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GOVERNMENT OF JAMAICA

TELECOMMUNICATIONS

POLICY

Prepared by:

The Ministry of Industry,

Commerce and Technology

September 17, 2002

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TABLE OF CONTENTS Page

Introduction ………………………………………………………... ii 1.0 Context of the Telecommunications Policy Framework …….... 1 2.0 Telecommunications Policy ……………………………………... 4 3.0 Fundamental Principles of the Telecommunications Policy

Framework ………………………………………………………...

6 3.1 Competition ………………………………………………… 6 3.2 Universal Access ………………………………………….. 7 3.3 Neutrality on Technology …………………………………. 9 3.4 Promotion of ICT …………………………………….….…. 9 4.0 Policy Framework ………...………………………………………. 10 4.1 Regulation of the Telecommunications Industry ……….. 10 4.2 Licensing ……..………………………………………..…… 11 4.3 Convergence ……………………………………………..… 12 4.4 Interconnection …….…………………………………...….. 13 4.5 Rate Rebalancing ……………………………………..…… 14 4.6 Management of the Spectrum …………………….…...…. 15 4.7 Numbering Policy ………………………...…….………….. 16 4.8 Advisory and Appeals Bodies …………………………..... 18 4.8.2 Jamaica Telecommunications Advisory Council ... 18 4.8.2 Telecommunications Appeals Tribunal …….……. 19 4.9 Service Level Standards …………………………………... 19 4.10 Voice and Data Services ………………………………..…. 20 4.11 Development of the Cable Industry/ISP Sector ……….… 21 4.12 Observance of Jamaica’s Regional and International

Obligations ……………………………………………….…..

22 4.13 Human Resource Development …………………………... 23 4.14 Legislation …………………………………………………… 24 4.15 Consumer Interests and the Digital Divide ………………. 25 5.0 The Way Forward ………………………………………………… 26 List of Abbreviations ……………………………………………... 28

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INTRODUCTION

Jamaica’s ICT1 outlook has been driven by the needs of the market

and by the Government of Jamaica’s desire to make Jamaica into a

centre for e-Business and the IT2 hub of the Caribbean. To make this

so, the telecommunications industry has come to the fore. Indeed,

Jamaica was one of the first CARICOM3 countries to move

systematically towards demonopolisation of its telecommunications

industry.

There is no doubt that the availability of, and access to, ICT and

telecommunication services are significant factors in competitiveness,

e-Business facilitation and the development of an information society.

The foundations for IT successes in many countries worldwide have

been laid within in a competitive environment and in particular, the

attraction of FDI4 has played a key role in the expansion of

telecommunications-based industries and nation-building.

The development of an appropriate supporting policy will provide the

basis for the promotion of telecommunications as an engine of growth

and the policy framework will highlight important issues to be

considered in the policy implementation process. The purpose of this

document is to set out the Government of Jamaica’s

Telecommunications Policy and its framework.

1 Information and Communication Technologies. 2 Information Technology. 3 Caribbean Community. 4 Foreign Direct Investment.

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1.0 CONTEXT OF THE TELECOMMUNICATIONS POLICY FRAMEWORK

Globally, telecommunications environments are moving away from a

monopoly based industry to one which thrives on competition.

Recognizing this, as well as the country’s need to start setting the

stage to become a significant player in the global telecommunications

market and for the nation to be an attractive and viable destination for

ICT investments, Jamaica become a signatory to the World Trade

Organisation’s Basic Agreement on Trade in Telecommunication

Services.

In 1999, the Government of Jamaica (GOJ) made a decision to

liberalise the local telecommunications industry. The Government

adopted a phased approach in order to ensure the necessary legal

and regulatory framework could be put in place to manage the build-

out of networks and the introduction of new services. Above all, the

overriding concern was telecommunications industry development,

while at the same time ensuring consumer protection.

The transitional Telecommunications Act, 2000, was introduced in

March 2000 which facilitated the gradual opening up of the market to

new players.

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Phase I of the liberalisation process, which took effect on March 1,

2000:-

• Opened the market to competition in wireless cellular services.

• Opened the market for the provision of customer equipment.

