ICT Regulatory Tool Kit

ICT Regulatory Tool Kit

Information Aksesability : Socio Readiness -- edukasi
Affordability / keterjangkauan ( tarif Interkoneksi) Infrastructure Availability ICT Strategi : 3 Fondasi Dasar Availability Affordability Quality Customise Services Layanan yang spesifik Connectivity Transaction Collaborative Inovation Socio Economic Transformation Menteri KOMINFO

Module Regulating the Telecommunication Sector
Competition and Price Regulation Authorization of Telecommunciations/ICT Service Universal Access and Service Radio Spectrum Management Legal & Institutional Framework New Technologies and Impact on Regulation

POINT PENJELASAN Radio regulation ( inti dalamnya ) meliputi :
Terminologi dan definisi dari diantaranya : Fix service Mobile service Broadcasting service Intersatellite service Astronomy servive Radio Astronomy Dalam radio regulations ada : alokasi frekuensi frekuensi allowment frekuensi assigment Juga akan ada yang namanya prosedur koordinasi dalam hal pemasangan BTS atau pemasangan satelit

POINT PENJELASAN Lanjutan 1 Radio Regulation
Bagian ke2 dalam regulasi, yaitu Regulasi ICT (Information Communication Technology), dapat di lihat pada : ada 7 modul dalam ictregulationtoolkit, yang harus dipelajari dalam memahami mengenai regulasi dan hukum telekomunikasi yaitu : Bagaimana kita membuat regulasi di sektor telekomunikasi Bagaimana regulasi kompetisi dengan regulasi harga Bagaimana autorisasi untuk layanan atau service ICT atau telekomunikasi Universal access dan service, mengapa? Karena adanya liberalisasi, dengan di liberalisasi tidak mungkin suatu perusahaan tidak mungkin menjadi agen pembangunan, oleh sebab itu agen pembangunan diambil alih oleh pemerintah yaitu dengan menetapkan yang namanya Universal Access, jadi semua perusahaan telekomunikasi harus membayar yang namanya USO (Universal Service Obligations) kepada pemerintah yang saat ini nilainya 1,25% dari pendapatan operator ( untuk nantinya pemerintah membangun seluruh daerah-daerah yang tidak disentuh oleh provider telekomunikasi ), makanya adanya USO yang harus diatur oleh regulator. Radio Spectrum Management Karena frekuensi juga harus diatur, karena ada 3 Sumber Daya Alam yang terbatas di dalam bidang telekomunikasi, yakni : Frekuensi Numbering Orbit Satelit Karenanya hal ini yang harus di atur oleh regulatornya

POINT PENJELASAN Lanjutan 2 5. Legal dan Institution framework
Bagaimana kerangka legalnya dan bagaimana kerangka institusinya, di Indonesia sekarang ada BRTI yang merupakan salah satunya lahir karena adanya liberalisasi 6. New Technology dan impactnya terhadap regulasi. Hal lain yang harus dipelajari diantaranya : Undang-undang telekomunikasi nomor 36 tahun 1999 tentang penyelenggaraan telekomunikasi Undang-undang nomor 32 tahun 2004 tentang kode etik penyiaran Undang-undang nomor 11 tahun 2008 tentang ITE ( Informasi dan Transaksi Elektronik) Pada tahun 2010 nantinya ketiga undang-undang ini akan melebur menjadi satu menjadi undang-undang konvergensi, yang sebelumnya kita harus tahu dulu mana undang-undang yang akan dilebur dan mau kemana arah dari undang-undang tersebut.

Module 1 Regulating the Telecommunication Sector : Overview
Context 1.1 New Vocabulary, New Economy, New Regulation 1.2 ICT’s and the Transformational Opportunity and Risks 1.3 Disruptive Technologies 1.4 How did we get here? 1.5 Regulatory Sequencing The Regulator 2.1 Rationale for an Effective and Independence Regulator 2.2 What is “Independence” and How is it Fostered? 2.3 Accountability , Transparancy, and Predictability 2.4 What is the Role of Regulators? 2.5 Convergence and Regulators Authorization and Competition 3.1 Authorization 3.2 Competition Interconnection Universal Access Radio Spectrum New Technologies and their impact on regulations

POINT PENJELASAN Regulasi pada sektor telekomunikasi Context
1.1. dengan adanya regulasi ini ternyata vocabulary /dictionary atau kamus ICT bertambah (dapat dilihat nantinya hal apa saja yang bertambah yang termasuk dalam new vocabulary) kemudian new economi, mengapa terjadi new economi? contohnya dahulu bayar setiap transaksi menggunakan uang nantinya bayar karcis sudah menggunakan handphone atau credit card. New Rregulation New Economi jadi nanti ada yang namanya transaksi elektronik, beli apapun sudah tidak menggunakan uang, dahulu beli apapun dengan uang ada yang disebut dengan uang kartel, lalu perkembangannya ada yang namanya uang plastik, sekarang uang elektronik, dan inilah yang disebut dengan perkembangan new economi. kalau di negara KOREA saat ini bukan lagi MENKOMINFO tetapi sudah adanya Menteri New Economi, kalau di Jepang ada Ministry of New Economi tetapi tidak tahu apakah ada juga Menteri Economi yang berperan menangani ICT. 1.2. ICT’s and The Transformational Oppurtunity and Risks 1.3. Disruptive Technologies Apabila ada teknologi yang baru maka teknologi yang lama mengalami kerugian, contohnya : POTS atau PSTN , dengan masuknya VOip maka akan terjadi disruptive, pendapatannya akan digerus oleh Voip. Jika katakanlah sebuah perusahaan TELKOM menerapkan VOip maka TELKOM tersebut harus mengorbankan POTSnya. Contoh lainnya WIMAX, dengan adanya WIMAX maka 3G akan tergerus pendapatannya.

POINT PENJELASAN Lanjutan 2 Regulasi pada sektor telekomunikasi
2. Regulator Regulator harusnya seperti apa? 3. Bagaimana memberikan autorisasi dan kompetisi 4. Interkoneksi sangat penting dalam era liberaisasi seperti sekaranga ini. Contoh esia jika ditelpon dari telpon Telkom tidak dapat dihubungi (suatu ketika didaerah Cibitung) permasalahannya karena interkoneksinya tidak jalan, artinya jika ada sebuah perusahaan baru tetapi interkoneksinya tidak diberikan oleh inkamben sudah pasti perusahaannya akan mati., karena itu perlu diatur oleh regulator. 5. Universal Access 6. Radio Spektrum 7. New Technology

