Turks And Caicos Liberalizes Telecoms Market

by Amanda Banks, Tax-News.com, London

30 January 2006

The Cable and Wireless monopoly which has shackled the development of so many Caribeean territories has taken a further blow with liberalisation of the market in the Turks and Caicos Islands.

Cable and Wireless has yielded to pressure by giving up the last six years of its monopoly in the Islands, and has signed a new 15-year license agreement under the Telecommunications Ordinance 2004 and the Telecommunications and Frequency Licensing Regulations 2005.

Cable & Wireless put on a brave face, congratulating the government on its liberalized regime, but said it planned to reduce local wireless tariffs by up to 50% and national fixed line rates by up to 60% from 1 March 2006.

Communications Minister, McAllister Hanchell, said that the liberalisation would see more players enter the market and will boost access to communications services.

Under the legislation, there is now a Telecommunications Commission, which says that there must be universal access to basic sustainable telecommunications services at an affordable price to every citizen:

• the telecommunications network must be expanded to reach citizens in all areas of the country;
• every individual must have access to affordable basic telecommunications services at a reasonable distance;
• at the minimum, this will be a telephone with internet access in every home.

Under the Telecommunications Ordinance of 2004, the Commission is responsible for:

• advising the Minister on telecommunications;
• regulating telecommunications in the Islands in accordance with the policy guidelines published in the Gazette from time to time and in accordance with the principle of technological neutrality;
• facilitating, maintaining and promoting effective and sustainable competition in telecommunications;
• setting standards for the quality of telecommunications services to be delivered to the public;
• promoting the interests of consumers and encouraging licensees to operate efficiently, publishing information;
• reports or other documents, carrying out investigations and holding enquiries with respect to any matter in relation to its functions or duties under the Ordinance, and
• giving advice and directions to a licensee with respect to anti-competitive practice or behaviour.

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