the introduction of Number Portability for Mobile Phones” in May 2003, including the framework, timing, and methods of introduction, cost sharing system, and usage procedures, and so forth which are issues that mobile phone service providers and other telecommunications service providers should pay attention for the introduction.

Furthermore, MIC consulted the Information and Communications Council on draft ordinance on partial amendment of “Regulations for Telecommunications Numbers” in November 22, 2005. The draft ordinance stipulated that telecommunications service providers (mobile phone service providers), who will be assigned with telecommunications numbers to identify terminal transmission line facilities for mobile phones, should take necessary measures to make number portability possible since November, 2006.

## (5) Dispute settlement between carriers

The Telecommunications Business Dispute Settlement Commission, established in November 2001, undertakes procedures such as mediation and arbitration, in order to smoothly settle disputes between carriers, and at the same time, conducts deliberations on administrative punishment by the Minister of Internal Affairs and Communications, such as orders for consultation concerning connections.

The Commission has settled 40 cases and made two recommendations to the Minister of Internal Affairs and Communications as of the end of 2005.

While making steady achievements in official dispute settlement, the Commission established “the Consultation Window for Telecommunications Business Dispute Settlement” in December 2004 to improve the information provision system concerning dispute settlements and to provide appropriate advice on various consultations made by the telecommunications carriers at a preliminary stage before proceeding to official dispute settlement procedures.

## 2 Development of broadcasting policy

## (1) Protection of Personal Information in Broadcasting field

Prior to the enforcement of “the Law concerning the Protection of Personal Information” on April 1, 2005, MIC enacted “the Guidelines regarding the Protection of Personal Information on Broadcasting Receiver” (Ministry of Internal Affairs and Communications Report No. 695).

With a partial amendment (entered into force April 1, 2005) to “the Examination Standards for the Broadcast Law (Ministerial ordinance No.68, January 6, 2001)” and an enactment (entered into force April 1, 2005) of “the Standard Contract Tariffs for Pay Digital Broadcasting Services Using Artificial Satellites” (Ministry of Internal Affairs and Communications Report No. 236), the Ministry supports effective implementation of protection of personal information in the broadcasting field.

Furthermore, the Ministry authorized “the Broadcasting Security Center” on April 12, 2005, as an authorized organization for protection of personal information. The Center, among other operations, provides service providers with information that would contribute to resolving claims concerning the handling of personal information and ensuring appropriate handling of personal information.

## (2) Review of restrictions on foreign investments in broadcasting

In response to recent changes, including an increase in domestic investment and drastic changes in the shareholdings and investment, MIC submitted to the Diet a bill for “the Partial Amendment to the Radio Law and the Broadcast Law” in April 2005 to introduce regulations on indirect investment in addition to the ongoing regulations on direct investment. The Bill was enacted on November 2, 2005 and entered into force on April 1, 2006.

## (3) Revision of the principle of excluding multiple media ownership

MIC inspected and investigated broadcasting carriers for an alleged violation of the principle of excluding multiple ownership of media stipulated in the ordinance of MIC (Article 9 of the Fundamental Standard of the Establishment of Broadcast Stations) based on the Radio Law, Article7, Paragraph 2-4, that restricts the upper limit of investment in broadcast stations. It was then found that 73 companies were investing the amount beyond the limit, and these companies were given administrative guidances.

Responding to these underlying factors, and at the same time, with an aim to reinforce the inspection system concerning re-licensing of broadcasting stations, MIC revised the principle of excluding multiple ownership of media (promulgation/enforcement, July 15, 2005).

## 3 Promotion of policy for effective use of radio spectrum

## (1) Promotion of Frequency Open Policy

MIC is promoting Frequency Open Policy as a means to prepare a scheme to open frequencies drastically and allocate them to new fields toward the realization of “wireless broadband service” which is a key to establish ubiquitous network society in Japan.

## (2) Review of frequency allocation (expansion of frequency use for cellular phones)

MIC formulated and published “the Guidelines for Spectrum Reallocation” regarding basic policies for the reallocation of frequencies in October 2003. It mentioned that frequency reallocation should be considered over the midterm (within 5 years) to ensure frequencies of 330-340 MHz bandwidth, primarily in the 1.7GHz,