MINISTRY OF WORKS, TRANSPORT AND COMMUNICATION
network capacity is used, the easier it becomes to justify and fund further
expansion of the network. This must be considered in relation to the
Performance Contract to be entered into between Government and BTC
in which BTC's responsibility for operating, expanding and maintaining
the network should be stipulated. BTC should not be relegated to the role
of network operator, but should also on competitive terms be a service
provider.
First of all it is in Government's interest to make sure that unprofitable
areas are served, where no competition can reasonably be expected.
Secondly, BTC must have a basis for its operations, and thus a
geographical exclusivity area will have to be agreed for a certain period
of time in the Performance Contract. This can be expressed in an opposite
manner, BTC has the responsibility of operating the network and provide
services in all areas except those specifically enumerated, in which areas
licences will be granted for provision of telecommunications services on
the basis of a competitive tendering system. Not more than two licences
should be granted in each such area.
8.3.10 In addition to BTC, one more licence for providing
international services may be granted by the Regulatory Authority after
an open application procedure. The timing of granting the second licence
needs to be decided by Government.
Justification. An agreed agenda for market reforms will provide the
market actors with a stable and predictable environment for their business
decisions thus facilitating participation of the private sector.
Implications. During the policy formulation process expectations have
been raised for rapid and far reaching reforms. A prolonged
implementation process might therefore dissipate public support and the
momentum gained could be lost. However, it is important to get well
functioning policies and regulatory arrangements in place before
competition is introduced to avoid a regulatory vacuum.
The time table for liberalisation of the industry will be dependent on the
pace at which the regulatory capacity can be developed. It is envisaged
that the capacity could be developed as follows and thus become the time
frame for the liberalisation of the industry. The time table is based on the
assumptions that members of the Board of Directors of the Regulatory
Authority are nominated and key personnel is recruited within three
months of the legal establishment of the Regulatory Authority and that
funds are available for its operations.
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TELECOMMUNICATIONS POLICY FOR BOTSWANA