The moral hazard of lax FCC land use oversight for advanced network infrastructure

Abstract

Overview

This article examines the potential risks and hazards associated with the placement of network equipment on publicly owned lands in the United States, particularly under the policies governed by the Federal Communications Commission (FCC). The discussion revolves around the use of public lands for 5G network development and how it can lead to moral hazards.

Key Points

• Exploration of the term 'moral hazard' in the context of economic theory, highlighting the risk of reckless behavior by firms when they do not bear the full costs of their actions.
• Analysis of FCC regulations related to land use, specifically under Section 253 of the Telecommunications Act of 1996, which minimizes the role of local governments in land management decisions.
• Discussion on the potential for increased moral hazards as FCC regulations aim to expedite the deployment of 5G networks, prioritizing the interests of telecom firms over local governments and citizens.

Conclusion

The article draws attention to the potential environmental and economic risks posed by lax FCC regulations surrounding land use for telecom infrastructure. Recommendations are offered for enhancing public policy to protect local interests and prevent abuse of land use rights.

Recommendations

• Urges a revision of FCC regulations or a re-interpretation of Section 253 of the Telecommunications Act.
• Advocates for an approach that better respects the interests of local communities and landowners in the decision-making process regarding land use for network infrastructure.