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scljstc.wmf (3400 bytes) Pacific Telecom Regulators

 

Introduction

Liberalisation of the information-communication industry has led to all of the Forum Island Countries, except for Nauru and Samoa undergoing the separation of the regulatory function from the service provider. However, except for Papua New Guinea and Vanuatu, all the Forum Island Countries who had undergone the separation of regulatory function from the service provider, still had their policy and regulatory functions located within a Government Ministry/Department. Only Papua New Guinea of the region has established a truly separate regulator. Vanuatu has established a semi-separate regulator, which does not issue licences, a power exercised by the Minister on the recommendation of the Vanuatu Telecommunications Authority. The table below shows the pattern of the regulatory structure in the Pacific as of May 1999.

 

Current Regulators and Service Providers in the Pacific

     
Country/Service Regulator/s Service Provider/s
COOK IS    
International, Domestic & Internet Ministry Telecom Cook Islands Ltd
Internet   1. Telecom Cook Islands Ltd (JV)

2. Gateway Polynesia Ltd (P)

FEDERATED STATES OF MICRONESIA    
International, Domestic and Internet Ministry FSM Telecom Corporation
FIJI    
International Ministry Fintel
Domestic and Internet Ministry Telecom Fiji Limited

Vodafone Fiji Limited

KIRIBATI    
International, Domestic and Internet Ministry Telecom Services Kiribati Limited
MARSHALL ISLANDS    
International, Domestic and Internet Ministry Marshall Islands Telecoms Authority
NAURU    
International, Domestic and Internet Ministry Ministry
NIUE    
International Domestic and Internet Ministry Telecom Niue
PALAU    
International, Domestic and Internet Ministry Palau National Communications
PAPUA NEW GUINEA    
International and Domestic PANGTEL Telikom PNG Ltd
Internet PANGTEL Five Internet Service Providers
SAMOA    
International and Domestic Ministry Ministry

Telecom Samoa Cellular Ltd

Internet Ministry Samoanet

Lesamoanet

SOLOMON ISLANDS    
International, Domestic and Internet Ministry Solomon Telekom Company Ltd
TONGA    
International and Internet Ministry Cable and Wireless
Domestic Ministry Tonga Telecoms Commission
TUVALU    
International, Domestic and Internet Ministry Tuvalu Telecommunications Corporation
VANUATU    
International, Domestic and Internet Ministry

Vanuatu Telecommunications Authority

Telecom Vanuatu Ltd

Part 1: Countries without Separate Regulator and Ministry

1. Nauru

All telecommunications in Nauru are provided under the Wireless Telegraphy Act 1974, a concise Act, which gives the Republic the exclusive privilege of establishing, erecting and maintaining wireless telegraphy in Nauru. The Government is the regulator and the provider of all telecommunications services for Nauru pursuant to the statute.

2. Samoa

The Post Office Act 1972 provides for the establishment of a Postal service, Telegraph service, Savings Bank and Telephone Service. The Post and Telecommunications Department regulates and operates telecommunication services in Samoa under the Act which authorises the Minister to establish and operate domestic and international telephone communications for Samoa. Other powers are also given to the Minister to facilitate the provision of telephone services by the Department.

Telephone charges within Samoa are prescribed from time to time by the Head of State on the advice of Cabinet. Telephone toll charges in respect of telephone messages for destinations outside Samoa are from time to time fixed by the Minister. The Post and Telecommunications (Internet) Act 1997 made provisions for the acquisition by Government of the Internet operation of a Ministry, Pacific Internet Services, and further empowered the Post Office to do all things necessary to provide internet services in Samoa.

Part 2: Countries with Separate Regulator and Ministry

1.Cook Islands

Cook Islands Telecommunications is governed under the Telecommunications Act 1989 amended by the Telecommunications Act 1992. The Act is specifically tailored for Telecom Cook Islands Limited as the sole provider of Telecommunications services. It protects the company by prohibiting any other person from operating a telecommunications network in the Cook Islands. The company is given powers under the Act to facilitate the establishment and maintenance of its services. The Act also includes accountability provisions declaring the principal objective of the company to be a successful business. The Company is however required to file an annual statement of intent with the Ministry and deliver to the Minister annual reports and audited accounts. The Act also provides for the regulation of radiocommunications including the licensing of radio operators. It also covers the provision and regulation of postal services.

