| WDR e-Brief, Vol. 2, #3 |
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| Tuesday, 13 May 2003 | |
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* Q&A: Are we asking too much from regulatory authorities? Welcome to the third issue of the WDR e-Brief for 2003. WDR e- Brief is an occasional electronic bulletin from the World Dialogue on Regulation for Network Economies (WDR). The e-Brief keeps you informed of new documents and ongoing discussions on our website and features information and comment of interest to the regulatory community. Please forward it to interested colleagues and let them know they can subscribe for free from the WDR website at http://www.regulateonline.org/. There are currently more than 1,200 subscribers. -------------------- -------------------- Q&A: Are we asking too much from regulatory authorities? In each WDR e-Brief we feature a question or comment posted to the Online Dialogue at http://www.regulateonline.org/dialogue/ and ask our research teams to comment. The featured question in this e-Brief arises from the background paper for the 2003 Dialogue, Stimulating Investment in Network Development. Question: Isn’t the expanded focus for regulation outlined in the WDR Background Paper asking far too much from national telecom regulatory authorities (NRAs)? Most have difficulty coping with their existing responsibilities. By attempting to take on additional responsibilities, the NRAs run a high risk of deteriorating performance of existing responsibilities. The reply comes from William Melody, General Manager of WDR. Answer: There is certainly a risk of deteriorating performance if telecom regulation cannot adapt to the rapidly changing circumstances in the ICT sector. But if it doesn’t attempt to adapt, it is guaranteed that its performance will deteriorate. Regulation is already being called on to adapt to the issues of ICT convergence arising from changes in technologies and markets, and the limited supply of the necessary skills to regulate effectively. These issues were examined in the 2002 WDR Report, Next Generation Regulation: ICT Convergence or Multisector Utility. Clearly most NRAs are not prepared to take on the expanded focus for regulation, which increases both the regulatory responsibilities and the magnitude of the skill shortages. It is evident that technologies and markets in the ICT sector are changing much faster than regulation. Although in most countries regulation is doing things to facilitate some sector reforms, it is at the same time providing barriers to others. The prevalent model of industry specific telecom regulation is now almost 20 years old. If regulation is seen as a static, rather than dynamic institution, it will rapidly become obsolete. We have learned from the collapse of the financial markets in the telecom/ICT sector that the overall circumstances of the sector economy have changed dramatically. Telecom regulation cannot ignore this and go merrily about its traditional activities as if nothing had changed. If it does, then its performance will certainly deteriorate and run the risk of becoming a cause of sector problems rather than a contributor to sector development. Until the financial market collapse, regulation was correctly focused on supply-side issues – privatisation, licensing new operators, interconnection, terms of competition, network rollout for universal access, etc. Under conditions of waiting lists and pent-up demand, inherited inefficiency of incumbent operators, new technologies and services (e.g., mobile, VANS, Internet), and multiple bidders for licenses, the regulators’ task has been primarily removing restrictions that prevent potential market participants from supplying services. The drying up of investment in the sector means that a single focus on supply side issues is no longer appropriate. The simple expansion of supply opportunities as the policy and regulatory focus for promoting network development has reached its limit far sooner than originally expected because the financial markets have suddenly and dramatically reduced the supply-side opportunities. A focus only on supply-side issues is not going to accomplish much over the depressed ICT sector business cycle that will continue for some years. Both policy and regulation must turn their attention to the conditions of demand and what regulation can do to stimulate demand as the catalyst for further investment in network development. The Background paper for WDR Dialogue Theme 2003 outlines a framework for examining demand issues within a more holistic context of demand-supply relations in telecom/ICT markets. The challenge of developing operational regulatory standards, practices and activities that will stimulate demand-driven investment is posed as the WDR Dialogue theme for 2003. Regulation must either take up this new challenge, or ignore reality and degenerate into obsolescence. How well regulation adapts to the new market circumstances, and how effective its performance turns out to be, will be influenced in part by the contributions to the WDR Dialogue 2003, the research that it stimulates and the report that is issued. This will require significant contributions from many people. William Melody April 2003 Download the background paper from http://regulateonline.org/2003/dp/dp0301.htm -------------------- -------------------- Join the 2003 Online Dialogue With the release of the background paper for Dialogue 2003, the online forum has also been launched. In his opening posting to the Forum, WDR Managing Director William Melody wrote: The challenge is to turn telecom regulators from being the causes of regulatory risk into being the causes of reductions in investment risks in the telecom/ICT sector. Although different countries will have different priorities, there are common issues and priorities across a great many countries... we want to begin with a focus on the top priority issues that regulators must attend to in order to make a mark in the short term. What are they and specifically what should regulators do?. Comment on the 2003 theme and the questions raised (or not raised) in the Dialogue 2003 forum in WDR's Online Dialogue at http://www.regulateonline.org/dialogue/ . -------------------- -------------------- WDR 2002 Report: Summary available in multiple languages – More requested The final report on the 2002 research theme, ICT Convergence Regulation or Multisector Utility Regulation, is only available in English, but a summary of the report is available in multiple languages. You can download the full report in English or the summary in German, Greek and Italian from the download page at http://regulateonline.org/2002/dp/dp0206.htm More languages are in the works. If you or your organisation can provide translations of the Executive Summary into other languages, please contact Merete Henriksen at This e-mail address is being protected from spam bots, you need JavaScript enabled to view it Translations will be posted on the website and you will be given credit. -------------------- -------------------- WSIS: Access to ICTs for all in Africa At a