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Worldwide Patterns IN REGULATION

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  1. GLOBAL TRENDS IN REGULATION Prof. Ibrahim A. Kadi, Head, ITU Arab Regional Office www.itu.int www.ituarabic.org 1st REGULATORY MEETING FOR THE ARAB REGION Algiers (Algeria), 19 – 21 April 2003

  2. Topics • Telecom Sector Reform • Trends & Regional Benchmarking • Arab Reform Scoreboard • Regional Regulatory Associations • ITU/BDT RRU • Conclusion

  3. Telecom Sector ReformGetting the recipe right Three essential ingredients: • Competition • Private sector participation • Effective regulation

  4. Telecom Reform, WHY? • Liberalized Markets grow faster, innovate, and serve customers better and cheaper • Attract private capital and foreign investment • Mobile and Internet services fast Growth -- Competition is the stimulus • Investor confidence linked to an effective, fair & transparent regulatory framework • Globalization, Growth of international trade in ICT services, and WTO Agreements

  5. More telecom Regulators Number of Countries with separate telecom regulators Source: ITU World Telecommunication Regulatory Database

  6. Regulators by Region -How do we compare? Source: ITU World Telecommunication Regulatory Database

  7. Competition – the Global Scene Percentage of Countries with Competition for Selected Services, 2001 % of countries Source: ITU World Telecommunication Regulatory Database

  8. Competition - Basic Services Basic Services by Region, 2002 % of countries Source: ITU World Telecom. Regulatory Database

  9. Competition - Basic Services Basic Services by Type, World 2002 % of countries Source: ITU World Telecommunication Regulatory Database

  10. Competition in Mobile:Arab States lag behind % of countries Source: ITU World Telecommunication Regulatory Database

  11. Competition in ISP Internet services, 2002 % of Countries Source: ITU World Telecommunication Regulatory Database

  12. Arab Reform Scoreboard 1/3

  13. Arab Reform Scoreboard 2/3

  14. Arab Reform Scoreboard 3/3

  15. Regional Regulatory Associations Worldwide • AFRICA: 1- ARICEA 2- TRASA 3- WATRA • ASIA-PACIFIC: ATRC • AMERICAS: 1- OCUR 2- REGULATEL • EUROPE: - ERG

  16. TRASA’s Vision: « To be a model regulatory association, through the design and implementation of harmonised regulations and policies, to achieve universal service and sustainable communications development in an investor friendly environment »

  17. ARICEA’s Objectives: • "(a) Exchange ideas, views and experiences among members on all aspects relating to facilitating and regulating the development and application of ICTs; • (b) Promote the sustainable development and application of efficient, adequate and cost-effective ICT networks and services in the sub-region; • (c) Coordinate cross-border regulatory issues on ICTs in the sub-region; • (d) Contribute to the achievement of sub-regional and regional integration; • (e) Promote the maximisation of the utilisation of scarce resources in the ICTs sector.”

  18. ITU BDT Regulatory Reform Unit (RRU) • Publications & case studies on key issues • Regulatory Models • International & Regional Regulatory Forums • ITU World Telecom. Regulatory Database • Online library and resource center • The Global Regulators’ Exchange:G-REX • Capacity building for regulators through Centres of Excellence

  19. Reports: Trends in Telecom Reform 2002 Effective Regulation 2000/2001 Interconnection Regulation 1999 Convergence & Regulation 1998 General Trends

  20. Trends in Telecom. Reform 2003: Promoting Universal access to ICTs: Practical tools for regulators • Universal Access/Service Overview • Role of Sector Reform • Procedures to establish a Universal Service Fund, Role of Minimum Subsidy Auction, Consumer tariffs and Interconnection Rate • Public Access, Telecentres • Entrepreneurial Solutions & Role of Regulator

  21. Narrowing the Digital Divide Through: • Regulatory Reform • Incentive Regulation • New Technology • Public Access to ICTs

  22. The Global Regulators’Exchange G-REX Online forum for Regulators & Policy makers to exchange information and experiences through Conferences and the Regulators’ Hotline

  23. G-REX Conferences Virtual WiFi Conference Interconnection Dispute Settlement Conf. Licensing Conf. Special Study Dispute Settlement And ADR G-REX CONFERENCES AND SPECIAL STUDY

  24. Global Symposium for Regulators Geneva, 8-9 Dec. 2003 • Practical tools regulators can use to increase • universal access to ICTs: • Day 1 : Private Sector/Regulator Sessions • Day 2 : Regulators Only Sessions • http://www.itu.int/ITU-D/treg/Events/ • Seminars/2003/GSR/index.html

  25. RRU Web Sitehttp:// www.itu.int/ITU-D/treg/

  26. Challenges for Arab Regulators (1) • True Independence (vs. conflict of Responsibilities) • Transparency and Fairness (Real & Perceived) • Licensing and Competition Policy • Dynamic Management and Licensing of Spectrum • Universal Service and Universal Access • Price Regulation • Consumer Protection • Adequate Financing

  27. Challenges for Arab Regulators (2) • Interconnection Obligations • Local Loop Unbundling • 3G Mobile Spectrum Allocation and Licensing • Broadband Services • Broadcasting Services • Internet and ICT: • Internet Governance and Regulation • Cyber Laws & e-Applications • Security, Digital Signature and PKI • Multilingual Domain Names and ENUM

  28. Conclusion • Telecom Sector Reform – 3 basic ingredients: • Competition • Private sector participation • Independent regulation • Arab World lagging in Reform, esp. in competition • Reform Programs in various parts of the Arab World: • Recent Privatization Moves: Jordan, Saudi Arabia • Privatization without competition: Qatar, UAE • Competition without Regulation: Somalia • Notable Regulators: e.g. Jordan, Bahrain.