Module 2 Competition and Price Regulation
Overview : Putting ICT Regulation in Context Key Development in the ICT Sector 1.2 Trends in ICT Regulation 2. Competition Policy and the ICT Sector 2.5 Common Forms of Anti Competitive Conduct Abuse of Dominace Refusal to supply Vertical Price Squeeze Cross Subsidization Misuse of Information Customer Lock In Exclusionary or Predatory Pricing Tying and Bundling 2.6 Remedies for Anti Competitive Conduct Remedies for Abuse Dominance Remedies for Refusal to Supply and Price Squeezes Remdies for Cross subsidization Remedies for Misuse of Information Remedies for Customer Lock-In Remedies for Predatory Pricing Remedies for Tying and Bundling 2.7 Mergers, Acquisitions, and Joint Ventures Horizontal Mergers Vertical Mergers Joint Ventures 2. Competition Policy and the ICT Sector Forms of Competition Perfect Competition Effective Competition Market Contestability Sustainable competition Why Focus on Competition ? Benchmarking Competition by Sector Comparison Table : Competition by Sector Region Competition Policy and Regulation Competition Policy Regulation Ex Ante and Ex Post Regulation Advantages and Disadvantages of Ex Ante versus Ex Post Regulation REgulatory Forbearance Key Concept in Competition Policy Market and Market Definition Market Power Barriers to Entry Essential facilities

3.1 Overview of Interconnection What is Interconnection Why Interconnection is important Why Regulate Interconnection? 3.2 Key Concept Form of Interconnection Unbundling Asymetric Interconnection Regulation Issues Dealt with Interconnection Agreement Setting Interconnection Prices Pricing Principles Long-Run Incremental Cost Modelling Commonly Used Cost Model Benchmarking Interconnection Rates Mobile Interconnection Form of Mobile Interconnection Mobile Termination Rate Retention for Fixed_mobile Calls Modelling Mobile Network Costs Mobile roaming Social Issues and Universal Services Challenges and Opportnities for Developing Countries Infrastructure Challenges Transparancy and Acces to Information Regulating State-Owned Operators Free Trade Negotiation Dispute Resolution 3.6 Cross Border Interconnection The Accounting Rate System Regional Interconnection Clearing Houses

4 New Paradigms: Voice Over IP and IXPS 4.1 About the Internet Overview of the Internet The Seven LAyers of Internet Interconnection Evolution of the Internet Current Internet MArket Developments 4.2 Key Concept Types of VoIP Comparison of VoIP and Conventional Telephony Protocol that support VoIP Arbitrage Opportunities in the ICT Sector Common Arbitrage Strategies VoIP and Regulation Implication of VoIP for Regulators Trend in VoIP Regulation Differential Regulation of VoIP and Conventional Telephony Interconnection Pricing for VoIP A Comparison of Telecommunciatio and Internet Cost Recovery Model for Internet Interconnection Implications of VoIP for Interconnection Pricing Pricing Mechanisms for VoIP Interconnection Criteria fora New Intercoection Regime 4.6 VoIP Over Wireless Network 4.7 Benchmarking Rates for Network Access 4.8. Internet Exchange Points The Role of Internet Exchange Points Supporting IXPs in Developing Countries Internet Exchange Points in Africa

5 Regulating Prices 5.1 Why Regulate Prices? 5.2 Economic and Accounting Measures of Cost 5.3 Useful Economic Concepts Economic Efficiency and Pricing Economies of Scale and Scope Single- and Multiple-Service Firms 5.4 Pricing Principles for the ICT Sector 5.5 Setting the Level and Structure of Prices Fixed and Variable Costs and Price Setting Determining Mark-Ups over TSLRIC 5.6 Tariff Rebalancing 5.7 International Benchmarking of Prices 5.8 Rate of Return Regulation 5.9 Incentive Regulation 5.10 Rate of Return Regulation versus Price Caps 5.11 Implementing Price Caps Price Cap Baskets Assessing Price Variations Calculating the Productivity Factor Service Quality Factors Exogenous Cost Factors 5.12 Towards a Double Price Cap 5.13 Price Regulation and Multiple Play Offerings Competition and Pricing: Index Practice Notes on Competition and Price Regulation Reference Documents on Competition and Price Regulation

Module 3. Authorization of Telecommunication/ICT Services
1 Overview of ICT Authorization 1.1 Introduction to Licensing & Authorization Authorization Terminology ITU Trends in Telecommunication Reform 1.2 Authorization Trends More on Authorization Trends More on Authorization Trends: Recent Developments 1.3 Authorization Objectives and Policies Common Authorization Objectives 1.4 International Trade Rules Key GATS Authorization Obligations Specific WTO Telecom Sector Commitments WTO Regulation Reference Paper: Key Authorization Rules 1.5 Who Authorizes Telecommunications Services? Who Authorizes Telecom Services? 1.6 Types of Authorization Regimes Main Types of Authorization Regimes 1.7 The Legal Framework for Authorization Administrative Authorizations, Agreements and Concessions 1.8 Developing Market Entry Policies Defining Service Areas General Authorizations and Open Entry Policies 2.1 Introduction 2.2 Advantages of General Authorizations and Open Entry Policies 2.2.1 Services Often Subject to General Authorizations or Open Entry Policies 2.3 Issuing General Authorizations Transitioning to General Authorization Regimes Conditions of General Authorizations 2.4 Open Entry Notification Procedures 2.5 The EU Authorization Framework The EU Regulatory Framework EU Authorisation and Framework Directives: Authorization Requirements

POINT PENJELASAN Modul 3
Authorization of Telecommunication/ICT Services Ada 2 hal yang penting dan saling terkait dalam otorisasi. Otorisasi adalah pemberian lisensi sedangkan kompetisi harus dijaga, co :/ Indosat dengan Telkomsel jika dimiliki satu pemilik harga bisa ditentukan oleh pemilik tersebut hingga tidak ada kompetisi harga. Jika kita menjadi regolator bagaimana cara menjaga kompetisi ? Dengan kasus-kasus tertentu bagi perusahaan telekomunikasi yang hampir mengalami pailit atau kebangkrutan adalah kita bisa tetap support perusahaan tersebut mencari dana untuk perpanjangan usahanya, kalaupun sampai terjadi kebangkrutan baru kita akan melakukan tindakan pengambilan alih izin frekuensinya agar bisa kita tawarkan atau tenderkan kembali menjadi frekuensi baru ( belum ada pemilik ). Contoh lain : kasus menara bersama Regulatory Impact Analysis (RIA) digunakan untuk membuat kebijakan dalam bidang telekomunikasi. Saat ini kita melihat banyaknya menara yang dibangun berdekatan, dari sinilah muncul kebijakan pemerintah membangun kepemilikan menara secara bersama. Dilihat dari hirarkinya undang-undang, UUD adalah yang tertinggi baru UU ( (pemerintah pusat & pemerintah daerah) setelahnya baru Peraturan Mentri (PerMen). Apakah konsep menara bersama melanggar kompetisi? Konsep utamanya adalah efisiensi, harga jadi murah karena menaranya satu tidak perlu dibangun oleh setiap perusahaan telekomunikasi. KPPU ( Komisi Pengawasan Persainagan Usaha ) untuk kasus ini bertanya : 1. Kepemilikan menara tersebut, milik siapa? Tidak ada masalah 2. Ada vertikal pricing atau monopoli usaha? tidak ada 3. Waktu tarif, bagaimana mengaturnya? tidak di kompetisikan tarifnya sehingga BTS dapat memasang tarif seenak BTS.