• Allowed companies with Single Entity Free Zone status to

provide their own telecommunications services.

• Opened the market to the resale of data, international voice and

Internet access.

Phase II commenced on September 1, 2001 and covered:-

• Competition in domestic facilities and services.

• Cable TV providers (STVOs) being allowed to become Internet

Service Providers (ISPs).

Phase III will see on March 1, 2003:-

• All telecommunications facilities open to competition, including

international voice and data services.

Competition has grown the potential market for domestic cellular

service and there are attractive incentives available for companies in

the IT Industry. To assist further with the liberalisation process the

Jamaica Telecommunications Advisory Council (JTAC) was setup as

mandated by Section 58 of the Telecommunications Act 2000. The

Council is required to advise the Minister on all matters relating to

telecommunications and has been requested to make

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recommendations relating to reform of the local telecommunications

industry, which is ongoing.

JTAC also works with stakeholders, such as the Ministry of Health,

operating companies and the National Environment and Planning

Agency (NEPA) among others, in the provision of information to the

Public regarding the adoption of Telecommunications Planning

Guidelines that would eventually be translated into Government

Policy. JTAC also advises on consumer interests vis-à-vis the safe

use of cellular phones and the location of transmission towers,

including cell sites.

The Telecommunications Appeals Tribunal was set up under Section

61 of the Telecommunications Act to hear appeals by persons

aggrieved by any decision of the Office of Utilities Regulation (OUR).

Concurrent with this development, existing laws and regulations

governing telecommunications in Jamaica are being revised to

enable the creation of a modern and competitive telecommunications

sector that will allow the population access to both local and

international telecommunications (voice and data) services.

Finally, a modern telecommunications infrastructure is required not

only to facilitate sustained growth in the economy but also to be an

engine of growth and development. The present policy seeks to

provide the broad framework within which a liberalised

telecommunications industry can operate.

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2.0 TELECOMMUNICATIONS POLICY

Jamaica will utilize telecommunications industry development as an

engine of growth that will contribute to the achievement of sustained

revitalization the Jamaican economy. The Government’s main policy

goals are:

• Extension of the wired and wireless networks to encompass the

entire geographical and demographic spread of the country.

• Ensuring infrastructure build-out and service provision on the

basis of profitability of the operating companies, but also

bearing in mind the need for universal access to disadvantaged

sectors, including services to remote (and uneconomic) areas,

the disabled and the elderly;

• Availability of high quality services across a range of

telecommunications providers;

• Access by the business and public sectors to the best available

innovations in telecommunications facilities and services at

costs that are internationally competitive, so as to stimulate

economic and social development through growth of the

industry;

• Ensuring appropriate domestic and international connectivity

arrangements that are seamless, efficient and cost competitive;

and

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• Fostering a legal and regulatory environment that is responsive,

accountable and socially sensitive to the needs of the public, to

investors and to emerging technologies.

Liberalisation5 of the local telecommunications market is one means

to achieve these goals. Jamaica will introduce competition in the

telecommunications market in order to:

• foster business facilitation and encourage new entrants and

value-added services;

• promote greater use of information and communication

technologies (ICT) in the Public Service, non-government and

other organizations and private sector businesses;

• facilitate greater efficiency in industry and commerce; and

• provide wider consumer choice.

Changes in the channels and means of communication are occurring

with the convergence in telecommunications, broadcasting and media

services, as well as information technologies. Jamaica will take

advantage of convergence to ensure that the Jamaican people have

access to state-of-the-art technology and a range of

telecommunications services at affordable prices. 5 This relates to the opening up of the market and the transfer of decision-making responsibility on market entry, market structure, investment, services and mode of provision, standards and pricing, from the Regulator to the market. The greater the transfer of this responsibility to the market, the greater the degree of liberalisation.

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3.0 FUNDAMENTAL PRINCIPLES OF THE TELECOMMUNICATIONS POLICY FRAMEWORK

This Telecommunications Policy will be applied on the basis of the

primary fundamental principles:

I. Competition

II. Universal Access

III. Neutrality on Technology

IV. Promotion of ICT

These principles are considered to be basic expectations for the

Government and People of Jamaica in the provision of all

telecommunications services within, into and out of the nation.

