Telus 2006 Annual Report Download - page 26

Decisions 2005-28 and 2006-53. As a result, the CRTC will no longer regulate the provision of
access independent VoIP services provided by the ILECs within their incumbent territories.
Regulation of wireless services
The use of radio spectrum is subject to regulation and licensing by Industry Canada pursuant to
the Radiocommunication Act, which is administered by Industry Canada. All of TELUS’ wireless
communications services depend on the use of radio frequencies.
The Minister of Industry has the authority to suspend or revoke radio spectrum licences if the
licence holder has contravened the Radiocommunication Act, regulations or terms and
conditions of its licence and after giving the holder of the licence a reasonable opportunity to
make representations. Licence revocation is rare; licences are usually renewed upon expiration
(see “Management’s Discussion and Analysis – Risks and risk management – Section 10.3
Regulatory – “Radiocommunications licences regulated by Industry Canada” and “Foreign
ownership restrictions” in TELUS’ 2006 Annual Report – Financial Review).
Wireless Number Portability. Wireless number portability enables consumers to retain their
telephone number when switching between wireless service providers and when switching
between wireline and wireless service. In Decision 2005-72, the CRTC directed Bell Mobility,
Rogers Wireless Inc. and the wireless division of TELUS to implement wireless number
portability in British Columbia, Alberta, Ontario and Québec where LEC-to-LEC local number
portability is currently in place by March 14, 2007. In other areas and for other wireless carriers,
wireless number portability (where LEC-to-LEC local number portability is currently in place) for
porting-out must be implemented by March 14, 2007 and for porting-in must be implemented by
September 12, 2007.
Radiocommunications spectrum licences
TELUS holds radiocommunication spectrum licences and authorizations for a variety of wireless
services and applications, both mobile and fixed. TELUS holds significant 1.9 GHz PCS
spectrum throughout Canada, is the leading holder of 800 MHz SMR/ESMR spectrum in all of
the major Canadian markets, and holds 25 MHz of cellular 800 MHz spectrum in Alberta, B.C.
and eastern Québec. In addition, TELUS holds various radio spectrum licences for fixed
services in the 2.3/3.5 GHz band throughout Canada, paging services, analogue two-way radio
services, and legacy mobile-telephone and other miscellaneous wireless services.
Licence terms and renewals. Currently, spectrum licences in Canada for PCS and cellular
spectrum will expire in 2011 and 2013 (see “Management’s Discussion and Analysis – Risk and
risk management – Section 10.3 Regulatory – Radiocommunications licences regulated by
Industry Canada” and “Foreign Ownership Restrictions” in TELUS’ 2006 Annual Report –
Financial Review). The spectrum licences for the auctioned 24/38 GHz, 2.3/3.5 GHz and PCS
spectrum have a ten-year term from the date of issuance. Most other radiocommunications
spectrum licences are renewed annually (see “Management’s Discussion and Analysis – Risks
and risk management – Section 10.3 Regulatory – Radiocommunication licences regulated by
Industry Canada” in TELUS’ 2006 Annual Report – Financial Review).
Upcoming spectrum auction. On February 16, 2007, Industry Canada released a discussion
paper for the upcoming auction for advanced wireless services (AWS) spectrum in various
spectrum bands. Comments on the consultation paper are due in May 2007, with further reply in
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