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24 Oct. 2005

ICASA Amandment Bill [B32 –2005] Presentation to Parliamentary Portfolio Committee on Communications by NCRF. 24 Oct. 2005. General Comments “ If it ain’t broke, why fix it? ” “player must play, regulator must regulate, policy makers direct policy"

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24 Oct. 2005

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  1. ICASA Amandment Bill [B32 –2005]Presentation to Parliamentary Portfolio Committee on Communicationsby NCRF 24 Oct. 2005

  2. General Comments “If it ain’t broke, why fix it?” “player must play, regulator must regulate, policy makers direct policy" “The removal to the independence is the death of the communications sector in the Republic ”

  3. If it ain’t broke, why fix it? • This bill seems to reduce the unique nature and opportunity provided to us as public within our constitution of Republic . • The written submissionborrowed a phrase that I once heard being used by the Minister of Communication

  4. Regulation Regarding • Promote the compliance in a developmental manner within public interest far from political and commercial interference. • Develop tools to protect national and regional identity, culture and character of communication industry sector. • Protect and promote the integrity of viability on equitable and non-discriminatory communication services. • Promote compliance in the manner that will be empowering and not killing. • NCRF believe that the inspector must be part of the complaint and compliance committee report to the head of the unit and be appointed the by CEO of the Authority.

  5. Policy Approach • interference of the Ministry can lead:- • Collision • Delay in :- • Digital Migration • implementation convergence • Reform on telecommunication sector • Spectrum Reforms • WSIS implementation

  6. Specification of the bill • Recognize • International related treaties on communication • Expand powers and functions of ICASA • Acknowledge • The work done by:- • IBA Act, • Broadcasting Act, • Broadcasting Amendment Act, • Sentech Act, • Telecommunications Act • Other regulations

  7. Independence of broadcasting and communication market • The IBA Act provides for • independently owned newspaperGroups • independently owned and controlled community broadcasting and private broadcasting sector • independently ownedDSTV (Digital Satellite Television) • NCRF view this as an unintendedconsequence

  8. Why do we need and independent Regulator? • Abuse of market power and political influence • Opened up for competition • The barriers to entry • New layer of nature of capital investment required for the opening up of the 2nd economy to participate in the Information Base Economy • Nature incumbency advantages such as customer loyalty

  9. Why do we need an effective Independent Regulator? • Political will Ghana Study by TIPS • political will can undermine the capabilities of the regulatory agency • Expectation during the Regulatory Reforms • Efficiency in service provision, QoS • private sector will lead the expansion and improvement of services nation wide and establishment of R & D in ICT • transparent regulatory framework (Republic of Ghana, investor presentation 1996) • the need for an effective regulator was acknowledged very early in the process of regulatory reform, signalling a good starting process.

  10. Findings Ghana • Government failed to act according to its own state objectives, • as it delayed appointment of the board that governs the regulatory agency. • The National Communication Authority (NCA) • board not in place, • continued absence of board of directors thus puts a lot of pressure on the honourable Minister who has to combine a heavily schedule with the direction and control of the affairs of the NCA. • The affairs of the regulatory agency in Ghana ended up under the control of the Minister. • The debacle demonstrates the impact that politicians have on the future success of the regulatory Agencies

  11. The NCA has been unable to carry our some of the basic functions such as monitoring operators and releasing draft regulations and conducting public interest timeously; Absence of a governing board. • Provides the Regulator negatively in the eyes of the public; • Further undermining effectiveness. • Some argue that the previous government had and interest in keeping the regulatory agency weak. Recommendation • the creation of a successful regulatory framework and effective regulator requires political will from the cabinet and politicians.

  12. Amendment of section 5 of act 13 of 2000 • Again the NCRF would like to borrow from the phrase used being: If it ain’t broke, why fix it? • NCRF does not support this amendment and propose that section 5 of act 13 of 2000 be left as is. • The addition of sub section 5(b) needs to be drafted in this regard and the reflection of section (2) (a)Act 13 of 2000 must be retained as is. Amendment of section 6 of act 13 of 2000 as amended by section 36 of Act 12 of 2004 • Insertion of section 6(a) needs to be redrafted and NCRF propose that ICASA as the authority should conform with from Labour Relations Act (LRA) The Performance of the Council • should be established within the ambit of the labour relations act King II Commission report set as the yard stick towards the performance of the councillors. • Corporate Governance Code of good practice. • evaluate the performance of councillors.

  13. Amendment of section 7 of Act 13 of 2000 • NCRF still has the confidence in the current status of the • Parliamentary portfolio on communication • Presidential involvement • propose that the section 3 be left AS IS • Amendment of section 9 of Act 13 of 2000 • NCRF propose that this section be left as is in the current Act 13 of 2000 without removing national assembly to direct such matters. • Amendment of section 14 of Act 13 of 2000 • NCRF still believes that this section should be redrafted and in doing so honourable members must look at King Commission Report so as to align this section with corporate governance and good practice.

  14. Amendment of section 14 Act 2000 • The establishment of complaints and compliance committee is a step in the right direction but NCRF would like to bring to the attention of honourable members that we must not be seen creating the so called “communication scorpions’ but establish unit when viewed collectively be able to: -

  15. Concluding Remarks • An audit is needed to ensure that critical provisions of the Telecommunications Act and the IBA Act are not lost in the repeal and consolidation process • We beleave that ICASA Act Amendment Bill will be passed with the condition to protect the independnce of ICASA and current status Quo

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