The following is the ACA's response:
 

Low Powered Devices in the band 433.05 to 434.79 MHz

     Introduction
     The authorised operation of low powered devices in the radiofrequency band 433.05 to 434.79 MHz is
     supported through the Australian Communications Authority's (ACA) class licence for low interference
     potential devices (LIPDs).

     Specifically, item 17 of the schedule to that class licence provides for the operation of all transmitters in this
     band up to a maximum equivalent isotropically radiated power (EIRP) of 25 mW. This is one of many
     relatively small bands established throughout the radio frequency spectrum at operating frequencies ranging
     from a few kilohertz to many tens of gigahertz that support the licensed use of a wide range of LIPDs which
     provide benefit to the Australian community.

     This summary explains the considerations that led to the introduction of this provision in the class licence.

     Need for the LIPD allocation
     The ACA has statutory responsibilities under under the Radiocommunications Act which essentially relate to
     maximising the public benefit in the use of a national resource. In exercising this spectrum management function
     on behalf of all of the Australian people, the ACA tries to accomodate the needs of all groups of users. Where
     there are competing demands for access to particular parts of the spectrum, the ACA tris to take a balanced
     approach in weighing up these demands. In making these sorts of decisions, the ACA will typically consider:

     • domestic and international spectrum allocations;

     • likely demand;

     • public benefit;

     • international regulatory arrengements;

     • and interference potential and effects on incumbents.

     The band 433.05 MHz to 434.79 MHz is shared by amateur radio, low-powered applications and the
     radiolocation service. The radiolocation service is the only primary service in this band. Other services
     operating in this band must not cause harmful interference to the primary service, and are not afforded
     protection should they receive harmful interference from that primary service.

     Amateur applications in the 433.05 MHz to 434.79 MHz band (1.74 MHz bandwidth) include FM repeaters
     and FM simplex services. Amateur services operate on a secondary basis over the wider band 420 to 450
     MHz (30 MHz bandwidth) and in a number of other bands throughout the radiofrequency spectrum. That is,
     the segment allocated for LIPDs overlaps just 6% of the 30 MHz bandwidth used by amateurs in this band.

     Arrangements to support low powered devices in the 434 MHz band were introduced to the LIPDs class
     licence in June 1997 to support a growing demand for such applications sourced mainly from Europe, which is
     part of International Telecommunication Union (ITU) Region 1. In many countries in that region, the band
     433.05 to 434.79 MHz has a long-standing designation for industrial, scientific and medical (ISM)
     applications. ISM applications use radiofrequency energy for their function but are not radiocommunications
     devices (for example, microwave ovens).

     There has been a significant international trend by manufacturers to develop communications devices to
     operate at low power and on an uncoordinated basis in ISM bands. Radiocommunications devices operating
     in designated ISM bands do so on the internationally established basis that they must accept any interference
     they may receive from ISM applications. Products have been developed for ISM bands that are common
     world-wide and in other bands adopted in major regions for ISM. As a consecuence of the European
     adoption of the 434 MHz band for ISM (see note 1) manufacturers have developed a range of low powered
     radiocommunications products for that band.

     From a review of international regulatory arrangements it was clear that European countries, and the United
     States of America to a lesser extent, supported the operation of low powered devices in the band 433.05 to
     434.79 MHz. Whilst Australia is in ITU Region 3 geographically, we are continually approached by
     customers, importers, manufacturers, retailers, etc to support products that are designed in other countries and
     not necessarily in accordance with Region 3 spectrum arrangements. In Australia by 1996/97 there was a
     strong demand to operate European based low powered aplications designed to operate in the 434 MHz
     band, and that demand has continued to increase.

     The ACA decided that it was in the public interest to facilitate the operation of these devices in Australia. The
     ACA believes that this public benefit significantly outweighs the relatively small loss suffered by the amateur
     users. A factor in that decision was a concern that, being prevalent in many other countries, the devices would
     be imported into Australia anyway as happened in the case of the 900 MHz band which is used widely in
     Region 2 for these sorts of devices.

     Feasibility for continued Amateur operations
     The band chosen for LIPD operation was aimed to achieve commonality with international developments. The
     associated power cap of 25 mW was set at a level that balanced the identified needs against the overall utility
     of the band for uncoordinated LIPD operations (a few countries allow up to 500 mW transmitters in this band
     for such operations). The class licence specifies the essential technical conditions and does not specify the type
     of application for this band. The regulatory approach chosen is deliberately intended to minimise the need for
     unique Australian products and so maximise the public benefit.

     Having made the basic decision to develop a class licence, studies were done to assess the potential for
     continued operation of amateur services in the segment. It is recognised that interference from LIPDs is
     possible in some circumstances and is probably more likely in heavily populated areas, but there is still a lot of
     potential for amateurs to continue to use the segment if they wish.

     ACA officers are liaising with the Wireless Institute of Australia on this issue. One aspect that has been
     discussed is what interference mitigation steps might be taken. The ACA encourages the amateur community
     to review the technical viability of its repeater network in its current configuration (in Europe, the repeater
     configuration is different to Australia's and is less susceptible to interference from the LIPDs). The ACA
     would expect that, given the very nature of the amateur hobby itself, and the associated technical skills held by
     amateur enthusiasts, they would be much better placed than most users to identify which repeaters may be
     more susceptible to interference and to take protective measures.

     Summary
     The ACA believes that development of the class licence to support LIPDs is clearly in the public interest.
     Further, the ACA believes that the conditions of the class licence are appropiate and should not be changed
     or further restricted in the types of applications allowed.

     The overall loss to the amateur community is relatively small. The ACA would encourage the amateur
     community to make realistic assessments of the likely levels of interference. If the levels of interference or
     operational constrains are judged to be too high, the ACA would encourage the amateurs to consider ways to
     modify the repeaters to build in better immunity.

     Note that Australia is part of ITU Region 3. The band 433.05 to 434.79 MHz is not a designated ISM band
     in Australia.