POINT PENJELASAN Lanjutan 1 Modul 3
Authorization of Telecommunication/ICT Services Saran KPPU menara bersama tersebut karena bukan monopoli hanya hak eksklusif jadi yang perlu diatur atau diregulasikan adalah masalah tarifnyasaja. Kasus ini sama dengan kasus penggunaan spektrum frekuensi, jika kita telah memiliki frekuensi berarti menjadi hak eksklusif kita dengan aturan-aturan didalamnya. Di KPPU sekarang ini belum ada peraturan akusisi dan merger sehingga dua masalah tersebut belum bisa diatasi di negara kita (saat ini baru mengangkat direktur bidang merger dan akusisi di KPPU). Contoh untuk kasus ini jika google dan yahoo dimiliki oleh satu kepemilikan, akan terjadi kehancuran di bidang search engine, sehingga di Amerika untuk hal tersebut tidak diperbolehkan. Tugas regulator dalam hal kompetisi lainnya adalah mengawal agar tidak terjadi monopoli atau duapoli. Untuk kompetisi persaingan usaha sebaiknya paling sedikit 3 paling banyak 5 agar tdiak terjadi monopoli atau duapoli atau agar tidak terlalu banyak kompetisi persaingan usaha tersebut, contohnya perusahaan ISP internet saat ini di Indonesia sebanyak 150 tetapi yang aktif hanya sekitar 40 perusahaan. Mengapa interkoneksi perlu di regulasi? Menghubungkan atau menginterkoneksi jaringan untuk menukarkan trafik merupakan situasi supply input, dimana operator baik dia berkompetisi dia juga harus bekerjasama, apabila kita jadi operator, berkompetisi apakah kita akan membantu kompetitor? Di Jepang mereka berkompetisi dan bekerjasama makanya interkoneksi di jepang antar perusahaan telekomunikasi berkembang sangat baik, hal lainnya adalah jika kita berkompetisi sekaligus bekerjasama dengan baik akan sama menguntungkan antara pemilik trafik keduanya memiliki pemasukan, jadi kunci dari interkoneksi adalah competition dan cooperation.

Authorization of Telecommunication/ICT Services Dalam regulasi pada kontek interkoneksi ada UU, PERDA, PERMEN, dan ada Sanksi berupa : Pidana, Perdata, Administrasi, dan sanksi Moral, untuk Sanksi Pidana dan Perdata hukuman yang dikenakan pada badan dan hanya boleh diatur dalam UU atau PERDA, bisa Kurungan Penjara atau Denda atau keduanya, sedangkan PERMEN hanya berupa administrasi, administrasi berupa izin, kuasa, konversi, sedangkan sanksinya berupa pencabutan izin atau peneguran, jadi kalau PERMEN tidak dapat menjatuhkan hukuman badan atau denda. Dalam hal penyelesaian perselisihan kita akan membagi menjadi : perselisihan masalah interkoneksi, perselisih antara provider dan customernya, perselisihan forent investment dan trade, perselisihan liberalisasi serta perselisihan penggunaan spektrum frekuensi kesemuanya adalah permasalahan yang menonjol dan ICT environmet saat ini. Cara penyelesaian adalah lakukan pembicaraan bilateral terlebih dahulu, jika tidak sepakat baru regulator bicara atau mengetengahi dengan peluru dengan cabut izin atau sanksi lainnya jika regulator juga tidak bisa baru masuk pengadilan agar pengadilan saja yang memutuskan, jika menyangkut pidana atau perdata tetapi kalau permasalahannya masih dalam hal administrasi biar ditangani oleh regulator dengan mencabut izin dsbnya.

3 Individual Licences 3.1 Individual Licences and Regulatory Certainty Licensing Certainty in Developing Markets 3.2 Contents of a Detailed Individual Licence Sample Contents of a Detailed PSTN Licence 4 The Competitive Licensing Process 4.1 Competitive Licensing Process Features of a Multiple Round Auction: The Canadian Example 4.2 Phases of a Competitive Licensing Process 4.3 Scheduling the Licensing Process Steps in the Licensing Schedule 4.4 The Guide to the Licensing Process Contents of the Guide to the Licensing Process 4.5 The Public Notice of the Request for Applications Licensing Process Public Notice 4.6 The Pre-Qualification Phase Whether to Include a Pre-Qualification Phase Pre-Qualification Criteria 4.7 Qualification Criteria and Selection Criteria The Qualification Phase 4.8 The Selection Phase Competitive Selection Mechanisms Selection Criteria The Selection Process Choosing Selection Mechanisms and Criteria 5 Fees 5.1 Authorization and Other Fees More on Authorization Fees 6 Authorization Practices & Procedures 6.1 Transparency 6.2 Public Consultation The Public Consultation Process 6.3 Authorization Renewal, Amendment and Renegotiation Transition to New Authorization Regimes Termination of Monopolies Renegotiation of Licences 6.4 Balancing Certainty and Flexibility More on Balancing Certainty and Flexibility 6.5 Distinguishing Authorization from Procurement More on Distinguishing Authorization from Procurement 6.6 Spectrum Authorizations 7 Special Authorization Situations 7.1 Public-Private Partnerships, Concessions and Similar Arrangements Concessions and Licence Agreements Public-Private Partnerships 7.2 Re-authorization of Incumbent Service Providers Re-authorization of Incumbents: Some Considerations 7.3 Service-Specific Authorizations Common Authorization Classifications Sample Licences and Related Documents

8 Licensing for Convergence and Next Generation Networks 8.1 Convergence and Next Generation Networks Regulatory Issues in a Converged and Next Generation Networks Environment Adapting Authorization Regimes for Convergence and Next Generation Networks 8.2 Convergence & Authorization Policies Lifting Restrictions on Licensees 8.3 Unified and Multi-service Licensing Implementing Unified and Multi-service Licensing Regimes Implementing a Unified or Multi-Service Licensing Regime – Some Considerations Categories of Multi-Service Authorizations The Licensing Process for Unified and Multi-Service Authorizations Terms and Conditions of Unified and Multi-Service Authorizations Transitioning Existing Licensees to the New Licensing Regime Selecting the Sector Regulator Consultation Processes

