MPs say Icasa must get its act together
The structure of South Africa’s telecoms regulator will have to be changed over time to allow for a more efficient decision making process, according to Ismail Vadi, the chairman of parliament’s portfolio committee on communications.
This came after Karabo Motlana, the chief executive of the Independent Authority of SA (Icasa), told the portfolio committee on communications last week that he was not consulted by the councillors over a decision to file an interdict to block the listing of Vodacom on the JSE.
Icasa lost the case and will have to foot the legal bills of Vodacom, Telkom and the government, as well as Vodafone’s lawyers.
Icasa has nine councillors, who are on fixed-term contract, and whose mandate is overall regulatory strategies. The chief executive is in charge of operational matters, including the regulator’s finances.
Vadi said this week that it was an “anomaly to have full-time councillors”, and this created a problem.
“This might warrant a review of the (legislature) to have a more streamlined governance model,” he said.
The portfolio committee would raise the matter with Communications Minister Siphiwe Nyanda.
Vadi added that ideally, Icasa should have part-time board members.
He said that although the councillors acted within the ambit of the law, it was their timing and the procedure that raised eyebrows.
A former Icasa employee said that although councillors had their own responsibilities, they sometimes chose to ignore these, and interfered in operational matters..
Vadi said the committee would seek advice from the Treasury to address the legal costs incurred by Icasa.
Dobek Pater, a telecoms analyst at Africa Analysis, said it was clear Icasa continued to face a significant challenge in developing relevant competencies and addressing its human resource requirements.
“Government support is required,” Pater said. “Icasa’s reputation will only be mended over time through successive future demonstration of its competency to develop and enforce regulation which assists growth in the ICT (information and communication technology) markets, and sound decisions emanating from a clear decision making process in cases such as the Vodacom case.”
Arthur Goldstuck, the managing director at World Wide Worx, said the experience on the ground was that Icasa did not engage adequately with interested parties unless they were politically connected.
ICASA Councillors – what should happen?
Business Report
Loading ...