Telikom, DataCo deal probed

THE Independent Consumer and Competition Commission is concerned about the arrangement between Telikom PNG Limited and PNG DataCo Ltd to share infrastructure which may raise competition issues.
The commission was responding to an article in The National yesterday regarding a memorandum of understanding signed by Telikom and DataCo to make available domestic and international cable capacity to each other on their infrastructure under a normal commercial arrangement.
Commissioner and chief executive Paulus Ain said: “Telikom and DataCo are the only two companies in Papua New Guinea who own fibre optic cables and are also competitors at the wholesale level for the supply of data. As such any arrangements between these two companies, without the approval or authorisation of the ICCC, can give rise to potential competition concerns.
Ain said the commission would ask the respective companies to establish details of the arrangements.
DataCo and Telikom on Thursday agreed to share infrastructure to deliver telecommunication services in the country and abroad.
DataCo managing director Paul Komboi said the two companies would complement each other in terms of coverage and accessibility.
Telikom PNG acting chief executive officer Xavier Victor said the agreement meant that both parties would make available domestic and international cable capacity to each other on their infrastructures under a normal commercial arrangement.
DataCo will provide Telikom capacity on its fiber cable between Madang and Port Moresby via Lae, Goroka, Mt Hagen and Hides.
Telikom will provide DataCo capacity on its cable between Madang and Sydney.