Cell C has hit out at the Independent Communications Authority of SA (ICASA) for its lack of response to its urgent query regarding outstanding licence fees - an act the operator says is damaging its reputation.
This follows a recent statement by Democratic Alliance shadow communications minister Marian Shinn which outlined ICASA licensees' outstanding fees (over R480 million, as confirmed by ICASA). Shinn distributed the statement on the back of feedback she received to a Parliamentary question last month.
"Cell C would like to set the record straight regarding comments made in Parliament, on 30 April [by Shinn], regarding outstanding licence fees owed to ICASA. The comments were made on the back of information provided to the [shadow] minister by ICASA."
Cell C says it has in fact never been advised by ICASA that it owes the said R107.3 million - or any other amount - in outstanding licence fees. "Accordingly, Cell C denies that it owes this amount."
After media reports on the outstanding fees emerged, Cell C says it sent a letter to ICASA, on 2 May, demanding urgent written confirmation of ICASA's position. The letter sought to establish Cell C was not in default of any licence fee obligations.
Cell C says ICASA has not responded. "ICASA appears to be unable to verify its own information. ICASA's failure to respond and set the record straight publicly is having a negative impact on Cell C's reputation and leaves Cell C with no choice but to make its own public statement in this regard."
Similarly, says Cell C, despite ICASA having announced it would begin a market review related to the high cost of communications in February, "ICASA has failed to commence this review, and consumers and Cell C continue to be negatively impacted".
ICASA spokesperson Paseka Maleka acknowledges receipt of Cell C's letter on 2 May, but says it was only discussed at this week's council meeting (on Tuesday). "ICASA will be responding to Cell C in due course."
According to ICASA's accounting records, says Maleka, Cell C does in fact owe the amount of R107.3 million. "Invoices were issued and an accrual raised in the 2009 financial year. The authority raised this debt based on its interpretation of the now repealed General Licence Fees regulations and disregarded Cell C's submissions containing calculations of a deficit Gross Profit, the basis on which general licence fees were levied at the time."
Regarding the market review, Maleka says ICASA has started the process internally. "The Gazette will be published soon to allow further engagement with industry stakeholders." He says ICASA plans to finalise the process by the end of the current financial year (March 2014).
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