policy decisions for information and communication technology (ICT)
sector
25 May 2006
The Minister of Communications, Dr Ivy Matsepe-Casaburri, today announced a
number of key policy decisions to fast track further liberalisation of the ICT
sector. These policy decisions will ensure that there is competition in the
electronic communications networks and electronic communication services. This
will ultimately lead to the lowering of costs to communicate. The announcements
were made during her departmentâs budget vote in Cape Town, on Thursday 25 May
2006.
In her speech, the Minister outlined the achievements made by her department
since her last budget speech and expanded on the work for the next financial
year to achieve its strategic objectives.
The key decisions announced are with regard to Sentech, Independent
Communications Authority of South Africa(ICASA), and New Partnership for
Africa's Development(NEPAD) East African Submarine Cable System, Local Loop
Unbundling, establishment of the Broadband Advisory Council and the deployment
of cost-effective technologies.
As Sentech is a strategic national asset, which has important infrastructure
and expertise, the Minister announced two policy decisions with respect to
Sentech:
* First, Sentech will form the core of wireless broadband infrastructure
network that the country will use to advance its socio-economic development
goals, and
* Second, Sentechâs wireless broadband infrastructure network will be
expanded beyond the current footprint and enabled to carry voice to the end
user in the provision of this service, thus giving full effect to its
multimedia licence.
In the governmentâs quest to lower the cost of communication and to increase
access, the department will invest in wireless broadband networks and will
strengthen the policy framework that encourages more players to consider
investing in wireless broadband.
Access to international communications networks accounts for a considerable
amount of the cost to communicate. There are two policy decisions the Minister
made.
The first relates to the speed with which the Electronic Communications Act
(ECA) will be implemented. The second is about the guiding principles for South
Africaâs participation in the NEPAD-led broadband network project.
In re-affirming South Africaâs commitment to support the development of the
African continent the Minister announced that the country will be part of the
NEPAD-led initiative to build an affordable broadband network. 23 countries in
southern and eastern Africa are working together to build a terrestrial and
sub-marine broadband network for our region.
The creation of an enabling policy and regulatory environment is important
for increasing competition in the ICT sector thus reducing the cost to
communicate. This is essential to increasing the competitiveness of South
Africaâs economy. The Minister said in her speech that it was decided to issue
special policy directives aimed at accelerating the reduction of these
costs.
The Electronic Communication Act 2005 encourages affordable open access,
lower prices and wider choice of access to international ICT infrastructure.
The Minister intends to issue a policy directive to the Authority regarding the
time frame within which it will enable all licences of electronic
communications networks to interconnect with Telkomâs last mile network.
To give effect to this decision, the Minister announced the appointment of
Dr Tshilidzi Marwala to chair the Local Loop Unbundling Committee (LLUC). The
task of this committee will be to oversee the development and the
implementation of our local loop unbundling process and to make appropriate
recommendations
Small Medium Micro-Enterprises (SMME) have proven to be the biggest
contributors to economic participation globally. The department decided to
prioritise the development of SMME ICT support to improve the effectiveness and
efficiency of business operations of SMMEs.
The Department of Communications recognises its responsibilities in this
emerging era and is committed to positioning South Africa and its people in a
proactive way to meet the challenges of a globalising world.
Enquiries:
Samantha Bloem
Cell: 082 339 8578
Albi Modise:
Cell: 083 490 2871
Issued by: Department of Communications
25 May 2006
