I was very disappointed with the march staged by the Community Payphone Association of SA (Copasa) last week to protest against what it called Cell C`s "unfair competition practices".
The association claims to represent 150 000 entrepreneurs, and while I didn`t expect all the members to attend the march, I suspect that less than 30 people actually took part.
Holding up neatly printed placards and singing outside Cell C`s gates, they made a pathetic sight rather than demonstrating the power of mass action. A few Cell C employees laughed and wondered who had commissioned the "rent-a-crowd".
The protest did not last more than the few minutes it took for a Copasa representative to hand over the memorandum of demands to Cell C`s legal representative. Then the group marched back to a nearby fast food place, where they initially congregated.
I was shocked to note that the Copasa chairperson and secretary did not join the marchers, but stayed on at the fast food place to await them. If Cell C`s alleged unfair competition practices are important to Copasa and should be taken seriously, why are the office bearers sending their members to hand over the memo while they hide in the background?
Getting the timing right
Copasa argues that members should be allowed to continue charging the poor double the rate Cell C offers so that they can make a profit.
Damaria Senne, senior journalist, ITWeb
Hasn`t Copasa been listening to the cacophony of voices saying the price of telecoms in SA is too high? In the past months, government has stated its viewpoint very clearly.
The Department of Communications even hosted a colloquium on the issue, inviting all interested stakeholders. In response, various service providers have lowered their tariffs. So why would Copasa take an action that is likely to reinforce Cell C`s position that it has already offered low rates that provide consumers better value for their money?
Also, a key telecoms objective in SA is to ensure the underprivileged are connected and receive telephony at low prices. Copasa, on the other hand, argues that members should be allowed to continue charging the poor double the rate Cell C offers so that they can make a profit.
The demands
The memorandum does not clarify the contentious issues. Members state they were trading in high-teledensity areas before Cell C rolled out its community payphones.
They say they invested their entire savings into these businesses to provide housing, food, and clothing for their families and have not received the full return on investment. If this is intended to elicit sympathy, then it does that very well.
However, the memo fails to demonstrate the extent to which Cell C is infringing on their territory. Cell C could argue equally well that it has empowered local entrepreneurs with the community payphones and that a continued roll-out will empower more while continuing to benefit consumers. And if the issue is a regulatory one, why are they not taking it up with the Independent Communications Authority of SA?
Copasa also mentions that Cell C`s roll-out is subsidised by government as part of a drive to provide resources for previously disadvantaged communities and agues that this subsidisation is unfair. Shouldn`t the organisation be advocating for such subsidisation from government rather than providing lunchtime entertainment at Cell C`s offices?
The memo threatens a larger demonstration if Cell C does not respond appropriately. I can`t help but wonder if Copasa would be able to mobilise the kind of numbers that would prompt Cell C and its stakeholders to take proper notice.
For now, Jonathan Newman, advisor to Cell C CEO Talaat Laham, says the memo will become part of the legal process that Cell C and Copasa are engaged in. I suspect the company will ignore Copasa`s ineffectual lobby efforts until the court declares whether it has exceeded the parameters of its licence privileges and obligations.
Related story:
Cell C accused of unfair competition
Share