2. Fiji

Telecommunications in Fiji is covered under the Posts and Telecommunications Decree 1989 and abolishes Government’s exclusive privilege to establish, maintain and operate telecommunications in Fiji. The Minister is authorised to issue licences and in doing so must have regard to promoting the interests of users of telecommunication services, and to maintain and promote effective competition and efficiency amongst operators. It is an offence for any person to operate a telecommunications system without a licence issued under the Decree. A licence granted may authorise connections to other telecommunication systems and the provision by means of any telecommunications system services specified in the licence.

A licence may also include any conditions which the Minister considers necessary to fulfil his duties under the Decree, conditions on licence payments and conditions requiring a licensed operator to furnish to the Minister such documents, accounts, estimates, returns or other information as he may require for the purpose of exercising the functions assigned to him under the Decree.

A Telecommunications Code contained in a schedule to the Act is adopted which is applied to licensed operators. Provisions are made for the modifications of conditions of licences, register of licences and orders to be kept, approval and register of approved apparatus, enforcement of licence conditions, approval and register of approved contractors, delegation of functions, power to make test purchases compulsory purchase of land by carriers and power to enter land for exploratory purposes.

The Minister is further authorised to keep under review operations both within and outside Fiji of activities connected with telecommunications and to collect information with respect to commercial activities connected with telecommunications. The Minister may also arrange for publication of information and advice, investigates complaints, give assistance in certain proceedings, requiring information and establish advisory councils. The Minister of Finance may on the request of the Minister make grants or loans to promote rural telecommunications. The Act also prescribes offences and penalties relating to the operation and use of telecommunications service.

Provisions are also made for the transfer of the undertakings of the Department of Posts and Telecommunications to a company nominated by the Minister and prescribing the initial government holding in the company. Matters of conversion of loans vested in the company, government investment in securities of the company, exercise of the Minister’s functions through nominees, temporary restrictions on company’s borrowing powers, liability of Minister in respect of liabilities vesting in the company and application of law in relation to offer of shares or debentures of the company are also provided for. The Decree also regulates Postal services and licensing of radiocommunications.

In December 1998, a Commerce Commission was established with wide ranging powers to monitor, determine and ensure that markets including the telecommunication services are open and competitive.

3. Federated States of Micronesia

The operator of telecommunications services in the Federated States of Micronesia is the Federated States of Micronesia Telecommunications Corporation. Regulation of telecommunications is the responsibility of the Ministry.

4. Kiribati

Regulation of the telecommunications industry in Kiribati is the responsibility of the Ministry of Telecommunications under the Telecommunications Act 1983. The Act was amended in 1996 to allow the delegation of powers by the Permanent Secretary of the Sector Ministry, who is the designated Telecommunications Authority. Operations of telecommunications is undertaken by Kiribati Telecommunications Services Limited, which sometimes performs the duties of the regulator.

5. Marshall Islands

The Communications Act 1987 established the National Telecommunication Authority of the Marshall Islands as a statutory corporation with a five member Board of Directors comprising the President of the Republic, two Ministry officials and two members of the private sector. The Act also gives to the corporation wide powers to enable it to carry out its functions as the provider of telecommunications. The corporation was privatised in 1990 with the Government holding a significant share of the new entity.

6. Niue

The Communications Act 1989 gives Cabinet power to issue public communications service licences authorising the operation of a service the "primary purpose of which is the transmission of sound or visual images, or both, for direct reception by the general public." Issuing of Private communications service licences is to be done by the Director. The Act establishes a Programme Advisory Committee, appointed by Cabinet, to advise licensees on their services. Licensees are not allowed to advertise unless authorised in writing by Cabinet and must comply with guidelines issued by the Programme Advisory Committee.

7. Palau

An Act in 1982 of the Palauan Congress established the Palau National Communications Corporation. The body is a public corporation that is wholly owned by the Palauan national government which has some regulatory oversight of the industry.