Module 4. Universal Access and Service
2 Regulatory reform & universal access and service 2.1 Reform first Technology neutral, unified licensing or general authorizations Open access and regulating dominant markets Interconnection and tariffs Radio spectrum regulation Taxes, import duties and other fees The removal of pre-liberalization obligations Timing of a universal access and service programme 2.2 Impact and importance of competition on Universal Access Competition and coverage Achieving affordability and improved service Market Segmentation and servicing the poorest 2.3 The UA market and how operators are addressing it Sources of operator revenues in rural areas Low ARPUs are not an insurmountable barrier for operators 2.4 Regulatory measures to improve UAS Designing licence awards to promote universal access and service Revising the licensing regime or issuing new licences Other licence incentives to promote universal access and service Freer use of spectrum in rural areas Tariff flexibility Geographically asymmetric interconnection 2.5 Enabling regulation for broadband Market liberalization and incentives for network deployment International bandwidth, gateway liberalization and national peering Planning for converged services and stimulating demand 1 Universal Access: an overview 1.1 Concepts of universal access Basic definitions Universal access and service targets The scope of universal access and service Choosing services for inclusion in the universal access and service scope Targeting special assistance User communications capabilities Regulatory intervention for universal access and service 1.2 Current status of universal access by world regions Availability of telephone services Accessibility and affordability of telephone services Public access to telephone services Internet usage Public access to Internet services Broadcasting usage 1.3 Rationale for a universal access policy ICTs as social and economic enablers Drivers for universal access and service policy Market gaps and universal access policy 1.4 Changing contexts and trends for universal access policy Trends in universal access policy The future evolution of universal access: e- inclusion 1.5 International developments The World Summit on the Information Society objectives The Millennium Development Goals 1.6 Integration with other national programmes Education E-government Electricity Micro-finance and e-banking

3 Overview of approaches to universal access and service 3.1 Traditional incumbent obligations Universal service at the time of monopoly Administrative USO designation after market opening Administrative allocation of universal service funding Access Deficit Charges 3.2 Competing for subsidies from Universal Access and Service Funds First generations of competitive UASFs – fixed line services Second generation of UASFs in existence today Advantages of UASFs as compared to other approaches Performance of funds to date 3.3 Non-central government actors in universal access and service Village Phone Programs Community and municipal broadband networks Public and community Internet access, telecentres and cybercafés 3.4 Open access, shared access and ICT backbones Incumbent network access Backbone network enhancement Emerging alternative network options Specially constituted network operator Network operators in a consortium Current and emerging forms of mobile network sharing Funding of backbone initiatives 3.5 Other approaches and initiatives promoting UAS Rural co-operatives Regional or rural operator licensing Community radio and local radio 4 Universal Access and Service Policy 4.1 Universal access and service policy framework Scope of policy UAS policy in context Relationship to broadband policy Integrated or separate UAS policy UAS institutional framework Basic structure and key principles of UAS Policy 4.2 Universal access and service policy development Sector review and market analysis Policy formulation The priority of regulatory measures Financial considerations and analysis Economic appraisal of UAS options Consultation 4.3 Legal modifications and regulations Legal amendments Detailed regulations

5 Financing Universal Access and Service 5.1 General trends in ICT development and UAS finance 5.2 Universal Access and Service Funds Sources of funds Industry levy – who should contribute? Appropriate industry contribution 5.3 Institutional issues: managing and organizing a UASF Targeting commercial viability after subsidy UASF management Ensuring accountability, transparency and efficiency Risks of high charges and high cost UAS orientation Faster commercial expansion than UASF implementation pace The smart subsidy zone is hard to predict Evaluation and re-appraisal of UASF operation NGN, ICTs and future role of Universal Service and Access Funds 5.4 Other approaches to UAS funding Public-Private Partnerships (PPPs) Municipal network alternatives and funding approaches Village phone, operator outreach and partnership programmes Collaborative initiatives financed by OECD governments World Bank and other International Finance Institutions Non-government & philanthropic sources 6 UAS Programme Development and Prioritization 6.1 ICT Sector Analysis and Assessing Demand ICT sector review Per capita and household expenditure on communications Incoming call revenue Demand for Internet services Field demand studies 6.2 Modelling costs, viability and subsidy analysis Revenue and cost estimation for public access telephony Revenue and cost estimation for public access internet 6.3 Economic impact of UAS projects Economic impacts of communications Economic impacts of broadband Internet & ICT service deployment 6.4 Prioritization of USA projects Qualitative approach Quantitative socio-economic analysis using NPV Ranking using the findings of a financial subsidy analysis Subsidy cost per beneficiary

7 Competing for UAS subsidies 7.1 Design of the UAS bidding strategy Determining eligibility for UAS competitions Developing UAS bidding strategy and deciding on bidding lots Design of bidding process Competition and application procedures for smaller ICT projects Competition and application procedures for smaller ICT projects 7.2 Bidding & subsidy distribution process Publicizing the opportunity Pre-bid meeting Bid evaluation, selection of winning bid and bid award Business or sustainability plans as pre-requisite for fund allocation 7.3 Inspection, payment, monitoring and evaluation Inspection, payment and technical auditor Monitoring and reporting requirements Strategic reviews & evaluation studies 8 Technologies for universal access and service 8.1 Technology and service neutrality 8.2 Technology choices Optical fibre Wireline networks Terrestrial Radio Mobile networks Fixed and other non-Mobile Wireless Access Satellite 8.3 Broadband and the implications of using IP Next Generation Networks Contribution to universal access funds Substitution for telephony Substitution for broadcasting Provision of content 8.4 Terminals Handsets: Phones and PDAs Computers 8.5 Relationship with the environment Reuse of equipment Recycling of equipment Alternative power sources Contributions of Information and Communication Technologies

Module 5. Radio Spectrum Management
1 Spectrum Management Overview 1.1 Introduction to Spectrum Management Overview 1.2 Spectrum as a Resource Spectrum as an Economic Resource Spectrum as a Technical Resource 1.3 Objectives of Spectrum Management High-Level Economic Efficiency Objectives High-Level Technical Efficiency Objectives 1.4 Stakeholders 1.5 Fundamental Management Approach Administrative Methods Market Methods Unlicensed Spectrum Striking a balance 1.6 Governance and Outsourcing Institutional arrangements Outsourcing 2 Spectrum Policy and Planning 2.1 Policy and Planning 2.2 Planning Planning Timeframes Knowledge of Current Spectrum Use Forecast of Future Spectrum Use National Frequency Allocation Table National Legislation and Regulations Governing Spectrum Use Re-farming of Spectrum Financing of Spectrum Management Consultation with Stakeholders 2.3 Technical Standards The Objectives Spectrum Use Standards Radiocommunication Equipment Standards Radiation Standards Other Standards Standards Development and Application Certification 2.4 Allocating Spectrum Radio Services Frequency Allocation Tables Spectrum Use Designations

3 Authorization Introduction to Authorization 3.2 Assigning Frequencies Methods for Assigning Frequencies Relation to Other Authorizations Technological Innovation and the Impact on Authorization Engineering Support Administrative Support 3.3 Certification of Radio Operators 3.4 Equipment Authorization Equipment Certification Laboratory Certification 4 Spectrum Pricing 4.1 Introduction to Spectrum Pricing 4.2 Cost Recovery The Structure of Costs of a Spectrum Management Agency Setting Prices to Recover Costs in Practice 4.3 Administrative Incentive Prices The Opportunity Cost of Spectrum Administrative Incentive Prices in Practice 4.4 Spectrum Royalties 4.5 Auctions Types of Auction Specifying What is to be Auctioned Rules and Procedures for Auctions Auctions in Practice 4.6 Secondary Markets Defining Property Rights for Spectrum Trading Curtailing Market Power in Spectrum Markets Information and Administrative Procedures for Spectrum Transfer Secondary Trading in Practice The Interference Model 4.7 Lotteries