3.1 Competition

This policy is designed for the introduction of competition into

the local telecommunications market for the provision of fixed

line, cable, mobile and other wireless services.

This competition will unfold through a process of liberalization,

which involves an end to monopoly service largely by a single

provider and the opening up of the telecommunications market

in Jamaica to new entrants and to new services.

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3.2 Universal Access

The motivation for a universal service policy is driven by social

values and needs, and can be objectively justified by the

existence of a range of production and consumption

externalities associated with the technical and network

characteristics of telecommunications services. A universal

service policy ought to address three (3) basic issues:

• Type of service(s);

• Access to such service(s); and

• Affordability of the service(s).

These distinctions also suggest in terms of consumer interests

that a universal service policy ought to consider the situation of:

• individuals who can afford to pay the cost, but lack access;

• those who cannot afford to pay the cost and lack access;

• those who have access but cannot afford to pay the cost;

and

• those who do not have access for reasons of special needs

(disability).

In this Telecommunications Policy, the traditional concept of

universal service has been revised to place the emphasis on

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universal access. This involves the extension of the network

and facilities to within reach of all persons in the service area.

The emphasis here is not merely on access to wired telephone

service by all households, but rather on contact with the

network in a meaningful way – being able to use the service

whether it is located within a household or not. The main

elements of universal access include:

• Physical build-out of the network to cover unserved/

underserved areas in both rural (and remote) and urban

(and inner city) areas.

• Ability to utilize the network (knowledge/expertise to use

the network effectively).

• Affordability of the network.

• Access to the emergency services, eg. Fire Brigade,

Police, Air Sea Rescue etc. (i.e. toll-free calls).

• Access to the network by persons with disabilities.

• Access to public telephones and call boxes (including

service delivery via pre-paid card, credit card and coin

telephones).

The provision of universal service will not be restricted to the

incumbent mainline service provider. All this has implications

for the cost of the provision of universal service. The Regulator

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will oversee how Universal Access will be applied in the market

and will consider appropriate methods of financing a Universal

Access Fund.

3.3 Neutrality on Technology

This policy will not seek to prescribe the type(s) of technology

that can be used to provide telecommunications services in

Jamaica. This is aimed at encouraging the introduction of new

technologies and services as these can become available

locally to consumers. This policy is also meant to be technology

neutral in Phase 3 with regard to the non-separation of voice

and data services in terms of meeting the social objectives of

any telecommunications service.

It will therefore be the responsibility of the appropriate

Government Authorities and Regulators to monitor events in the

market, as well as standards and the composition of imports, to

ensure quality service provision and consumer protection.

3.4 Promotion of ICT

This policy promotes the development and use of ICT to meet

all needs of the people of Jamaica, and specifically to enhance

social objectives in education, health and national security.

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4.0 POLICY FRAMEWORK

Jamaica’s Telecommunications Policy will take into account the

following issues: 4.1 Regulation of the Telecommunications Industry

The evolution of a competitive telecommunications environment

will require institutions and rules that are flexible enough to

accommodate technical convergence, interconnection,

universal access/service, and the national IT initiative. The

Government has currently designated the Office of Utilities

Regulation (OUR) to regulate telecommunications as one

sector within its area of responsibility. The OUR issues

telecommunication licences and in protecting consumer

interests, ensures compliance with the terms and conditions of

these licences.

The character of the liberalization process which involves

change management, will also mean a re-definition of the

relationship between policy-makers and the Regulator. Effective

management of the telecommunications industry by a single

independent telecommunications Regulator6 has been

6 The single Regulator would incorporate telecommunications functions of the OUR, the technical functions of the Broadcasting Commission (BC) and the regulatory functions of the Spectrum Management Authority (SMA). The Fair Trading Commission (FTC), with a wider remit, would remain separate from this converged entity.

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mandated by Government to facilitate effective competition and

to regulate the telecommunications sector in a transparent,

non-discriminatory and accountable manner.

