FAQ - Ofcom Channel 69 Compensation - Audio-Technica

Moving programme-making and special events from channel 69:Questions and AnswersWorking withFunding for moving programme making andspecial events from channel 69

Clearing channel 69: Questions and AnswersQuestions and answersBackgroundQ. Why is this happening?Ofcom is clearing the 800 MHz band (channels 61-69) to match spectrumbeing released in other European countries. This will deliver substantialbenefits for UK consumers when new services such as mobile broadbandcomes to be rolled out in this band. Because of this, programme-makingand special events (PMSE) users will have to stop using channel 69.Q. What is Ofcom doing to help channel 69 users?To help users move Ofcom has made a commitment to:provide replacement spectrum (in particular channel 38) and maintainPMSE access to channel 69 during the changeover period; andprovide funding to eligible PMSE users directly affected by clearingchannel 69, whose equipment can‟t be used in channel 38 whenaccess to the channel 69 ends.Q. Who is Equiniti?Ofcom has contracted Equiniti Limited to manage the administration offunding on its behalf. Equiniti will be your first point of contactthroughout the funding scheme.Q. How do I contact Equiniti?Contact Equiniti on 0800 011 3617 or go to the websitewww.pmsefunding.co.uk to find out more about the details of thescheme.Eligibility CriteriaQ. Who is eligible for the funding?To qualify for funding, you must have held a channel 69 licence for atleast part of the period from 2 February 2008 to 2 February 2009inclusive. The only exception to this requirement is equipment hirecompanies that can prove their business involves renting out, rather thanusing equipment which needs a channel 69 licence.Page 2 of 14

Clearing channel 69: Questions and AnswersQ. Is all my equipment eligible for funding?If you are eligible you can claim for funding for working equipment thattunes to channel 69 but not to channel 38 (without modification). Youmust own the equipment and have bought it before 30 June 2009 whichis the date when Ofcom announced that channel 38 would be thereplacement spectrum for channel 69.Q. What about really old equipment?The age of existing channel 69 equipment will not affect the fundingcalculations. Equipment will be tested to check that it is in working orderwhen returned.Q. What about people with equipment tuned tochannels 31-37 and 61-68?PMSE users of channels 31-37 and 61-68 will not be eligible for fundingbecause they have been given sufficient notice by Ofcom of the need toclear this spectrum. Unlike users in channel 69, who had been givenassurances as to availability of that spectrum on reasonable terms until2018, users in other channels had no expectation beyond sufficientnotice.Q. What about channel 69 equipment purchased afterJune 2009?No funding will be given for equipment bought after 30 June 2009. This isthe date when Ofcom confirmed channel 38 as the replacement forchannel 69, providing users with a long term alternative for investment innew equipment.Q. What if someone has a licence from before 2February 2008?A user who has held a licence at some point in the year to 2 February2009 but not on the day itself may well be a legitimate, seasonal user ofPMSE equipment. However, Ofcom considers that if a user has not held alicence since 2 February 2008, it strongly suggests either that the personstopped using the equipment (and therefore has not been providingservices that will be disrupted by clearance) or that they continued usingthe equipment without a licence and should therefore not be eligible forfunding.Page 3 of 14

Clearing channel 69: Questions and AnswersHire companiesQ. I hire out equipment but don’t have a licence. Am Ieligible for the funding?Hire companies without licences will be eligible for funding if they fulfilthe other eligibility criteria and are able to produce evidence that theydon‟t actually use channel 69 equipment themselves. Applicants shouldbe aware that although it is legitimate for a hiring company to own butnot to use channel 69 equipment, unlicensed use of equipment is anoffence under the Wireless Telegraphy Act 2006 and evidence thatapplicants are legitimate hiring companies will be assessed carefully inthis context.Unlicensed usersQ. I use this equipment but don’t have a licence. Am Ieligible for the funding?FundingNo. Section 8(1) of the Wireless Telegraphy Act 2006 states that it isunlawful to install or use wireless telegraphy apparatus without a licence.Q. When will I be able to make my claim?You can register your claim through us at Equiniti, the PMSE FundingScheme Administrator, between 23 rd of September and the end ofDecember 2010. Check for more details on-line atwww.pmsefunding.co.ukQ. How much funding will I get?The amount of funding you will get depends on the type of equipmentyou own, when your claim is processed and whether you choose tosurrender or modify your equipment (see “modifying equipment” and“surrendering equipment” below). For more detailed information checkthe rate card at www.pmsefunding.co.ukQ. How do I know the exact amount I will receive?You can check on the rate card the minimum amount you could receivefor each piece of equipment. This is also the maximum amount you couldclaim for modification of this piece of equipment. If you choose to claimfor a contribution to the replacement cost, you will receive slightly morethe earlier you have your claim processed up to 1 October 2012 whenPage 4 of 14

