Ahead of renewal of spectrum licences in the AWS band, the CWTA commissioned Plum to compile a report looking at the value of AWS spectrum and how this should be applied to any renewal process.  Operators were concerned that ISEDC (the spectrum administrator) would use the renewals as an opportunity to significantly increase spectrum fees, and would benchmark against an inappropriate sample.

Plum’s report examined the various methods that can be used to value spectrum, and highlighted potential issues that may arise from the use of benchmarking – recommending an avoided cost model, or specific adjustments needed for any benchmarking analysis.  The report went on to examine the link between spectrum value and fees, and potential impacts of setting fees at the wrong level, particularly taking into account ISEDC’s objectives.