2. The Cost Of Spectrum How Will Aviation Pay John Mettrop DAP

3. Disclaimer This presentation is provided to provoke thought and discussion The figures given in here are based on one set of assumptions and are provided for illustrative purposes Where a different set of assumptions made then the results would also differ

4. Content: Current Situation in UK Spectrum Environment Future Benefits Questions

5. Current UK Situation Spectrum Access

6. Spectrum Cost Total Income £1 million

7. Spectrum Environment Ever Increasing Demand for Spectrum Commercial Value being Placed on Spectrum Open and Transparent Process Recognised need for Safety Services Realistic protection levels Spectrally efficient Amount of Spectrum needed per service Avoid un-necessary duplication of systems

8. Future What Might Happens if we are Not Efficient ?

9. Future, Market Cost Benchmark Spectrum Pricing Administrative Commercial Mobile Phones £23 Billion 140 MHz 20 Years UK Land mass = 244,820 km 2 £33.49 MHz/Km 2 /Year

10. Future,Market Cost 2 Assumptions for Aviation Realistic price = 1/5 Mobile Phone Costs levied on the ground infrastructure Ground Station cost is based on the ground footprint of the service volume Aircraft remain administratively priced

11. Future, Market Cost 3 Ground Station Licence 1 25 kHz VHF Communications

12. Future, Market Cost 4 Ground Station Licence 2 Navigation and Surveillance

13. Future Avoid Commercial Cost Demonstrate that we are minimising spectrum requirement. Spectrum assigned Spectrum required Are the planning rules over conservative? Do we still need hard pairing ? Do we use the whole band? Can we do with less? Avoid un-necessary duplication of systems Do we need both ILS and MLS as landing aids? Do we need NDB, VOR, DME, GNSS & INRS for en- route navigation? Do we need 23cm & 10 cm Radar?

14. Make decisions and stick to them Implement system changes in accordance with agreed time schedule

15. Future What Benefits? Reduced cost of infrastructure Less on-board co-site issues Reduced cost of aircraft fit Reduced maintenance costs Known timescales for implementation Credibility

16. Questions?