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The licensing of a third mobile cellular operator is going ahead as planned, says Jay Naidoo, Minister for Posts, Telecommunications and Broadcasting. He was reacting to reports in Business Day and Electronic Mail & Guardian today that stated or implied that the licensing of a third cellular operator has been halted because of the withdrawal of the draft Telecommunications Amendment Bill from the Parliamentary process.

A press release issued yesterday by the Ministry stated that the draft Bill had been withdrawn because stakeholders had raised concerns that they had not been sufficiently consulted and there could be implications for their current operations. The press release also indicated that the withdrawal of the draft Bill from the Parliamentary process would have no impact on the issuing of a third licence for a mobile cellular operator.

"I am committed to seeing a third cellular operator licensed by no later than July this year, and the licensing process is well underway already. The Invitation to Apply for a licence was, in fact, issued on Friday, March 5, a week before the March 12 date stipulated in the Government Gazette of February 26," he says. Applicants have until June 12 to submit their applications to the SA Telecommunications Regulatory Authority (SATRA).

Contrary to the Business Day report saying "Naidoo had come under fire for limiting the number of new licences to one rather than two", the decision to award only one new cellular licence at this time had been widely welcomed by local and international investors and industry players.

"I have just returned from the GMS World Congress where I addressed more than 100 operators, regulators and potential investors, and they were overwhelmingly supportive of our decision to issue only one licence," he says.

Contact Mandy Jean Wood, Phone: 083 653 422 or (021) 462 1632
Email: mandy@doc.org.za

Issued by: Ministry for Posts, Telecommunications and Broadcasting, 11 March 1999

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