Clearing channel 69: Questions and Answerschannel 69 will no longer be available for PMSE use. If you register yourclaim online you will be able to work out how much funding you mayreceive by indicating when you expect to give in your equipment on theweb form. This will produce a statement showing the potential total valueof your claim.A copy of the rate card can be downloaded at www.pmsefunding.co.ukQ. I’ve already paid to replace / modify my equipment– am I eligible to receive funding for this?Yes. If you meet the eligibility criteria and have eligible channel 69equipment, you can register a claim for funding. The amount of fundingyou may receive will be determined by the rate card. If you are claimingfor the contribution to replacement cost shown on the rate card, you willstill have to give up your old equipment. If you modified your equipment,you will need to show a receipt to prove the equipment was modified.Q. I’m not VAT-registered. How much funding will Iget?If you are not VAT-registered your funding will be adjusted by an extra20% to reflect that you would not be able to offset or reclaim VAT whenusing the funding. You will be asked to declare your VAT status whenregistering your claim.If you are modifying your equipment you can claim for funding for thecost of modification plus VAT if it was charged. VAT-registered users willbe paid the cost of modification excluding VAT. Funding for modificationwill be capped at the amount that would have been paid as a contributionto replacement.We will check declarations as to VAT status and inaccurate declarations inthis, as in other matters may invalidate the entire claim.Q. Can I surrender some of my equipment and modifysome also?Yes you can.Q. Can I make more than one claim per organisation /individual?No, only one claim only can be submitted for all equipment. You maywish to phase the surrender of equipment which can be arranged.Page 5 of 14

Clearing channel 69: Questions and AnswersModifying EquipmentQ. Can I modify my equipment instead and bereimbursed?Yes. Some equipment that currently operates in channel 69 can bemodified to operate in channel 38. If you choose to modify yourequipment, you will be able to claim for the amount you paid to modify asindicated by your receipt. Funding for modification will be payable up tothe cost of replacement cost as shown on the rate card. You will need toshow proof that your equipment has been modified in order to receivefunding.Funding for modification will include the cost of carrying out theengineering work necessary to retune the equipment and any associatedtransport or postage costs. It will not include other costs like testing orhiring other equipment while the equipment is being modified.Q. How much funding will I get if I modify myequipment?If you choose to modify your equipment, you will be able to claim for theamount you paid to modify as indicated by your receipt. However, youwill not receive funding that is greater than the amount that would havebeen provided as a contribution to replacement cost as shown on the ratecard.Q. How do I prove that I have modified my equipment?If you want to claim for the cost of modification you will be required toprovide to us a receipt for the modification to prove the equipment hasbeen modified.Q. How do I know if my equipment can be modified?In the first instance, you should check with the manufacturer from whomyou purchased the equipment if it can be modified. However, it is not arequirement of funding that modification is undertaken by themanufacturer and we will accept claims attaching receipts from thirdparty modifiers.Page 6 of 14

