http://www.busrep.co.za/index.php?fSectionId=561&fArticleId=2434036
Bill may provoke telecoms battle
March 4, 2005
By Gugulakhe Masango
Johannesburg - A clause in the Convergence Bill, tabled this week in parliament, could add fuel to the fire in the fight between value-added network operators (Vans) and Telkom.
The bill makes provision for the issuing of new communications licences to Vans by the Independent Communications Authority of SA (Icasa).
This is not likely to find favour with Telkom, which argued two months ago during Icasa's hearings on proposed regulations for Vans providers that Vans operators should not be licensed to provide standalone voice services.
Gabriele Celli, Telkom's executive of regulatory and public policy, said then that the standing telecoms policy of managed liberalisation could not be reconciled with enhancing Vans licences to the extent that they resembled fixed-line telephone network licences.
Vans provide communications services such as the purchase of prepaid cellphone vouchers through an ATM.
The bill defines a communications service as any service provided to the public, sections of the public, or subscribers involving the communications networks, including transmissions over communications networks used for broadcasting, but excluding content services.
This would cover mobile cellular telecoms provided by Vodacom, MTN and Cell C; local access telecoms services and fixed-line communications such as internet access provided by Telkom, multimedia services delivering voice, audio, video, internet, animation and text traffic such as those provided by Sentech through its satellite network.
The bill, which is expected to result in an overhaul of the country's telecoms policies, is also likely to annoy holders of underserviced area licence (USALs) operators.
The seven USALs awarded licences to operate in rural areas include Bokone Telecoms, Thinta Thinta Telecoms, Ilizwe Telecoms, Karabotel, Bokamoso Communications and Amatole Telecoms.
USALs are worried that further deregulation of the telecoms industry would result in their niche market being flooded with operators with big pockets.
They had been hoping for a monopoly of sorts in areas where only one household in 20 has a telephone line. But the bill specifies that Icasa may not grant any licensee monopoly or exclusionary rights in any service.
In terms of the bill, the authority is also allowed to grant additional rights to the licensees with appropriate licence obligations and can exempt communications services that will not require licences, such as companies providing e-mail access to employees.
Donovan Cloete, the communications ministry spokesperson, said the ministry was confident the bill would satisfy all stakeholders.
He said the bill would go to the communications portfolio committee for public hearings and then would be passed as law by President Thabo Mbeki.
The bill was redrafted last year after the telecoms industry raised concerns about clauses which were ambiguous or open to legal challenges.
The ministry decided in 2003 that it should draft a convergence bill to shape a new future for the telecoms market beyond this year.
The bill, if approved, will allow content created by a production company for movies to be channelled to different providers, through the internet and cellphones.
Bill may provoke telecoms battle
March 4, 2005
By Gugulakhe Masango
Johannesburg - A clause in the Convergence Bill, tabled this week in parliament, could add fuel to the fire in the fight between value-added network operators (Vans) and Telkom.
The bill makes provision for the issuing of new communications licences to Vans by the Independent Communications Authority of SA (Icasa).
This is not likely to find favour with Telkom, which argued two months ago during Icasa's hearings on proposed regulations for Vans providers that Vans operators should not be licensed to provide standalone voice services.
Gabriele Celli, Telkom's executive of regulatory and public policy, said then that the standing telecoms policy of managed liberalisation could not be reconciled with enhancing Vans licences to the extent that they resembled fixed-line telephone network licences.
Vans provide communications services such as the purchase of prepaid cellphone vouchers through an ATM.
The bill defines a communications service as any service provided to the public, sections of the public, or subscribers involving the communications networks, including transmissions over communications networks used for broadcasting, but excluding content services.
This would cover mobile cellular telecoms provided by Vodacom, MTN and Cell C; local access telecoms services and fixed-line communications such as internet access provided by Telkom, multimedia services delivering voice, audio, video, internet, animation and text traffic such as those provided by Sentech through its satellite network.
The bill, which is expected to result in an overhaul of the country's telecoms policies, is also likely to annoy holders of underserviced area licence (USALs) operators.
The seven USALs awarded licences to operate in rural areas include Bokone Telecoms, Thinta Thinta Telecoms, Ilizwe Telecoms, Karabotel, Bokamoso Communications and Amatole Telecoms.
USALs are worried that further deregulation of the telecoms industry would result in their niche market being flooded with operators with big pockets.
They had been hoping for a monopoly of sorts in areas where only one household in 20 has a telephone line. But the bill specifies that Icasa may not grant any licensee monopoly or exclusionary rights in any service.
In terms of the bill, the authority is also allowed to grant additional rights to the licensees with appropriate licence obligations and can exempt communications services that will not require licences, such as companies providing e-mail access to employees.
Donovan Cloete, the communications ministry spokesperson, said the ministry was confident the bill would satisfy all stakeholders.
He said the bill would go to the communications portfolio committee for public hearings and then would be passed as law by President Thabo Mbeki.
The bill was redrafted last year after the telecoms industry raised concerns about clauses which were ambiguous or open to legal challenges.
The ministry decided in 2003 that it should draft a convergence bill to shape a new future for the telecoms market beyond this year.
The bill, if approved, will allow content created by a production company for movies to be channelled to different providers, through the internet and cellphones.
