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Telecoms pricing colloquium date named

By Tracy Burrows, ITWeb contributor.
Johannesburg, 23 Sept 2005

The Department of Communications has set a date for next round of telecoms price talks.

The Deputy Minister of Communications, Radhakrishna Padayachie, announced late this afternoon that the second round of talks would be held at Gallagher Estate on Tuesday 11 October and Wednesday 12 October.

Padayachie said: "Numerous stakeholders have expressed concerns that the prices of telecommunications services in South Africa are far too high. This impedes universal service and the progress of the second economy and weakens the competitiveness of business. At a time when South Africa is aiming for a sustainable growth rate of 6%, the telecommunications sector needs to respond swiftly to these challenges."

Padayachie noted that over 400 delegates had discussed these issues "in robust debate" at the first colloquium held at Gallagher Estate in July this year. During these talks, a working group was elected to advise the Department of Communications on the formulation of suitable recommendations.

"The Department, together with the Working Group, has reviewed the situation, considered the options and formulated recommendations," he said.

"I appreciate the efforts of all participants in the July Colloquium and I warmly invite stakeholders to assist in finalising these recommendations," said the Deputy Minister. "I look forward to a vigorous and constructive debate on the policy options before us at the upcoming Colloquium."

The objective of the new gathering is to review these recommendations on the underlying pricing issues, including market structure, regulation, unbundling the local loop, self-provision, broadband penetration, universal service, international cable access and any other relevant issue.

"The Department`s Team and the Working Group have made insightful observations and I am optimistic that the October Colloquium will be very constructive," said the Deputy Minister.

"We cannot hope to achieve universal service with current programmes and at 100 000 DSL subscribers, our broadband penetration is far too low, considering its potential for critical socio-economic contribution. We must modernize the telecommunications sector and achieve the best for all South Africans in terms of choice, quality, innovation and value-for-money. Effective and competitive telecommunications services must be available to all."

The draft programme other documentation will be made available shortly.

Related stories:
Telecoms pricing round two

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