications Act (1996) and 
Broadcasting Laws (1994 and 1999).  ICASA is a statutory 
body, established in terms of the ICASA Act (2000). 
Currently, the Minister of Communications sets broad spectrum 
management policy via legislation, and where necessary, 
augmented by Ministerial Policy determinations, which must be 
implemented by ICASA. Seven ICASA Councilors, appointed by 
the President, take all regulatory decisions.  The Minister 
of Communications is appointed by the President and is part 
of the President's Cabinet. 
 
These above laws are subject to pending legislation: The 
Electronic Communications Bill (repealing telecommunications 
and broadcasting law) and the ICASA Amendment Act.  The South 
African Parliament passed both bills; they await the 
President's signature, which will signify their commencement. 
 The two Bills are inextricably linked by cross-references. 
The ICASA Amendment Bill places more authority with the 
Minister of Communications and effectively authorizes the 
Minister, rather than the President, to appoint ICASA 
councilors.  The pending legislation will not result in a 
significant change in the powers of the Minister with regard 
to spectrum policy formulation and ICASA,s role in 
implementing spectrum management policy. 
 
¶3. Assignment Process.  ICASA assigns spectrum on a 
first-come, first-served basis.  There are no auctions, 
lotteries, or comparative hearings.  The military manages its 
own spectrum assignment within its own assigned bandwidth 
assigned. 
 
¶4. Licensing Regime.  ICASA awards licenses on an annual 
basis for a specific service.  Licensees may renew their 
licenses upon notification to ICASA. 
 
¶5. License Privileges.  Licensees have no flexibility in 
transferring spectrum rights to other parties.  Licensees may 
not aggregate or subdivide licenses.  Licensees may not make 
all or part of their spectrum available to other entities 
based on geography or time, nor may licensees generally 
accept payment in exchange for spectrum access.  An exception 
is made for WiFi service providers which make their routers 
available to individual retail users on a per minute or per 
hour basis. 
 
¶6. Spectrum Fees. The standard annual fee for spectrum users 
is R770 ($128) per mHz for non-bulk users and R1540 ($256) 
per mHz for bulk users such as the national telephone 
operator, Telkom and the recently licensed second national 
operator (SNO).  In addition, spectrum users in the 900 mHz 
to 1800 mHz range, the so called 3-G (third generation) 
spectrum, pay a one-time license fee of R5 million (i.e., 
$83,333) as well as a percentage of revenue.  Access to this 
category was granted through legislation.  Spectrum users in 
this category include Telkom, the SNO and the three mobile 
phone providers (Cell C, Vodacom, and MTN).  The only users 
exempt from spectrum fees are those operating in the ISM band 
2.4-2.5 MHz (industrial, scientific, and medical research 
band). 
 
¶7. Treatment of Government versus Commercial Users. 
Government and non-commercial users are subject to the same 
rules as commercial users as described in Paragraphs 2 
through 6 above.  ICASA may waive spectrum fees for higher 
purpose organizations, such as non-governmental organizations 
which use spectrum for the greater public good. 
 
¶8. Other Incentives.  ICASA did not identify other means to 
encourage the more efficient use of spectrum. 
 
¶9. Government Spectrum.  Paragraphs 2 through 7 above also 
describe management of spectrum for government agencies. 
 
¶10. In Country Contacts and Studies.  Discussion of ICASA's 
spectrum management policies requires a formal meeting 
request to the ICASA Chair, Mr. Paris Mashile, 
telephone: ( 27 11 321 8202) pmashile1@icasa.org.za. 
Clarification of the answers above may be directed to Mr. 
Woutjek Skowronski, ICASA General Manager of Engineering and 
Technology (Tel: (27)(11) 321-8328)wskowronski@icasa.org.za. 
Postal address for 
ICASA is Block A, Pinmill Farm, 164 Katherine Street, 
Sandton, Private Bas X10002, Sandton, 2146, South Africa. 
ICASA's website address is www.icasa.org.za.  Questions 
regarding the Department of Communications' spectrum 
management policies may be directed to Mr. Peter Zimeri, 
Chief Director of Technology ( 27 12 427 8000). Postal 
address for Department of Communications is Block C, iParioli 
Office Park, 399 Duncan Street, Hatfield, Private Bag X860, 
Pretoria 0001, South Africa.  Department of Communications 
website is www.doc.gov.za. 
 
TEITELBAUM