

The notion of SA's already-laden communications watchdog adding the industry of e-commerce to its portfolio has raised questions, firstly around the need for regulation in this locally burgeoning sector; and secondly, around the authority's capacity to cope.
This comes as the Department of Communications (DOC) has suggested to Parliament's Portfolio Committee on Communications that the Independent Communications Authority of SA (ICASA) regulate the country's e-commerce industry.
The proposal was put forth at hearings on the Electronic Communications and ICASA Amendment Bills on Friday, where over 20 stakeholders had their say. The committee is scheduled to deliberate on received submissions in Parliament before the end of October.
Added strain
The Democratic Alliance's (DA's) shadow minister of communications, Marian Shinn, says there is no need for ICASA to handle e-commerce, but that the body should sort out its fundamental issues and focus on getting its core business right.
ICASA, which is an independent entity as enshrined in Chapter Nine of SA's Constitution, has been heavy burdened recently as it is faced with a lack of capacity to carry out its mandate, defiant licensees and an unsympathetic treasury.
E-commerce, if dealt to the authority as another sector it must regulate, would represent great responsibility. According to World Wide Worx, e-commerce in SA is expected to account for R4.2 billion this year. Online trade, says the company's MD, Arthur Goldstuck, is expected to surge 25% in value this year.
Goldstuck says adding e-commerce to ICASA's portfolio would be a great strain. "They would have to create an entirely new body of expertise, because at the moment they have none. It would almost be like creating another ICASA - and the question is, what exactly would it regulate?"
Blurred line
He says he cannot see how ICASA could play a role in e-commerce. "It's not like the telecoms industry where it can dictate minimum rates. There are many stages in the e-commerce process and ICASA cannot dictate things like delivery time and cost."
Constructing a role for ICASA in e-commerce, says Goldstuck, would duplicate the work done by entities like the National Consumer Commission and Department of Trade and Industry.
Goldstuck says the DOC has to be careful it does not confuse commerce with communication. "The only role the body has a commerce role is with the Post Bank - but apart from that, there are other bodies that better watch over commerce."
Dominic Cull, owner of Ellipsis Regulatory Solutions, says the fundamental question is, "does SA need more regulation?"
He questions if the e-commerce sector is held back by anything other than a lack of connectivity and education around how to transact online.
The suggestion of ICASA taking the e-commerce sector under its wing is being considered by the ICT Policy Review Panel, notes Cull, who says it will have to take a hard look at ICASA's part in certain sectors.
"I am not convinced e-commerce needs to be a separate area of focus. It is not something we have to cultivate - it will develop and grow as connectivity does."
The Portfolio Committee on Communications says, while there was a general consensus among stakeholders on issues arising last week, it is of the view that "as a result of the constitutional powers enjoyed by Parliament, nothing stops the committee from dealing with those issues which it was proposed be deferred to the ICT Policy Review Panel".
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