|
Business |
Digicel, Greencom licences valid:
ICCC
By BIBIAN BARRENG
DIGICEL and Greencom were awarded mobile phone licences in March
this year, three months before the Somare Government changed its
telecommunications policy, the Independent Consumer and
Competition Commission said yesterday.
"The change in government policy did not come about until after
the regulatory process for allowing the new entrants to provide
mobile phone services under the old policy was complete," ICCC
Commisioner Thomas Abe said.
"It is the prerogative of the Government to make and change
policies but this is a situation where the Government wanted the
game to be re-played when the full time whistle had already gone."
Mr Abe maintained as a result the licences of both mobile phone
companies were still legal.
He said any attempt by the ICCC to revoke those licences would
appear to be illegal and could expose the Government to damages
claims by Digicel and Greeencom amounting to many hundreds of
million kina.
He also said that the new telecommunications policy was not in
accordance with the country's laws.
Mr Abe said the ICCC as an independent regulator would not
normally enter into public debate, but "falsehood and distortions
which have been made since the launch of Digicel's mobile network
and Pangtel's claim to withdraw the spectrum licence it has issued
to Digicel require the correct situation to be explained".
Mr Abe said the Government had decided in December 2005, after
Telikom had consented in writing, to a reduction of its monopoly
period, to allow ICCC to proceed with a rigorous mobile phone
tender process.
This was done with the assistance of Pangtel and Department of
Treasury with the winning bidders Digicel and Greencom announced
in September 2006, giving them approval to operate new mobile
networks from early this year.
Mr Abe said that during this period the Independent Public
Business Corp (IPBC) and Telikom decided to oppose implementation
of the previous Government policy.
He said Telikom last year did everything it could to prevent
Government policy to allow mobile phone competition with State
Enterprise Minister Arthur Somare trying to prevent ICCC and
Pangtel from giving effect to this policy.
"The ICCC and Pangtel are legally required to implement that
policy, and to continue to do so, unless or until Minister Somare
could persuade his Government colleagues to reverse its existing
policy, and stop mobile competition going ahead, before the
existing policy was implemented."
After the carrier licence was issued to Digicel and Greencom in
March with Pangtel issuing the spectrum licence to Digicel, ICCC
was informed at the end of June by Mr Somare that a decision on
June 21 (during the election period) that the government had
reversed its previous policy.
He then wanted ICCC to revoke the two licences.
ICCC sought legal advice and was advised that the licences issued
to Digicel and Greencom were proper and valid, and could not now
be legally cancelled because of a change in government policy.
 
|