regional conference in Mauritius, 3-5 April 2003, African communication ministers, joined by some telecom regulators, developed a Declaration on “Access to ICTs for All”. The purpose of the conference was to build on the Declaration of the earlier ministerial conference in Mali, in preparing Africa’s contribution to the World Summit on the Information Society (WSIS). Full WDR story at http://regulateonline.org/news/africaictaccess.htm The Declaration and more information on the conference is at http://www.icta.mu/conf/ -------------------- -------------------- Networking Africa's Future Also on the subject of telecentres, IDRC Canada sponsored a major conference on “Networking Africa’s Future: Lessons of empowerment from communities” at Pilanesberg, South Africa, 13 – 16 April. It focused on disseminating results from its Acacia programme, which has developed experimental telecentres and related activities throughout several African Countries in recent years. Full story at http://regulateonline.org/news/networkafrica.htm -------------------- -------------------- WSIS: WDR helps define "Visions of the Information Society" The second global preparatory meeting for the World Summit on the Information Society was held in Geneva February 17 to 28. As a contribution to the meeting, the ITU commissioned a series of papers aiming to present various perspectives and to examine a number of key themes on the information society. Two WDR/LIRNE.NET associates were involved in the project and the papers are now available on line at the ITU site. Professor Robin Mansell, holder of the Dixons Chair in New Media and the Internet at the media and communications programme at the London School of Economics and Political Science presented a paper entitled The information society: A developed world perspective examining the information society from a developed country perspective. Bruce Girard, who directs WDR's internet strategy, was co- author, with Séan Ó Siochrú, of Information wants to be free, which examines conflicts between copyright and the public sphere. Other papers in the series dealt with network security, accessible and affordable ICTs, education and human capital, and the information society from a developing world perspective. Visions of the Information Society: An industrialized world perspective, by Robin Mansell is at: http://www.itu.int/osg/spu/visions/developed/ Visions of the Information Society: Information wants to be free, by Seán Ó Siochrú and Bruce Girard is at http://www.itu.int/osg/spu/visions/free/ All six papers and more information about the Visions project is available at http://www.itu.int/visions/ -------------------- -------------------- Tele-centres and Universal Access WDR researcher Morten Falch and co-author Amos Anyimadu have just published a paper on telecentres in Africa. "Tele-centres as a way of achieving universal access - the case of Ghana" appeared in Telecommunications Policy Vol. 27, Issues 1&2 (2003), pages 21-39. The issue of Telecommunications Policy presents recent research regarding the digital divide and the development of a modern communications infrastructure in Africa. Telecommunications Policy website http://www.elsevier.com/inca/publications/store/3/0/4/7/1/ -------------------- -------------------- LINK Centre Expands Research Focus The Link Centre of Wits University in South Africa, one of LIRNE.NET's four member institutions, is expanding its programme to include broader ICT information infrastructure and knowledge economy issues in addition to its established focus on telecom policy and regulation. Three new priority themes are being added: ICT governance, ICT driven institutional restructuring and human capital. Masters and PhD programmes are also being added. More information at http://regulateonline.org/news/linkresearch.htm -------------------- -------------------- Economics of Infrastructures 6th International Conference Infrastructure Liberalisation - Speed up or step back?: Preparing for the next phase of telecom and energy reform is the theme of the 6th international conference of Delft University of Technology's Economics of Infrastructures group in cooperation with the Benelux Association of Energy Economists. The conference will take place in Delft, the Netherlands, on May 22 and 23, 2003. For more information, consult the conference website at http://www.ei.tbm.tudelft.nl/ei6conference/complete_ei6conference.htm -------------------- -------------------- WDR gets Hits The regulatory community is increasingly aware of WDR and the valuable resources it offers. In March WDR surpassed its own record, receiving more than 50,000 hits from thousands of visitors. The 2002 final report has been downloaded more than 400 times and the background paper for Dialogue 2003 has been downloaded more than 200 times. Thousands of copies of the various WDR research papers have been accessed over the website's brief history. The e-Brief now has more than 1,200 subscribers. -------------------- -------------------- Questions and support If you have questions about WDR, send them to This e-mail address is being protected from spam bots, you need JavaScript enabled to view it For technical matters, contact us at This e-mail address is being protected from spam bots, you need JavaScript enabled to view it or see the Frequently Asked Questions section in the Online Dialogue http://www.regulateonline.org/dialogue/ -------------------- -------------------- Subscribing and Unsubscribing The WDR e-Brief is a monthly bulletin from the World Dialogue on Regulation for Network Economies - http://www.regulateonline.org. Subscribe from the site or by sending a message to This e-mail address is being protected from spam bots, you need JavaScript enabled to view it with the subject wdr e-brief list . To unsubscribe, send a message to This e-mail address is being protected from spam bots, you need JavaScript enabled to view it -------------------- -------------------- Bruce Girard This e-mail address is being protected from spam bots, you need JavaScript enabled to view it edits the e-Brief with assistance from Divakar Goswami. Archives: http://www.comunica.org/w-agora/index.php?bn=wdr_ebrief -------------------- -------------------- The purpose of the World Dialogue on Regulation is to critically examine ideas and evidence. Unless otherwise indicated, the views expressed in content appearing on the WDR website, the Online Dialogue and the WDR e-Brief are the personal views of the individuals submitting them. Content does not necessarily reflect the views of LIRNE.NET, infoDev, the World Bank, the International Telecommunication Union, the International Development Reseach Centre or any other organisation associated with the World Dialogue on Regulation. -------------------- -------------------- World Dialogue on Regulation c/o LIRNE.NET Technical University of Denmark Center for Tele-Information, Building 371 2800 Kgs. Lyngby, DENMARK Email: This e-mail address is being protected from spam bots, you need JavaScript enabled to view it Phone: +45 4587 1577 - Fax: +45 4596 3171 http://www.regulateonline.org |