In order to facilitate and safeguard efficiencies in procedures,

the Telecommunications Act should impose time limits on the

Regulator to act on, and dispose of, matters brought before it

for adjudication, including but not limited to, applications for

licences, customer queries or complaints from consumers, as

well as queries or complaints from service providers.

4.2 Licensing

The telecommunications regime in Phase 3 will continue to be

operated on the basis of the award of licences. As such,

licences already issued to the mainline incumbent and other

operating companies will be honoured in Phase 3. At the same

time, the revised licensing regime will allow for competition in all

areas of telecommunications effective March 2003.

The Regulator will determine a scale of fees for such

applications. Where necessary for national development,

licensing and policy changes will be negotiated with the

mainline incumbent.

In the award of licences, consideration should be given to the

number of players in the market7, the consumption of national

7 eg. To assess market saturation.

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(natural) resources and the viability of the business. The

method, number and pricing of such licences should be

founded on at least two fundamental distinctions:

• Licences that require the use of a finite resource, as in the

radio spectrum (i.e. to monitor and use the spectrum as a

public resource); and

• Other operating Licences (i.e. to monitor operations with

revenue potential and value added in the end user markets

served).

The Regulator should also be empowered to take action

leading to the revocation of licences. This is proposed in cases

where licensees have been shown to be in breach of the

conditions of their licence(s) or have not commenced

operations after twelve (12) months of the date of the granting

of such licences. 4.3 Convergence

The convergence of telecommunications, information

technology and media services is resulting in a blurring of the

distinctions between the forms of delivery used to carry different

types of content. GOJ intends to promote greater use of the

Internet, e-Government and local companies actively engaging

in electronic commerce, but is mindful of the potential dangers

inherent in the use of such interactive media.

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Technological convergence8 has led to a fusion of markets and

consequentially to a profound impact on the underlying

economics of service provision and delivery. In particular, the

range of services that can be offered by firms in previously

isolated markets has expanded greatly, and this in turn has

transformed scale and scope economies, as well as service-

specific incremental costs.

The import of all this is that previously distinct industries,

subject to varying modes of regulation now need to be brought

under a common regime to facilitate the extraction of the

efficiency and service provision benefits of convergence, as

well as reduce the administrative and information costs of

regulation. The Telecommunications Policy therefore seeks to

maximise the benefits of convergence for national

development.

4.4 Interconnection

Interconnection between service providers is a complex area,

since this requires administrative and technical cooperation

between competing industry players. Responsibility for the

design and monitoring of all systems for interconnection and

their technical inter-working should continue to be a matter of

primary focus by the Regulator.

8 This relates to technological, market or legal/regulatory capacity to integrate across previously separated technologies, markets or politically defined industry structures (ITU).

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Any revised Telecommunications Act should make clear what

the expectations are of the mainline wired operating company,

in the event that other service providers will need to rely on its

facilities as the basis to provide their services. The provisions

should not be so narrowly crafted, however, as to preclude the

possibility that at a future date companies may rely on another

entity’s facilities for such services.

Interconnection rates and price cap regulation can also have

strong implications for competitive rivalry. The effective

management of a liberalised telecommunications environment

is likely to require regulatory capability that can increasingly

provide a transparent and clear justification for interconnection

rates, that are founded on high quality domestic cost

information, that can stand up to third-party examination and/or

judicial review. Interconnection monitoring will be required to

ensure access to the mainline incumbent’s or other telephone

infrastructure in a fair and non-discriminatory manner, with

recourse to the Regulator and the Telecommunications Appeals

Tribunal in case of disputes.

4.5 Rate Rebalancing

The issue of access deficit charges and its implications for

universal service, price caps and rate rebalancing still require

attention by the Regulator. One of the pressures for rates to be

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rebalanced in the future is driven by reform of the international

accounting rate system. As a necessary initial step before

meaningful rate rebalancing strategies can be implemented, the

mainline incumbent operator (and other operators in due

course) will be required to provide sufficient robust cost

information to enable the extent of any rate imbalances to be

identified9.