6 International Affairs 6.1 Introduction to International Affairs 6.2 Project Activities ITU Related Project Activities African Telecommunications Union Asia-Pacific Telecommunity Caribbean Telecommunications Union CEPT European Conference of Postal and Telecommunications Administrations CITEL Inter-American Telecommunication Commission Cooperation Council for the Arab States of the Gulf Regional Commonwealth in the field of Communications Project Activities Related to Other Global Inter governmental Organizations Other Bilateral and Multilateral Project Activities 6.3 Transactional Activities ITU Related Transactional Activities Other Transactional Activities 7 Developing Spectrum Management Capacity 7.1 Introduction to Developing Capacity 7.2. Organization 7.3 Human Resources and Training Development Human Resources Training Development 7.4 Business Processes 7.5 Consultative Practices 5 Spectrum Monitoring and Compliance 5.1 Spectrum Monitoring Spectrum Monitoring Objectives Emissions, Interference and Spectrum Use Spectrum Monitoring Activities International Spectrum Monitoring Cooperation 5.2 Monitoring Technology Monitoring Equipment Monitoring System Architecture 5.3 Enforcing Compliance Monitoring Compliance with Technical Standards Solving Interference Problems Inspections Equipment Seizure and other Enforcement Actions

Module 6. Legal and Institutional Framework
3 Legal Context of Regulatory Reform 3.1 Impact of Different Legal Traditions on the Regulatory Framework Snapshot of Different Legal Traditions Regulatory Frameworks in Different Legal Systems Implementation of Regulatory Design 3.2 Impact of Multilateral and Regional Commitments Role of the World Trade Organization Regional Frameworks 3.3 Maturity of the Market - Relationship between Telecommunications Legislation and Competition Policy The Evolution from Sector Specific Regulation to Competition-Based Regulation Analysis of Jurisdictional Division of Power between Competition Authorities and Regulatory Institutions Practical Lessons for Developing Countries 3.4 Impact of Other Legislation Tax Law Foreign Ownership Consumer Protection Law Spam Legislation Property Law 1 Introduction 2 Why Regulate? 2.1 Evolution of Regulatory Reforms 2.2 Regulation in Transition to Competitive Market 2.3 Regulation in a Fully Competitive Environment 2.4 Benefits of Regulation

5 Elements for an Effective Regulator 5.1 What Constitutes an Effective Regulator? Structural Independence Financial Independence Functionality 6 Organizational and Institutional Approaches To Regulation 6.1 Institutional Design Options Overview and Comparison of Different Institutional Designs Overview and Comparison of Different Organizational and Administrative Structures 6.2 Administrative Structures: Staffing and Remuneration Staffing Process Staffing Design Job Descriptions Remuneration Principles Contracting of Consultants 6.3 Separation of Power and Relationship of Regulator with Other Entities Relationships with Other Entities Checks and Balances/Balance of Power/Separation of Power 6.4 Legal Status of Regulatory Authorities Corporate Body vs. Administrative Body Judicial Capacity of the Institutional Arrangements 6.5 Ethics Rules and Conflicts of Interest Acceptance of Gifts Personal and Financial Conflicts of Interest Post-employment Prospects 4 Impact of Convergence 4.1 What is Convergence? 4.2 Different Approaches in Implementing ICT Regulation Legislative Approach Regulatory Approach Self-Regulation Process 4.3 Modifications to Telecommunications Legislation to Address Convergence Licensing Spectrum Interconnection Numbering Universal Service 4.4 Modification to Broadcasting and ICT Legislation to Address Convergence Media and Broadcasting Legislation Content Intellectual Property Laws Data Protection/Privacy Laws 4.5 Case Studies of Converged Legislation European Union New Regulatory Framework (NRF) Hong Kong (SAR) Malaysia

7 Functional Aspects of Regulation 7.1 Overview of Regulator’s Competencies and Mandate Rulemaking Function Oversight Function Licensing Competition Policy and Competitive Safeguards Tariff Regulation Interconnection Quality of Service – Regulatory Roles and Responsibilities Consumer Protection Establishment and Management of Universal Service Funds 7.2 Decision-making Process and Consultation Framework Overview of the Public Consultation Process Media Relations Brief Summary 7.3 Accountability of Regulators and Consumer Protection Accountability of Regulators Accountability for Consumers 7.4 Dispute Resolution and Enforcement Dispute Resolution Enforcement

Module 7. New Technologies and Impacts on Regulation
1 Technology Trends 1.1 Fundamental Technological Changes Digitalization Compression Modulation Forward Error Correction (FEC) Computerization Packet based switching 1.2 The Internet Internet Protocol (IP) Internet design principles Separation of networks and services End-to-End architecture Scalability Distributed design & decentralized control QoS Security Mobility and Nomadicity IPv Peer 2 Peer 1.3 Mobile Communication Mobile Standards First Generation (1G) Second Generation (2G) Evolution of 2G (2.5G) Third Generation (3G) Mobile Services Voice Services Location Based Services Multimedia Services Corporate Services Mobile Internet Access Future Technologies Software Defined Radio (SDR) Cognitive Radio 1.4 Next Generation Networks (NGN) 1.4.1 Next Generation Core Networks (NGCN) Next Generation Access Networks (NGAN) ADSL ADSL2, ADSL2+ & RE-ADSL VDSL & UDSL Cable TV PLC FTTx WiFi WiMAX Satellite Digital Broadcast Infrastructures Wireless Mesh networks 1.5 Convergence Mobile Broadcast Convergence Fixed Mobile Convergence Converged Services VoIP IPTV 1.6 Information Society Technologies The role of ICTs in other sectors Marketed Services Virtual Organizations 1.7 Disruptive Technologies

2 Market and Regulation 2.1 Direct and indirect technology implications 2.2 Implications of technology for the economics of the overall Market Structure Service innovations Internet Key points and recommendations Mobile communication Network innovations Copper-based telecom network Cable TV networks (HFC) Optical fibre networks Power line communication Mobile networks Wireless networks (other than mobile) Satellite Key points and recommendations Vertical Separation – the Scope for new Business Models Internationalisation Key points and recommendations Horizontal integration Key points and recommendations 2.3 Price regulation The objective of price regulation Current approaches to price regulation Discretionary Price Setting Rate of Return Price Cap Cost-Based Price Setting Technology implications for price setting Key points and recommendations 2.4 Interconnection The objective of interconnection regulation Interconnection products/service offerings Circuit switched interconnection products Unbundled network components Packet switched interconnection products Comparison of existing regimes for interconnection 2.4.4 Regulatory implications Mobile communication Development of next generation access network infrastructures Increasing use of IP and other packet switching infrastructures Convergence Implications caused by in market structure Key points and recommendations 2.5 (Re) Licensing Objectives and current regulation Implications of technology trends Mobile communication Development of next generation network infrastructures Increasing use of IP and other packet switching infrastructures Convergence Implications caused by changes in market structure Key points and recommendations

