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3. For Schedule 1 to the principal Regulations there shall be substituted the following:
Regulation 8(2)
1. For the purposes of sections 3 to 7, 12 to 19 and Part III of the 1984 Act:—
(a)a conditional access system used for the purposes of providing subscriber management services shall to the extent which it is so used be treated as a telecommunication system even though it would not be so treated apart from this paragraph (in this paragraph referred to as a “deemed system”); and
(b)subscriber management services provided by means of a deemed system shall be treated as telecommunication services.
2.—(1) Subject to sub-paragraph (2) below, subsection 2(b) of section 6 of the 1984 Act (exemption from the requirement for a telecommunication licence for systems situated on a single set of premises) shall not apply to the running by a person of any conditional access system.
(2) Nothing in sub-paragraph (1) above shall affect the exemption in the said subsection (2)(b) as it relates to any conditional access system which is run:
(a)by a broadcaster and is used to provide conditional access services for himself only; or
(b)by any other person only to enable him to receive digital television services.
3.—(1) Every licence granted under section 7 of the 1984 Act before the coming into force of these Regulations (whether granted to all persons, to persons of a class or to a particular person) which authorises (however expressed) the running of a telecommunication system and the provision by means thereof of conditional access services to digital television services to any other person by the person to whom the licence is granted or any person being a member of the class of persons to whom the licence is granted shall, upon the coming into force of these Regulations, cease to authorise the running of such system in so far as it is used for the purposes of the provision by the Licensee of such services.
(2) Where such a licence ceases by virtue of sub-paragraph (1) above to authorise the running by a licensee of a telecommunication system in so far as it is used for the provision of conditional access services to another person, that licence and any other licence granted under section 7 of the 1984 Act before the coming into force of these Regulations which authorises (however expressed) the running of that system in so far as it is used for the provision of such services to that licensee himself shall also cease to authorise the running of that telecommunication system in so far as it is so used.”
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