In light of this ongoing rate reform, and bearing in mind any

imbalances identified between the structure of rates and costs,

the rate rebalancing10 strategy developed by the Regulator will

need to be reviewed periodically, following consultation with

interested Parties. However, efficient price and rate

determination is contingent on the availability of accurate cost

information and the appropriate level of detail that will allow the

Regulator to realistically verify and effectively make regulatory

decisions on the basis of quality information made available.

4.6 Management of the Spectrum

The radio frequency spectrum is a finite resource, which must

be carefully managed to ensure that it is exploited by service

providers and managed by the Regulator to the maximum 9 It is likely that the rates for domestic telephone services will continue to be subsidised by profits obtained by the incumbent mainline operator on international calls. Reductions in accounting rates, which govern the payments between operators on international calls, may limit the extent to which the mainline incumbent will be able to continue to subsidise its domestic telephone rates. 10 Rate rebalancing is a change in the structure of telephone prices, but not the overall level (which is the subject of rate reviews). Economic efficiency is enhanced by a rate structure that appropriately reflects the underlying structure of costs.

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benefit of the people of Jamaica. Key elements in the

management of the spectrum by the Regulator include:

• Spectrum will always be made available for essential

national security needs.

• Spectrum will be made available for broadcasting and

subscriber television services, and the Regulator will be

required to consult with the Broadcasting Commission on

such allocations.

• Special interest will be provided for, such as aeronautical,

maritime and emergency telecommunications needs.

• Adherence to international interest will be ensured.

Spectrum management will be carried out by the Regulator

within a clearly defined Government policy framework to ensure

that common resources are exploited for the benefit of the

people of Jamaica.

4.7 Numbering Policy

Telephone numbers should be considered a public resource.

Numbers, like spectrum, are finite and procedures should be

developed to ensure their efficient use. The Regulator has

responsibility for numbering policy and administration of the

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national numbering plan for local telephony. The numbering

policy should take account of the following issues: -

• Flexibility to meet future needs: Increasing demand for

numbers will arise from the introduction of new

telecommunications services as well as the growth in

existing services, such as Directory Query.

• Facilitating effective competition: All telecommunications

providers will receive fair and non-discriminatory treatment

in the allocation of numbers. Number portability will be

introduced where appropriate.

• Cost effectiveness: The development of the numbering

plan will take account of the costs that may be imposed on

consumers, operators and service providers.

• Provision of information to consumers on country and local

area codes: Where possible, numbers will indicate

meaningful information to callers, such as the type of call

and the price band.

Service providers should formally apply for and justify the need

for numbers, not on the basis of forecasts but rather on the

ability to offer service. The Regulator should set standards of

utilisation and conduct audits to ensure compliance. The

Telecommunications Act should empower the Regulator to

recall previously assigned number schemes from carriers in

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cases where there has been no service provision within the

number scheme upon the expiration of a defined time limit from

its assignment and/or in the event of breach of any utilisation

standards.

The Telecommunications Act should empower the Regulator to

make a determination as to whether number portability between

service providers is desirable and economically viable, and if

so, to oblige service providers to facilitate this for their

customers. The Act should also oblige the regulatory body to

interact with the appropriate international bodies engaged in

telephony management and switching to ensure that local

numbering plans are known to the international

telecommunications sector.

4.8 Advisory and Appeals Bodies

4.8.1 Telecommunications Advisory Council

The Jamaica Telecommunications Advisory Council (JTAC),

referred to in the Telecommunications Act, will function as a

transitional body. In a period not exceeding 3 - 5 years, the role

of the Council should be reviewed. JTAC could eventually

evolve into a voluntary association of operating companies and

other industry players.

During its existence, JTAC will continue to be the government

entity with the mandate to conduct surveys to see how

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telecommunications facilities in service areas are utilized. One

of the roles of the Advisory Council to recommend to the

Minister a nominee to the Telecommunications Appeals

Tribunal would eventually be assumed by the proposed

voluntary industry trade/association or grouping. The source of

administrative and financial support for the operation of the

Council should be clearly defined in any revised

Telecommunications Act.

4.8.2 Telecommunications Appeals Tribunal

The Telecommunications Appeals Tribunal, referred to in the

Telecommunications Act, should be treated as a permanent

body. The Tribunal will meet to hear cases11 referred to it by

aggrieved industry operators, as and when necessary.