2.6 Universal Access Objectives and current regulation Universal Service Obligation Universal Service Fund Implications of technology trends Mobile communication Development of next generation network infrastructures Increasing use of IP and other packet switching infrastructures Convergence Implications caused by changes in market structure Key points and recommendations 2.7 Spectrum Management Objectives for spectrum management Regulatory framework for spectrum management Allocation Allotment Assignment Implications of technology trends Development of next generation of network infrastructures Mobile Communication Convergence Increasing use of IP and other packet switched infrastructures Convergence Implications mediated via changes in market structure Key points and recommendations 2.8 Numbering Objectives of numbering Regulatory framework for allocation of numbers Implications of technology trends Key points and recommendations 2.9 Summary of regulatory implications Regulatory implications from mobile communication Regulatory implications from NGN Regulatory implications from IP Regulatory implications from convergence Regulatory implications caused by changes in market structure 2.10 Key points and recommendations

3 New Regulatory Paradigm 3.1 The development so far and the new paradigm The telecom reform process The natural monopoly thesis Transition phases Consolidation and further development Key points and recommendations 3.2 Technology and market trends Regulation of convergence and divergence Convergence Divergence Key points and recommendations Changed relations between national and international level International tariffs Internationalization of telecom markets Key points and recommendations Public sector influence Technology leapfrogging Factors affecting leapfrogging Key points and recommendations Technology examples 3.3 Regulatory implications Sector specific and/or general competition regulation Key points and recommendations Present discourse Regulatory areas Technology neutrality Implications Interpretations of the concept Key points and recommendations Infrastructure vs. service competition Access competition Key points and recommendations New access infrastructures The ‘ladder’ theory Cost-based regulation Cost-based pricing Costs as a basis for technology choice Key points and recommendations Alternative business models Diversifying participation Focus of regulation Key points and recommendations QoS Key points and recommendations Regulation Transition to packet-switching

3.4 Policy Integration Integration of different categories of public policy intervention Key points and recommendations Modes of intervention The broader policy context 3.4.2 Focus on innovation Open the sector for innovations Competition and innovation Networks and services Key points and recommendations 3.4.3 Standardization Application and service standards Intra- and inter-standard competition Key points and recommendations Network standards 3.4.4 Public-private partnership Key points and recommendations PPP in communications The PPP discourse 3.4.5 Network and information security Importance of security issues Key points and recommendations Protection measures 3.5 Organizational aspects Organisational dimensions Organisational issues Organisational leapfrogging Key points and recommendations 3.6 Key Points and Recommendations Diversification of participation Policy integration Convergence and regulation International outlook Organizational change 4 Hot Topics 4.1 NGN 4.2 WiFi 4.3 WiMAX 4.4 VoIP 4.5 IPTV

Regulating the Telecommunication Sector : Overview
Module 1 Regulating the Telecommunication Sector : Overview

Module 1 Regulating the Telecommunication Sector : Overview Context
1.1 New Vocabulary, New Economy, New Regulation Voc: burn,rip, text,game,cookie ; cyber crime, file sharing, instant message,search engine, navigation bar; blog,podcast,Wikipedia Accronyms: MP3,P2P,SMS,BPO,DRM,NGN,VoIP,VoBB,WiMAX The “Information Society” – The “New Economy” ICT Regulation extends into many adjacent area: content, copyright,privacy,culture,mergers, and market entry and exit – impact to regulate in the New “Economy/Information Society” 1.2 ICT’s and the Transformational Opportunity and Risks Mobile phone handset Broadband world BPO (Business Process off-shoring), Outsourcing 1.3 Disruptive Technologies - process manage transition: rate of change in technology increased; Org not member of Telco/ICT community not play the same rule. New entrants – different business : “triple/quad play”, “flat charge”;”all you can eat”;”free” VoIP disrupt POTS NGN based on IP ; 3 Broad NGN Platform: Digital Interactive TV,Online, Mobile Wireless (DTH, CAble, DSL,3G,DVB-H,IPTV) providing six contents catagories : TV Program, music, film, radio, games, publishing) Combinaton Broadband (wired and wireless), digitalization media content, falling cost pf producing digital content (documentary, entertainment,news,music,blog) placed digital content production in the hands of many – a bottom up. 1.4 How did we get here? ICT Past – MPPT : policies, technical standard, certified equipment, managed asset, made investment decision, set prices,operated business , granted privileges, regulated state owned administration. Independent institution were established to perform regulatory function. Ex post regulations has replaced ex ante 1.5 Regulatory Sequencing issue has to to be address simultaneously : Interconnection, Universal Access, Regulatory processes, means of dispute resolution, market definition methodologies,licensing/authorization procedures, tarrif setting principles. No simple sequencing

POINT PENJELASAN MODUL 1
1.1. Vocabulary baru dalam ICT, diantarnya Burn : bakar CD, cookies : metadata – data scrap. Pemerintah saat ini menginginkan avaliability , yakni bisa saling berhubungan, yang kedua affortdiability yakni terjangkau, saat ini kita sudah alami internet murah, telpon murah, ditakutkan karena harga murah kualitas diabaikan sehingga setelah affortdiability adalah quality of service, setelahnya adalah security. Instant message contohnya : chatting, search engine contohnya : google, yahoo, dsbnya. Accronyms atau singkatan dalam ICT, ada yang namanya MP3 (Motion Picture Group 3), P2P ( Peer to Peer ) NGN (Next Generation Network), Voip (Voice Over IP) VoBB ( Voice Broad Band)dsbnya, 5 singkatan baru (hot issue) diantanya NGN, Wi-Fi, Wi-MAX, VOip, IPTV. Perubahan Landscape (tatanan): 1. Information Society (masyarakat informasi), yakni lahir suatu tatanan baru yaitu masyarakat informasi, 2. New Economy, ekonomi berkembang dengan cara lain yaitu dengan ICT maka munculah era new economi. Dilihat konteksnya dengan ICT ada Vocabularynya bertambah, ada akronimnya tambah banyak, juga landscapenya ( tatanan) berubah. 1.2. Ada transformasi yang mengakibatkan opportunity dan resiko dalam ICT 1.3.Kenapa ICT terjadi disruptive teknologi : akan susah memanage transisi, co/: dari 3G kemudian ke WI-MAX sebelumnya ada CDMA berkembang sangat cepat akhirnya perubahan dari teknologi sangat tinggi. untuk menuju konvergensi adalah semua faktor ada telekomunikasi, multimedia dan penyiaran, sebelumnya penyiaran tidak dibawah POSTEL, karena dibawah penyiaran sendiri ini yang mengakibatkan proses transisinya susah, sementara ini sekarang mau konvergensi termasuk penyiaran hal inilah disruptive teknologi, co:/ adanya VOip POTS terancam, tergerus revenuenya, NGN ada 3 platform broadbandnya yaitu Digital interactive TV, On line dan Mobile Wireless sekarang dengan online dan mobile wireless yang terjadi adalah

