STAATSKOERANT, 24 JANUARIE 2014 No. 37261 absence of predatory pricing. In South Africa, SMP lies with operators who derive their power from the historic oligopolistic nature of the market. Therefore confrontations about SMP will always be with similar operators. Long term and high level policy interventions must be consistently applied to ensure that Significant Market Power does not hinder the opening of the market and the success of new entrants through abusing their market power and entrenched roles. 5.2.4.1.4 Numbering The Authority is required to make regulations for a numbering plan and for efficient use and allocations of numbers. The regulations must provide for number portability based on a national number portability database. The numbering plan cannot be discriminatory. 5.2.4.1.5 Spectrum The current legislative environment promotes the efficient use of the scarce radio frequency spectrum and its allocation to many different users in various communications fields. There are a number of ways in which the Regulatory Authority authorizes access to the spectrum by the different operators. These could include a "beauty contest" competitive bidding process based on best use, lottery allocation involving random selection, or an auction in which the highest bidder wins. ICASA favours a technology-neutral allocation on the grounds that, among others, an efficient technology should not be penalized. In some other countries, spectrum is assigned on the basis of need, although eligibility criteria may be set. Blocks of spectrum may be assigned to eligible licensees on a first-come- first served basis. Further requests can be entertained based on demand. 5.2.5 Spectrum Pricing In general, the role of pricing in a market is to guide the users in making decisions to use the spectrum resources more efficiently. It follows that the approach to pricing should reflect the scarcity, besides incentivising efficiency in use. It is therefore important to decide upon the objectives that the pricing policy should achieve. 5.2.5.1 Management of spectrum The management of the radio spectrum is a combination of administrative, regulatory and technical procedures to ensure the efficient operation of radio communication equipment and services. Simply stated, spectrum management is the overall process of regulating and administering access to and use of the radio frequency spectrum. A primary goal of spectrum management is to ensure optimal use of the radio spectrum, in social, economic and technical terms. The RF spectrum is a national resource, much like water, land, gas and minerals. Unlike these, however, RF is reusable. The purpose of spectrum management is to mitigate radio spectrum pollution and maximize the benefits of usable radio spectrum. The International Telecommunication Union (ITU) constitution recognizes "the sovereign right of each State to regulate its telecommunication". Effective spectrum management requires regulation at national, regional and global levels. Because access to the radio frequency spectrum is vital to meet national political, cultural, social and economic objectives, it is in the national interest for nations to participate in international cooperative processes: to be good international citizens. 37 This gazette is also available free online at www.gpwonline.co.za 41