Clearing channel 69: Questions and AnswersSurrendering EquipmentQ. How much funding will I get if I give up myequipment?If you decide to surrender your equipment, we will work out fundingbased on providing a contribution to the replacement cost of anequivalent piece of equipment. Funding will be based on the estimatedcost to users of having to invest in new equipment before the end of2012. The rate card published on our website (www.pmsefunding.co.uk)lists each piece of channel 69 equipment, by manufacturer and shows theminimum funding available for each item if you choose to surrender yourequipment. This is roughly 55% of the equivalent replacement (based oninformation collected from manufacturers on the cost of buyingequipment with equivalent functionality.)The amount is based on the assumption that the claimant stops usingtheir equipment on 1 October 2012, the latest date the channel 69equipment can be legally used in the UK. If you send in your equipmentearlier than October 2012 you will receive a slightly higher amount(approximately 0.1%) for each week earlier you send in your equipment.If you register your claim online you will be able to work out how muchfunding you may receive by indicating when you expect to give in yourequipment on the web form. This will produce a statement showing thepotential total value of your claim.Q. How do you know the replacement value?Ofcom commissioned a study to collect detailed information frommanufacturers linking each model of eligible channel 69 equipment, withthe price of channel 38 equipment with the equivalent functionality (or,where this is not available, the most recent price for channel 69equipment).Registration/Claim processQ. What do I have to do? How do I register my claim?You can register your claim online at www.pmsefunding.co.uk from 23 rdof September 2010 or complete and return a claim form which can bedownloaded at www.pmsefunding.co.uk. If you don‟t have internetaccess, contact Equiniti on 0800 011 3617. You must register yourclaim by the end of December 2010.You will be asked to:give details of all the channel 69 equipment you own and want toclaim for;Page 7 of 14

Clearing channel 69: Questions and Answersindicate whether you would like to surrender or modify yourequipment;indicate when you would like us to process your claim between March2011 and December 2012 and whether you would like us to do this inone batch or in multiple batches.tell us whether or not you are VAT-registered.If you hire out channel 69 equipment but do not hold a licence, you willbe asked to show that you were in operation on or before 2 February2009 and explain why you did not need a licence to carry out yourbusiness. You will be asked to attach evidence to support your claims.If you do not register your claim within the claim registration period(23 rd September 2010 and end of December 2010), the schemeadministrator will not be able to process your claim. This is because weneed to know the total potential cost before beginning to settle claims.However, registering does not require you to proceed to surrender andpayment. For example, if you are able to retune to channel 70 (whichmay be suitable for non-professional use) you may, entirely at your ownoption, choose not to accept funding.Q. What happens next? How do you process my claim?The scheme administrator will send you a letter to let you know that theyhave received your claim. Equiniti will write to you again when claimsprocessing starts and one month before you have indicated that youwould like us to process your claim. When your claim is processedEquiniti will check that it meets the criteria of the scheme:If you are claiming for a contribution to the cost of replacing yourequipment you will be required to surrender the equipment in order toreceive funding.If you are claiming for the cost of modifying equipment you will needto show a receipt to prove the equipment was modified.If you hire out channel 69 equipment but do not hold a licence andsubmit a claim, Ofcom will assess your application to see whether youhave provided sufficient evidence to support your claim. You will thenbe notified whether or not you are eligible for funding. If your claim isaccepted, it will then be processed in the normal way.If the total replacement value of your equipment is over £6000, youwill be asked to provide proof of ownership for each item you want toclaim for in all the cases set out above.Page 8 of 14

Clearing channel 69: Questions and AnswersQ. When will I get the funding?We expect that we will start paying out funding to those who are eligiblefrom March 2011 onwards. You will not receive any funding until youhave either surrendered your equipment or provided proof that it hasbeen modified and we have verified that it meets all the eligibility criteria.Q. Do I need to prove I own the equipment?Yes you will be required to provide proof of ownership if the totalreplacement value of your equipment is over £6000. Evidence that wouldbe acceptable to us includes: receipts; asset registers or inventories;detailed insurance records and evidence of warranty scheme enrolmentwhich details the equipment you own.Q. What if I don’t have a receipt / cannot prove I ownthe equipment?We will accept small claims with a total replacement value indicated bythe rate card under £6000 without proof of ownership. Ofcom believesthat it is important that smaller users, who it understands might not haveproof of ownership, are able to access the scheme. Users claiming forequipment with a total replacement value over £6000 will need toproduce proof of ownership for all items of equipment.Q. How do I get my equipment to you?The method of return will be either a courier or postal service dependingon how much equipment you are returning at any given time. We willadvise you of the details after your claim has been registered. Therewon‟t be a cost to you for sending in the equipment.Q. Do I have to return all of my equipment at once?No. We can process claims in batches if needed. If you‟d like to phase theprocessing of your claim, indicate this when you register. For example, auser may want to claim for half their equipment in July 2011 and theother half in October 2012, after the London Olympics.Rate cardQ. I can’t find my equipment on the rate card – whatdo I do?If channel 69 equipment can‟t be found on the rate card, please contactour help line on 0800 011 3617. If the equipment is unlisted your querywill be logged and passed to Ofcom. All requests to query unlistedPage 9 of 14

