media decentralization and relaxed this principle in March 2004.

### 3. Promotion of Policies Concerning Effective Radio Spectrum Use

## (1) Promotion of the Frequency Open Strategy

In order to realize the building of the most advanced wireless broadband environment in the world and make the Japanese economy robust and full of activity, the MPHPT is promoting the Frequency Open Strategy, the main pillars of which include (a) a fundamental review of frequency assignment, (b) the introduction of a benefits scheme for the reallocation of the radio spectrum, and (c) the partial introduction of a registration system in place of the current license system in order to promote the free development of the radio spectrum business (Figure 3-2-3).

## (2) Formulation of the Frequency Reorganization Policy

In October 2003 the MPHPT formulated and issued the Frequency Reorganization Policy, which outlines its basic thinking on frequency reallocation. A 2002 amendment of the Radio Law introduced a scheme to survey, publicize, and assess the actual state of radio spectrum use, and surveys is being carried out on the state of use, including the state of use of radio wave devices and the amount of traffic.

## (3) Introduction of benefits scheme for the reallocation of the radio spectrum

In implementing the reallocation of the radio spectrum, there is a danger that existing radio spectrum users will suffer an economic burden because, for example, they will be unable to use radio facilities that they acquired or constructed through investment in the past, have removal costs, or have to acquire new facilities. Therefore, the Radio Law was amended in May 2004 in order to introduce a benefit system for existing radio spectrum users whose frequency use will come to an early end to assist with expenses that normally arise when the said period of use comes to an early end.

## (4) Introduction of registration system for radio stations

In order to further promote the effective use of the limited and scarce radio spectrum, to maintain order in radio spectrum use, such as the prevention of interference, and to achieve the free development of the radio spectrum business, it is necessary to adopt measures for promoting the multiple use of the radio spectrum. From this perspective, the Radio Law was amended in May 2004. Regarding high-output outdoor wireless LAN and common-use radio systems, the amendment, while maintaining radio spectrum order, implements deregulation and introduces a post-check registration system in place of the existing pre-check license system.

## (5) Revision of the radio spectrum user fee system

In April 1993 the MPHPT introduced the radio spectrum user fee system by which all of the licensees who are the beneficiaries of public service for radio stations as a whole pay the expenses for this service. Compared with the time of introduction, however, the situation surrounding radio spectrum use fees has greatly changed. Therefore, within the MPHPT, the Study Group on Policies Concerning the Effective Radio Spectrum Use is considering a revision of the system of radio spectrum use fees from a multidimensional and comprehensive perspective, including the pros and cons of reflecting the economic value of the radio spectrum.

Figure 3-2-3 Frequency Open Strategy