Advantages and disadvantages of ICASA's 2011 spectrum licensing models
Date
2015-03-06
Authors
Kedama, Yolisa
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Abstract
The challenges of the broadband divide between rural and urban areas,
and the demand for access spectrum exceeding the available supply,
require regulators to rethink their approaches to spectrum regulation.
Traditional spectrum management mechanisms resulted in artificial
spectrum scarcity and hoarding whilst operators ignored their universal
service obligations. This research report uses the regulatory impact
assessment methodology to investigate what the proposed market-based
spectrum licensing models of wholesale open access and managed
spectrum park mean and the impact such regulatory approaches would
have on the communications industry and technology progression.
The findings of this research indicate that the wholesale open access and
managed park are new concepts and were not well defined thus as a
result are not well understood within the industry. The different
stakeholders have different interpretations that suit and benefit their own
organisations. The regulator does not have spectrum strategy that acts as
a guide in achieving a digital country. There is no guiding document that
promotes compliance for the relevant stakeholders to roll out broadband
networks for next generation e-services.
The „artificial‟ interdependence between policy-maker and regulator‟s
mandates has created a vacuum where all the industry players manipulate
both institutions in order to advance their commercial business interests.
Yet, regulatory failure has negative consequences for technology
progression. ICASA‟s lack of regulatory impact assessment (RIA) studies
worsens the situation as the 2011 proposed spectrum licensing models
were never investigated before being introduced.
The conclusions of this research indicate that for greater broadband
inclusivity, a hybrid of traditional spectrum management approaches with
market-based models should be employed. The regulator needs to make
RIA a permanent process in decision making to minimise possibilities of
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litigation and regulatory capture. This will make it easier to implement new
regulations and make decisions from an informed position. Incumbents
have existing infrastructure, capital and technical expertise and it is up to
the regulator to decide whether they can be used as enablers or
considered obstacles for faster broadband rollout.
Description
Thesis (M.M. (ICT Policy and Regulation))--University of the Witwatersrand, Faculty of Commerce, Law and Management, Graduate School of Public and Development Management, 2014.