Clearing channel 69: Questions and Answersequipment or query the replacement cost of equipment used in the ratecard must be made by 2 September 2010.Q. I don’t think the replacement cost listed on the ratecard is correct – what do I do?Ofcom commissioned a study to collect detailed information linking eachmodel of eligible channel 69 equipment, with the price of channel 38equipment with the equivalent functionality (or, where this is notavailable, the most recent price for channel 69 equipment).All requests to query unlisted equipment or query the replacement cost ofequipment used in the rate card must be made by 2 September 2010.Q. Where can I get a copy of the Policy Statement /Rate Card?You can download a copy at www.pmsefunding.co.uk or contactEquiniti on 0800 011 3617 who can post a paper copy to you.MiscellaneousQ. Who do I contact if I have any queries between nowand when further information is sent to me?Call Equiniti on 0800 011 3617. Once you have submitted your claim adedicated case handler will be assigned to you and they will be able todeal with any queries that you may have throughout the process.Q. Where can I find information about the scheme?The Policy Statement and rate card can be downloaded atwww.pmsefunding.co.uk or contact Equiniti on 0800 011 3617 whocan post a paper copy to you.Moving to new spectrum from channel 69Channel 69Q. When will I have to stop using channel 69?PMSE users will retain primary access to channel 69 until at least 1 July2012 across the UK.If you are in London, Northern Ireland or the Tyne Tees region in thenorth east of England you will have access until 1 October 2012.Page 10 of 14

Clearing channel 69: Questions and AnswersQ. If the rollout of new services is delayed, will I beable to continue using channel 69 for longer?Ofcom currently expects that PMSE users will have access to channel 69until 1 July 2012 across the UK and until 1 October 2012 in London,Northern Ireland and Tyne Tees. If there is a change to the currentposition, Ofcom will notify programme making and special event users.Options for replacement spectrumQ. What frequencies can I move to?Your particular circumstances will determine the replacement spectrumyou choose. You could opt for the following:oooochannel 38 (606-614 MHz); where you need a UHF WirelessMicrophone shared licence that you obtain from JFMG;orchannel 70 (863-865 MHz) which is free to use on a non-protection,non-interference basis; or;interleaved spectrum in channels 21-68 (470-854 MHz) before DSOand in channels 21-30 (470-550 MHz) and channels 39-60 (614-790 MHz) after DSO, with availability on specific site subject tochanges due to international coordination with neighbouringcountries; or1517-1525 MHz.Channel 38Q. Can I move to channel 38 now?Channel 38 is being made available on a UK-wide basis for sole use byPMSE to replace channel 69. It is already available – and used – for PMSEin most of the UK. Shared licences are available from JFMG for channel38 (alongside channel 69).There are currently some restrictions on outdoor use in North WestEngland and Cambridgeshire because of the need to protectradioastronomy use there. Frequencies from channels 39 and 40 are alsotemporarily included in the shared licence, where use of channel 38 isrestricted. This allows most indoor users the flexibility to move aroundthe whole of the UK with a single licence.Channel 38 will be fully available for use on a UK-wide basis from 21September 2011, when radioastronomy services are cleared from thechannel.Page 11 of 14