The source of administrative and financial support for the

operation of the Tribunal should be clearly defined in any

revised Telecommunications Act. That Act should also require

the Appeals Tribunal to determine matters within a reasonable

period of time.

4.9 Service Level Standards

The Telecommunications Act should empower and oblige the

Regulator to consult with the industry, to develop and review 11 In future, the work of the Telecommunications Appeals Tribunal will not necessarily relate to the OUR as it is now in relation to telecommunications operating companies, but rather to the single Regulator.

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minimum service level standards to be met by

telecommunication providers as a condition to the award of

their operating licence(s). These standards should cover the

fundamental precepts of telecommunications operations,

including but not limited to, service provision, connectivity and

access, transmission quality and customer relations

management (query and complaints resolution).

The Act should also empower the Regulator to impose

sanctions on service providers who breach established service

level standards, by means ranging from refunds to customers,

to fines and/or suspension or revocation of operating licences

depending on the severity of any such breach.

4.10 Voice and Data Services

The mainline incumbent currently maintains a separation

between voice and data markets. This separation necessitates

the use of separate facilities by end users to access both types

of services. The distinction is artificial since state-of-the-art

technology already enables the integration of both markets and

the use of common transmission facilities.

The Telecommunications Act should therefore be neutral on

technology, including technologies employed for the purposes

of transporting both voice and data. In other words, the Act

should not attempt to differentiate between transmissions

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designated specifically as voice or data, nor between transport

methodologies, such as wired or wireless transmission or

VOIP12, and should provide for customer choice in exploiting

available technologies to access telecommunications services.

In a liberalized environment, the Act should also clearly define

the strict circumstances that could lead to the designation of

any customer premises equipment as Prescribed Equipment,

as well as the procedure for revocation of any such designation.

At the same time, the Act should also provide for severe

sanctions to be applied where the Regulator (Court of Law)

finds that a person or group of persons or body corporate is

engaged in the on-selling of telecommunications transmission

services without the appropriate licence.

4.11 Development of the Cable Industry/ ISP Sector

Despite heightened expectations about the potential of the

cable sector to develop into service providers for the Internet

and local telephony, the award of STVO ISP licences have not

to date had the desired effect of increasing consumer choice in

the market. The reasons relate to both an incompatibility

between the narrow zoning arrangements in the delivery of

cable services and the broader market requirements of ISPs

and other voice and data services. The low uptake also relates

in large measure to the high cost of providing the service, 12 Voice Over Internet Protocol (VOIP)

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inadequate training of in-house personnel to handle the new

media and preparation for the administrative requirements to

provide the new service. Assistance is therefore required for

potential ISP operating companies in the cable sector.

In these circumstances, it is recommended, that JAMPRO

continues to work with the sector to harness its potential

functions as an ISP and moreover, as an alternative wired

network to the main incumbent wireline service provider.

4.12 Observance of Jamaica’s Regional and International

Obligations

This Telecommunications Policy encourages active

participation by Jamaica in regional and international fora to:

(i) ensure that Jamaica benefits fully from cooperation in

telecommunications.

(ii) fulfill Jamaica’s regulatory commitments to the World Trade

Organisation (WTO) as a signatory to the Basic Agreement

on Trade in Telecommunication Services, relating in

particular to:

• Universal access that will be administered in a

transparent, non-discriminatory and competitively

neutral manner.

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• Interconnection with the incumbent made available on

a fair and non-discriminatory basis, with recourse to

the Regulator in the case of disputes.

• Implementation of effective spectrum and numbering

management principles.

Telecommunications development in Jamaica should seek to

influence developments in the CARICOM Single Market and the

Free Trade Area of the Americas processes and in that context

be seen as driving a regional telecommunications framework.

Jamaica should also seek to promote unified CARICOM

positions on telecommunications issues and carry these

forward into the international arena.

4.13 Human Resource Development

While considerable attention will have to be paid to the

structural and technological factors, it is of crucial importance

that the human resources element of industry planning should

not be neglected.

With the continuing emergence of new technologies over time,

there is a need to have in place personnel with the appropriate

skill-sets in the Government Ministries and Agencies associated

with the promotion of ICT and telecommunications regulation.