Ada yang menggunankan Direct To Home menggunakan Fiber Optic, Cable dengan coax, Digital Subscrible Line dsbnya, setiap jenis dari teknologi ini mampu untuk menyalurkan 6 kategori konten : Tv Program, Musik, Film, Radio, Games, Publishing dsbnya. Ada yang belum masuk yaitu PLC ( Power Line Communication), konten yang banyak di access orang di Indonesia adalah sex sekitar 80%, katanya 3G (girl, games, gambling) yang betul-betul menghabiskan bandwitdh cara mengatasinya tentunya dengan edukasi. Bagaimana trend dari teknologi karena diketahui adanya triger teknologi, harapan puncaknya seperti apa, yang akan terbuang seperti apa dan slop dari enlightment (mulai growing, revitalisasi) disini teknologi trigernya adalah 3G. Nanti akan muncul teknologi-teknologi baru seperti WPA3, Fame To Sell ( BTS dirumah), 4G standart, LTE dan VOip. Oleh sebab itu trend teknologi berubah sangat cepat sehingga sangat susah untuk memanage transisinya. Mendiknas mengharapkan masyarakat Indonesia bisa dibawa ke knowledge era, perioda/fase knowledge artinya sudah menyadari ICT sebagai penunjang kehidupan sehari-hari, contohnya : internet masuk desa.

Module 1 Regulating the Telecommunication Sector : Overview The Regulator
2.1 Rationale for an Effective and Independence Regulator Four broad necessities: Cooperation Supplier are treated equally New entrants and investor are treated equally All customer has a voice 2.2 What is “Independence” and How is it Fostered? independence of regulatory bodies is neither possible nor desirable Effective regulations that support sustainable investment requires independence from political influences. 2.3 Accountability , Transparancy, and Predictability Effective Regulator should demonstrate additional characteristics. The most important are Accountability, Transparency, and Predictability. [Tranparancy in Interconnection and Universal Service obligations is specific Requirement of the WTO] Transparancy is important – good governance Predictable is needed by the market, particularly investor. The most important features of the rule of law are respect of precedent and the principle of stare decisis 2.4 What is the Role of Regulators? The most important duties of regulators include: Implementing the authorization framework that provides opportunities for new companies and investors to establish ICT businesses. Simple authorization procedures tend to maximize new entry. Regulating Competition (including tarrif) Transparent rules are established for interconnecting all types traditional and new communication networks and associated cost-based payment. Implementing Universal Service/access mechanism to ensure the widespread (and affordable) diffusion of ICT Managing the radio spectrum effectively. Minimizing the burden cost of regulation and contract enforcment. Broadcasting Regulators = ICT Regulators + social & cultural impact, overseeing content. 2.5 Convergence and Regulators 31 December 2006 : “Converged Regulatory Bodies” in Finland, Italia, Slovenia and United Kingdom OECD distinguished between regulatory bodies: telecommunication ; broadcasting carriage; broadcasting spectrum allocation; content Ex ante is latin for "beforehand". In models where there is uncertainty that is resolved during the course of events, the ex antes values (e.g. of expected gain) are those that are calculated in advance of the resolution of uncertainty Definition of Ex Post: Latin for "after the fact". In models where there is uncertainty that is resolved during the course of events, the ex post values (e.g. of expected gain) are those that are calculated after the uncertainty has been resolved.

POINT PENJELASAN Lanjutan 2 MODUL 1 Regulator Apa fungsi regulator?
Pada tahun 1999 adalah era monopoli contohnya : TELKOM (perusahaan negara/swasta tapi sendirian), lalu lahirnya WTO (World Trade Organization) yang menggariskan semua harus liberalisasi, monopoli harus dilarang. Di Indonesia lahir dengan UU nomor 36 tahun 1999, yaitu bahwa monopoli harus dilarang maka lahirnya, TELKOM, INDOSAT, Bakrie Telkom menjadi perusahaan yang bersaing. Dari sinilah dengan adanya liberalisasi harus dikawal oleh regulator. Bagaimana regulator bisa efektif ? Dan harus independent ? Ada 4 kebutuhan mendasar : harus melahirkan cooperations, harus kerjasama dengan perusahaan lain, contoh provider telekomunikasi bekerjasama tetapi jangan sampai bekerja sama dalam hal kartel, menentukan harga tetapi lebih kepada interkoneksinya harus berjalan, bagaimana bisa sama-sama maju. Yang kedua yang harus dilakukan regulator harus mentreated equally supplier, misalnya ericcson tidak boleh dibedakan dari siemens, dari ZTE, Hwawei harus sama treatmentnya, karena inilah regulator harus indipenden. Apabila membuka perusahaan baru dalam telekomunikasi harus sama, tidak boleh dianak tirikan, dan regulator harus mendengar customers, contohnya untuk iklan di TV KPI yang bertindak, iklannya di handphone harus BRTI kalau perizinannya DEPSOS yang jalan. Jadi tidak mungkin indipenden yang mutlak karena tidak mungkin diinginkan indipenden. Seorang regulator harus akuntabilitas/Profesional, harus tahu tarif, frekuensi, lisensi. Seorang regulator harus transparan. Seorang regulator harus predictable, tidak boleh membuat kebijakan mendadak.

POINT PENJELASAN Lanjutan 3 MODUL 1 Apa peran dari regulator ?
Untuk membuat regulasi harus memenuhi rambu-rambu sbb: 1. Bagaimana mengimplementasikan kerangka otorisasi, memberikan lisensi seperti apa. 2. Membuat regulasi untuk kompetisi, contoh tidak boleh memegang saham sebagai raja seluler dipegang oleh satu orang. 3. Untuk menginterkoneksi jaringan dan fasilitas, contoh : jangan sampai esia tidak dapat interkoneksi dari telkom 4. Mengimplementasikan Universal Service dan Access, bagaimana mekanismenya yaitu dengan tender-tender USO. Convergence and Regulator Kalau di dunia OECD - grup eropa dibedakan badan regulasinya, yaitu: BRT, Badan Broadcasting carriage; broadcasting spectrum allocation; content, tetapi ada juga yang sudah dikonvergensikan seperti di Autralia, malaysia yang disebut Converged Regulatory Body, tidak ada lagi departemen penyiaran dan departemen komunikasi. Hal lainnya karena dibutuhkan regulator yang efektif dengan alasan lisensi dan bagaimana menjadikan hubungan antara operator.