Clearing channel 69: Questions and AnswersQ. When can I move to channel 38?Unless you are in an area where channel 38 is currently protected forradioastronomy you will be able to move to channel 38 as soon as youhave bought new equipment or modified your existing equipment. But, ifyou operate outdoors in areas where capacity in channels 38 to 40 issignificantly limited, may choose to wait until autumn 2011, whenchannel 38 becomes fully available on a UK-wide basis, as protection forradio astronomy is removed.Q. Where can I use channel 38?More information about current availability is on the JFMG website,www.jfmg.co.uk Or you can phone them on 020 7299 8660.Q. When will channel 38 be fully available across theUK?Channel 38 will be available on a UK-wide basis both indoors andoutdoors from 21 September 2011, when radio astronomy services willno longer be protected. It will be fully available indoors and at least 5.6MHz will be available outdoors (this will be likely to allow users to use 7microphones across the UK at any location).Channel 70Q. Can I use channel 70?Yes. Channel 70 (863-865 MHz) is already available for wirelessmicrophones use UK-wide and can support up to three microphones ineach location. Channel 70 is free to use without the need for a licence, solong as the conditions of use are met; these are an obligation not tocause harmful interference to other users and no guaranteed protectionfrom services in the same or a nearby frequency.Channel 70 may be suitable for some PMSE users including nonprofessionaIor community users. If you can operate in a spectrum thatdoes not always offer broadcast quality and need to use no more thanthree microphones at one time, you may want to move to channel 70.Some channel 69 equipment can be retuned to channel 70 without anymodification and you might want to check if this is the case with yourmanufacturers.Ofcom is currently assessing whether there is any further increased riskof harmful interference to wireless microphones using channel 70 fromlikely new mobile services in the 800 MHz band. They will publish furtherinformation after they have completed this work.Page 12 of 14

Clearing channel 69: Questions and AnswersDuplex gapQ. What is the duplex gap?The duplex gap is the 11 MHz guard band at 821-832 MHz which liesbetween the uplink and downlink segments of the preferred band plan formobile services in the 800MHz band. Part of this so called duplex gap,823-832 MHz, may be suitable for use by low-power devices such aslower-power wireless microphones, without causing harmful interferenceto new wireless-broadband services.It is not clear yet what the outcome of the ongoing work undertaken bythe Government on the award of the 800 MHz band will be, but it ispossible that the duplex gap is not included in the award. If that‟s thecase, the duplex gap will not need to be cleared and some PMSE usersmay decide this spectrum could provide a suitable alternative to channel69. Ofcom will give further details of its plans for the duplex gap later thisyear.Interleaved spectrumQ. What is interleaved spectrum?Interleaved spectrum is the capacity available within the spectrum thatwill be used after digital switchover (DSO) to carry the six existing DTTmultiplexes. The interleaved spectrum is so called because it can be usedat a local level on an interleaved basis, i.e. shared with terrestrialtelevision.Q. Can I use interleaved spectrum?Yes, if you need exclusive use of certain frequencies in particular places(for example, if you record sound for professional film or TV productions)you will need to operate using co-ordinated frequencies. Co-ordinatedfrequencies are not available in channel 38. You will need to buy a coordinated–or Standard licence from JFMG by going on their website atwww.jfmg.co.uk or by calling them at 020 7299 8660.Q. What interleaved spectrum can I use?PMSE currently have access to interleaved spectrum in channels 21-68(470-854 MHz), but availability after digital switchover (DSO) will be inchannels 21-30 (470-550 MHz) and channels 39-60 (614-790 MHz).Ofcom has made a provisional technical assessment of how muchinterleaved spectrum will be available for PMSE use post-DSO at eachlocation and are confident that this quantity will be sufficient to morethan satisfy the peak PMSE demand they have seen in the past. OfcomPage 13 of 14

Clearing channel 69: Questions and Answerswill announce more details after they have finished internationalnegotiations to clear the 800 MHz band later this year.To check what interleaved spectrum is currently available, you will needto contact JFMG: www.jfmg.co.uk or 020 7299 8660.LicencesQ. What is a shared licence?A UK Shared Wireless Microphone Licence is used for certain wirelessmicrophone frequencies, and lasts for a period of one or two years. Ashared licence can be obtained from JFMG by going on their website atwww.jfmg.co.uk or calling them at 020 7299 8660.Q. What is a co-ordinated licence?A co-ordinated or Standard licence is issued to all users who use „coordinated‟frequencies. These are the frequencies where JFMG, on behalfof Ofcom, co-ordinates the use of frequencies between users and otherservices. A Standard licence lasts for a period of one year and can beobtained from JFMG on their website at www.jfmg.co.uk, or by callingthem on 020 7299 8660.Page 14 of 14