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4.14 Legislation

The law’s main purpose would be to give legal effect to the

Government of Jamaica’s policy to introduce and promote

competition in the provision of telecommunication services. This

pro-competition legislation will set out:

• how local telephone carriers, including STVOs, can enter

and compete in the market;

• how, and under what circumstances, carriers will be

allowed to provide long distance services;

• how the industry will be regulated (including provisions

relating specifically to the composition and work of a single

Regulator);

• how the rights of consumers will be protected as the

liberalization process unfolds;

• how the interests of the operating companies will be

safeguarded;

• how Universal Access will be applied in the build-out of

networks and the roll-out of new services; and

• how the rules will be applied in this new era of competition.

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Telecommunications legislation will affect telephone service

(local and long distance), Internet service over cable and

relationships between consumers and providers. In short, it will

affect how we communicate. Such legislation has the potential

to change the way we learn, live and work.

4.15 Consumer Interests and the Digital Divide

With regard to social inclusion, the Government of Jamaica has

adopted Universal Access as a fundamental principle in this

national Telecommunications Policy and had identified groups

in danger of being affected by the digital divide13. In this policy,

every effort has been made to ensure that the interests of

consumers, whether these are households, end users or other

service providers, have been represented.

This policy seeks to promote better access, consultation with

the industry, standards for services and affordability as

components in the provision of telecommunications services to

all consumers.

13 Digital divide is a term used to describe the discrepancy between people who have access to and the resources to use new information and communication tools such as computers and the Internet, between those who have the skills, knowledge and abilities to make use of technologies and people who do not have such access/ability. The digital divide can also exist between those living in rural areas and those living in urban areas, between the educated and the uneducated, between economic classes, and on a global scale between the more and less developed countries (industrially).

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5.0 THE WAY FORWARD

Telecommunications is a truly global industry that thrives on

competition and multilateral co-operation. For Jamaica to benefit

from developments in telecommunications, it must actively participate

in the formulation of telecommunication policy and regulations,

nationally, regionally and internationally.

The Government of Jamaica is now working towards readiness for

Phase 3. With a commencement date of March 2003, it is fitting at

this time for the Government to have in place the appropriate

administrative, legal and regulatory framework to give effect to this

policy direction.

• The transitional Telecommunications Act is being revised to

allow for greater competition in the telecommunications market,

as well as for the provision of international telecommunication

services and more effective regulation of the industry in the new

liberalised operating environment expected in March 2003.

• The Government of Jamaica, through the Ministry of Industry,

Commerce and Technology (MICT), is currently undertaking a

process of examination of Expressions of Interest to see how

best private sector interests can be accommodated in this

process.

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• Bearing in mind the issue of convergence, steps are also

underway to converge and locate telecommunications functions

within a single regulatory body that can effectively monitor new

media in telecommunications and broadcasting.

In the next phase of the liberalization process, it is envisaged that

private sector companies will take advantage of the opening up of the

market to pursue new ventures. The anticipated expansion in

telecommunication businesses will help to play its part in improving

employment levels for skilled persons in the industry and will foster

economic growth and national development.

Looking ahead, the outlook is promising, the Government of Jamaica

hopes to be able to reap the benefits of a liberalised

telecommunications market over the next few years.

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LIST OF ABBREVIATIONS

BC - Broadcasting Commission Cable TV - Cable Television CARICOM - Caribbean Community FTC - Fair Trading Commission GOJ - Government of Jamaica ICT - Information and Communication Technologies Incumbent - Cable and Wireless Jamaica Limited ISP - Internet Service Provider IT - Information Technology ITU - International Telecommunications Union JAMPRO - Jamaica Promotions Corporation JTAC - Jamaica Telecommunications Advisory Council MICT - Ministry of Industry, Commerce and Technology NEPA - National Environment and Planning Agency OUR - Office of Utilities Regulation Regulator - Appropriate Industry Regulator SMA - Spectrum Management Authority STVO - Satellite Television Operator VOIP - Voice Over Internet Protocol WTO - World Trade Organisation