The convergence colloquium closed yesterday on a high note, with commitments to make policy changes to benefit all South Africans, change licensing to move the current vertical market structure to a horizontal one, and to create a better-resourced and stronger, but light-touch, regulator to encourage effective competition and fair and equal access to broadcasting, telecommunications and IT.
It`s like this is a `nuwe toenadering`.
Ivy Matsepe-Casaburri, minister, Department of Communications
The minister of communications, Ivy Matsepe-Casaburri, said her presence throughout much of the event was partly because she expected a brawl, and didn`t want to hear about it on the news.
But there was no brawl between the usually combative industry and obstinate government. The minister said she had been ready to compromise on the rapid-fire process envisaged by the politicians, for example, but did not need to.
"It`s like this is a `nuwe toenadering`," she said, to appreciative applause from the large audience that had hardly thinned throughout the two-day affair.
Andile Ngcaba, director-general of the Department of Communications, read the official communiqu'e in three minutes flat. It contained little that the minister had not hinted at in her opening address, and reflected the colloquium attendees` approval of what the government has in mind.
One of the key changes is the commitment to a horizontal licensing structure. This means that instead of licensing fixed-line, satellite and cellular operators, the government would prefer to issue general infrastructure licences that do not specify any particular technologies. A similar approach would be taken with service licences, creating a less restrictive, more equitable and more competitive environment for all players.
As a sop to Telkom and other existing operators, the colloquium made it possible to retain the terms "managed liberalisation" in the policy proposals. Reactions to Telkom`s presentation confirm the minister`s assessment, that: "Managing is the responsibility of government, and the regulator will have to manage if the market fails. But in the first instance, industry itself has to manage the convergence process. It seems that suspicions about these words have been allayed, however."
She welcomed "continual interaction" between government, industry and other stakeholders going forward, and thanked members of Parliament for their attendance at the event. Speaking of those representing the ANC, she noted that members who previously had not been fully integrated into this policy process have grappled with the issues, and have visibly grown in their understanding and appreciation of the complexities of telecommunications and broadcasting policy.
Ngcaba revealed at the end of the colloquium that the minister had originally asked the department to convene it in March. Delays - most likely due to the sensitivity of the Telkom IPO - put it off until July, but this revelation underscores the new urgency on the part of government to restructure and revitalise a sector that has hitherto been thoroughly hobbled.
Summary of conclusions
The communiqu'e issued by the convergence colloquium notes the following conclusions:
* The managed liberalisation process needs to continue.
* The ICT industry needs appropriate policy changes in order for the economy to reap the benefits of new technologies and of the expansion of service offerings to consumer and citizens in general, to the benefit to all South Africans.
* There is a need to change the licensing structure from a vertical to a horizontal regime and mechanisms need to be defined for the transition to the new licence regime. There is a need for an orderly movement to a new market structure.
* There is a need for a new licensing regime that should place emphasis on technology neutrality, spectrum licensing that is transparent and equitable, and spectrum allocation based on the concept of scarce resource management and national interest.
* There is a need to change the regulatory regime to "light touch" with emphasis on self-regulation, co-regulation, encouraging effective competition, open, fair and equal access, faster and more efficient processes, with a strengthened and well-resourced regulatory agency.
* There is also the need to strengthen mechanisms for ensuring that there is effective competition in the new converged industry.
* Local content creation and applications development need to be encouraged.
* There is a general commitment to universal access and service and black economic empowerment.
The communiqu'e also proposed that a committee representing colloquium attendees, including government, the regulator, industry, labour and consumers, be established to aid the department in preparing the Convergence Bill, which will be completed in three weeks.
(Note: Wording of the communiqu'e edited for clarity, but substantially verbatim.)
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