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19 September 2008

The Minister of Communications, Dr Ivy Matsepe-Casaburri, after due consideration of the Altech Cellular judgment, has decided to appeal against the judgment delivered on 29 of August 2008 in the High Court.

In addition, the Minister will commence a process to issue a policy direction to Independent Communications Authority of South Africa (Icasa) in terms of Section 3 read with 5(6) of the Electronic Communications Act (ECA), directing the Icasa to issue an invitation to apply for a number of new individual electronic communications network services (ECNS) licences in accordance with the implementation of the managed liberalisation policy.

The Department of Communications will also expedite an amendment of the ECA to remove any ambiguity around managed liberalisation and to make it clear that Value Added Network Service (VANS) licensees are not entitled to Individual-ECNS licenses under license conversion. The judgment in the Altech Autopage Cellular High Court application makes it possible for Value Added Network Service licensees to obtain individual-Electronic Communications Network Service licenses under the ICASA license conversation process.

If VANS licensees are allowed to obtain Individual ECNS licences under licence conversion, government's managed liberalisation policy will be seriously undermined to the detriment of the information and communications technology (ICT) industry.

Notes to editors

The South African telecommunications industry has been and is characterised by progressive and managed liberalisation. Managed liberalisation is the result of a consultative process that first culminated in the White Paper on Telecommunications in 1996. Following the White Paper, the managed liberalisation process was legislated in the Telecommunications Act, 1996.
The Electronic Communications Act, 2005, the successor to the Telecommunications Act, continues with managed liberalisation by requiring approval from the Minister of Communications, through a policy direction issued in terms of section 5(6) of the ECA, before any Individual Electronic Communications Network Service license may be issued by Icasa. It is critical that managed liberalisation as guided by national policy objectives, continues as planned and legislated.
*Section 5 (6) reads: In consideration of the implementation of the managed liberalisation policies, the Authority may only accept and consider applications for Individual Electronic Communications Network Services licences in terms of a policy direction issued by the Minister in terms of Section 3..

Contact:
Joe Makhafola
Tel: 012 427 8010
Cell: 071 290 1735
E-mail joe@doc.gov.za

Issued by: Department of Communications
19 September 2008
Source: Department of Communications (http://www.doc.gov.za)