POINT PENJELASAN Bagian 4 MODUL 1 Ada 5 Tipe Struktur Regulator :
1. Otonomous Regulatory Agency, sama sekali dibekasi otonomi 2. Semi Otonomous Regulatory Agency, keputusan selalu di review government dan decission juga menunggu keputusan government. 3. Separated Regulatory Body within telecommunication ministry, negara Indonesia ikut struktur ini. 4. Unit within Public Telecommunication Operator, biasanya dinegara kecil yang PT. Telkomnya hanya satu 5. No Regulatory Body of Telecommunication. Persyaratan untuk memiliki struktur regulator : Mempunyai staf yang berpengalaman dan qualified. Mempunyai Akuntability.

Module 1Regulating the Telecommunication Sector : Overview 3
Module 1Regulating the Telecommunication Sector : Overview 3. Authorization and Competition 3.1 Authorization All legal instrument such as licenses or concession agreement used to facilitate entry to electronics communication market. Convergence introduce a new set of issues for the authorization agenda. Authorization has tended to follow a process that allow applicants to provide specific services with specific technologies. In a converged environment such distinction become irrelevant. Authorization will increasingly become service-neutral or multiservice and technological neutral. 3.2 Competition Regulator is to ensure non discriminatory treatment of all players in the liberalized market The incumbent can further distort competition unless the regulatory authorities take action. These include: Failure to deal with the request of competitors for network interconnection in a timely or serious manner Charging its retail arm lower fees than those paid by competitors Reducing retail tariffs to a level where new entrants can not survive Making the sale of one product conditional upon to purchase of a second product Offering discounts to customers who take a combination of products/services Entering agreements with distributors that preclude them from offering the product/services of competitors Providing low-quality products/services to competitors These activities are known as price/margin squeeze, predatory pricing, tying, bundling and exclusive dealership. Regulatorry tariff setting is much less common in competitive mobile markets.

Module 1 Regulating the Telecommunication Sector : Overview. 4
Module Regulating the Telecommunication Sector : Overview Interconnection Network interconnect to exchange traffic and supply inputs in situations where the operators both compete and cooperate. Example : capacity-based charging has been implemented by ISPs in some instances while most large Internet backbone providers use “sender keeps all” (or”bill and keep”) for interconnection with equivalent “peers”. Broadly, there has been general agreement across all players that interconnection charges should be based on necessary cost incurred by the receiving party of the additional traffic it has to carry. Fundamental disputes surround the issues of sunk, variable, shared, common, replacement, historic, depreciation,incremental and forward-looking costs. In the IP based business model, “interconnection” refers to peer-to-peer (P2P) network operator relationship, which are fundamentally different from interconnection as it has been widely practiced. Within a peer group, traffc is exchanged on a sender keep all basis and there is consequently no need for interconnection models. Traffic within different peer group is exchanged on commercially negotiated rates for a given capacity and maximum peak load for “transit” services

Module Regulating the Telecommunication Sector : Overview 5. Universal Access Widespread access to and diffusion of ICTs are highly desirable for social and economic reasons. WSIS goal of connecting all village of the world to ICT by 2015 The term of “Universal” encompasses several elements including: availability, affordability, accessibility. The following approaches have been implemented : Market based reforms Mandatory service obligations Leveraging new technologies, e.g mobile services Leveraging new business practices, e.g. Prepaid cards Cross subsidies Access deficit charges Universal Funds The remaining “access gap” can be catagorized: Only require a targeted capital injection Require ongoing support for both capital and recurring expenditures The BWA ( Broadband Wireless Access) and WiFi has substantially reduced economies of scale in both the infrastructure and service segments. There is growing interest in and experience of community-based projects to provide internet services based on the “municipal open access model”

Module Regulating the Telecommunication Sector : Overview Radio Spectrum The central issues for spectrum management are allocation and prices. Traditionally on radio spectrum management, the decision has been taken in 2 stages manner : frequencies are allocated to particular application. Within those application to certain operators.(first come – First served basis) and are charges fee Spectrum-related technology is faster than spectrum related regulation Currently, there are certain inefficiencies in the radio spectrum arena. Radio Spectrum management models: The traditional “Command-and-control” model A’market-based property right” model The”commons” or “unlicensed” model More recently, an “easement” model Wireless is clearly the most popular technology in devdeloping countries, spectrum management is very high on the regulatory agenda.

Module 1 Regulating the Telecommunication Sector : Overview 7
Module Regulating the Telecommunication Sector : Overview 7.. New Technologies and their impact on regulations Globalization brings with it a whole set of international and cross-border regulatory issues, and a requirement for multilateral regulatory forums.[ e.g IT-enabled services, international financial services, and e-commerce.] Lack of trust in the internet--- Internet governance is a major topic in its own right Regulation in IP environment : competition, spectrum management,intreconnection,UA/S , authorization, price regulation, and also numbering. Covergence [ analog-- digital; voice-- data; narrowband – broadband; circuit switched – packetswitched] . This one stop shop could be the business of a single entity or of multiple entities working in collabroration. A broadband platform can deliver both broadcasting and telecommunications should be regulated with the goal of achieving a form of universal access and services. A distinction : “Linear” and “Non Linear” services.[TV Broadcast – Linear , where content is “pushed” On demand services where content is “pulled”] The key question in a convergence environment capable to deliver bith Linear and Non Linear services are : How and by which institution should these platforms and the content they carried be regulated? Is there any case for continuing to regulate according to the technology of a platform where all platform deliver the same services, applications, and content? Should platform that are near-perfect substitutes for each other be regulated in the same way? Trend towards ex post regulation using competition law and away from sector specific ex ante regulation as ICT markets have become more competitive. One of the pillars of ICT regulation has been “access” and interconnection that predominanly concerns access to customers. In convergence environment there are additional access issues because there are additional “Gateways” both tecnically and economically.

Competition, Interconnection and Price Regulation
Module 2 Competition, Interconnection and Price Regulation

Key development in ICT Sector
Accross 4 catagorieS: Technological Changes The emergence of new services Changes in market structure and the level of competition Finacial forces that are affecting the sector Technological Changes: The shift from analog to digital The shift from voice to data The shift from circuit switching to packet switching The shift from narrowband to broadband The migration of intelegence from core network to the edge The increaing role of wireless Trend in ICT Regulation Ownership reform Legislative Reform Liberalization or introduction of competition Regulatory Reform

Competition Policy and the ICT Sector
Form of competition: Perfect Competition Effective Competition Market Conestability Sustainability Competition Competition Policy (competition law provision includeing): Prevent competing firms from banding together (“colluding”) to increase prices or reduce quantities of goods and services, or to exclude other firms from a market, Prevent firms with a dominant position, or “significant market power”, from using their market power to exclude competitors from the market, or otherwise reduce competition, Stop merger or acquisition that would reduce compettion

ICT Regulatory Tool Kit

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