8. Solomon Islands

The Telecommunications Act 1972 is a regulation specifically governing the provision of telecommunications in the Solomon Islands and declares the Comptroller of Posts and Telecommunications the telecommunication authority responsible for licensing of telecommunications providers. It also gives Government the exclusive privilege of establishing, maintaining and working telecommunications in the Solomon Islands. The telecommunications authority is required by Act to publish a telecommunications guide to include relevant regulations made, adoption of international regulations and other conditions relating to licenses issued by the authority. Holders of telecommunications licences are required to maintain standards of taste and decency, quality, and accurate and impartial news having regard to the public interest.

9. Tonga

The Tonga Telecommunications Commission Act 1984 established the Tonga Telecommunications Commission a corporate body with a seven member Board that includes the Prime Minister or Deputy Prime Minister as chairman, the Minister of Finance and the Chief Secretary and Secretary to Cabinet. It is the duty of the Commission to operate, maintain and develop domestic telecommunications system in an efficient and profitable manner in the best interests of the public. The Commission acquired all assets and assumed the liabilities of the Telegraph and Telephone Department on 1 July 1984, made liable for taxation as a statutory body and imposed an obligation to pay 50% of profits as dividend to the Government of Tonga. The Prime Minister, who has the exclusive privilege to establish, erect, maintain and use radiocommunications stations in Tonga may issue licences to install or work any apparatus for radiocommunications stations under the Radiocommunication Act 1930.

10. Tuvalu

The Tuvalu Telecommunications Ordinance 1979 established the telecommunications authority, being a person appointed by the Minister, to issue licences to install or use radiocommunication apparatus. The Ordinance is silent on the provision of telecommunications but the authority has been authorised to establish telecommunications lines and posts on any property and do all such things necessary for the proper operation of a telecommunications system established or maintained by Government. The provisions of the International Telecommunication Convention was also made applicable to all licensees under the Ordinance. The Tuvalu telecommunications services was corporatised by the Telecommunications Corporation Act 1993.

Part 3: Countries with Separate Regulator and Ministry

1.Papua New Guinea

The Papua New Guinea Telecommunications Regulator and licensing authority for telecommunications carriers and operators (PANGTEL) was established under the Telecommunications Act 1996. The Regulator has been given wide powers and functions for the purpose of regulating telecommunications and radiocommunications in Papua New Guinea. PANGTEL is to establish performance and technical standards and approve guidelines for carriers and monitor their compliance with the conditions of their licences. The responsibilities of the Regulator to the Ministry include the implementation of government policy notified by the Minister for Communications, advise and report to the Minister in the formulation of national policies and reporting to the Minister on charges paid by consumers. Procedures for ensuring the safety and quality of services and reviewing and responding to customer complaints are to be established by the regulator.

Other powers given to the regulator include the conducting of technical tests and evaluations of equipment, determine a code of practice for dealing with international operators, act as the appointed representative of the State on international forums, monitor access to agreements and assisting in the resolution of disputes, monitor the use of services used on ships and aircraft, control the importation of telecommunications apparatus, regulate types of equipment which may be interconnected to the network, consult with commercial, industrial and consumer organisations, develop and monitoring a numbering plan for PNG, grant licences, declare service area for cable distribution, to manage the Radio Spectrum Act control and regulate generally and administer rural development obligations.

2. Vanuatu

The Telecommunications Act 1989 of Vanuatu established the Telecommunications Authority, a body corporate, consisting of members appointed by the Prime Minister on recommendation of the Council of Ministers. The members are to come from the Ministries of Finance and Telecommunications and three others appearing to the Prime Minister to qualify for membership of the authority. The Chairman of the authority to be appointed by the Prime Minister is also the chief executive officer and members of Parliament are disqualified from membership of the Authority. The general objects of the authority are to perform its functions in the best interests of Vanuatu and particularly to ensure the provision and development of reliable and efficient national and international telecommunications services. The authority is to ensure that operators are technically, financially and managerially capable of carrying out services specified in their licences. The authority is furthermore required to protect consumers and purchasers in respect of prices, quality, variety of services and telecommunications apparatus supplied, promote effective competition amongst operators, ensure that operators are effective in providing services which they are licensed to provide, attract foreign users, manage the radio frequency spectrum and promote research and development in telecommunications.

For the purpose of carrying out its object the authority is authorised to ensure that telecommunications services is operated in a manner best suited to the economic and social development of the country, advise the Minister in the granting of licences to operators, advise the government on telecommunications maters, have regard to public interest, comply with policy directives, take regulatory measures to ensure compliance, enforce operator compliance with international standards imposed, assist Ministry in negotiations with international bodies and operators, represent government at international meetings, lay down charges and tariff rates, approve interconnection charges, require operators to use accounting systems that would facilitate work of authority, require operators to submit plans and comply with such plans, establish technical standards and procedures, approve apparatus which may be used in systems, establish standards for the education and training of manpower, establish advisory bodies, promote research and development and ensure the conservation and proper utilisation of the radio frequency spectrum.

Licences to operate telecommunications systems in Vanuatu however are issued by the Minister on the authority being satisfied that an applicant is capable of providing the services applied for. The authority may also recommend to the Minister the issue of a licence. Licences issued are to specify the period of the licence, fees payable by licensees and may include conditions relating to the operation of the licence which is required to be published in a manner determined by the authority. Provisions are made for revoking licences, exceptions, control of import of telecommunications apparatus, acquisitions of interests in land, power of authority to require information and to inspect, authority to inquire into complaints, declaring the authority as the sole authority to manage the radio frequency spectrum. Operators are required to submit to the authority a copy of its audited accounts and the authority is to report annually to the Minister who shall cause such report to be laid before Parliament. The authority is also responsible for the control of radiocommunications services.

The Act also makes provisions for the vesting of the property rights, assets and liabilities of the Department of Telecommunications in a company which is the operator licensed to provide Public National Telecommunication Service and the employees of the Department on takeover by the company. Provisions are also made to assist an operator regarding acquisition of interest in land on behalf of an operator, power of the operator to place and maintain telecommunication lines and posts, resistance to exercise of lawful powers of the operator, removal or alteration of lines or posts and planting of trees likely to injure telecommunication line. A power to intercept communications passing over the telecommunications system is given to the Prime Minister, after consulting the Attorney General where the security of Vanuatu is threatened.

Part 4: Regulatory Arrangement in Other Forum Island Countries

As part of the Forum, the developments in Australia and New Zealand could provide some assistance to Forum Island Countries on how to address the regulatory issues. Liberalisation of telecommunications in Australia and New Zealand are most advanced compared to all the Forum Island Countries. The two countries have however adopted different approaches in regulating the new telecommunications industry:

1. Australia

Australia has taken the regulatory option of establishing a separate regulator, the Australian Communication Authority (ACA), which licenses operators that provide telecommunications services. The Regulatory framework established in 1997 obliges operators to develop Industry Codes governing particular aspects of telecommunications, Industry Standards determined by the ACA and Technical Standards covering the technical parameters of customer equipment,  such as cables and networks. In addition operators are subject to the monitoring function of the Australian Competition and Consumer Commission (ACCC) which regulates competition in the telecommunications industry.

2. New Zealand

New Zealand on the other hand does not have a separate industry specific regulator for the regulation of the telecommunications industry. It uses instead several legislative regime forming a regulatory framework with the Commerce Commission established under the Fair Trading Act 1986, to regulate commerce, playing a major role in the regulatory process with the Ministry advising the Commission on matters of policy. The "threat" of further regulations is used by the Commission to control the industry and regulations have been passed requiring Telecom Corporation of New Zealand Limited to publish information on the prices, terms and conditions under which certain prescribed services are supplied and to disclose all interconnection agreements with other parties, including its own subsidiaries. Furthermore, Telecom Corporation is required to publish separate financial statements for its principal operating subsidiary, Telecom New Zealand Limited

 

Sources: Kolone Vaai & Associates

Vaai Law

GETIT

 

                                     
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