Call for govt to hold hand on Internet regulation

The Association of Independent Internet Services Providers (AIISP) says that Government’s plan to regulate the Internet and Internet related services is not consistent with the objectives of free trade. In addition, the organisation said the intention to regulate, as part of the Telecommunications Amendment Bill 2004, was not compatible with the Government’s intent to make Trinidad and Tobago a viable headquarters site for the Free Trade Area of the Americas (FTAA). In a press release yesterday, the AIISP commended Government, especially the Public Administration and Information Ministry for their initiative to accelerate the proclamation of the Telecommunications Act, 2001.

However, the organisation noted the implications and repercussions the Amendment would have on fair competition and the pace of liberalisation in the Telecommunications sector. The AIISP said Government’s intention to regulate the Internet was contrary to the successful strategy being used to promote rapid growth and penetration of the Internet and the building of true knowledge-based and driven societies in developed markets like US, Canada and Europe. The AIISP stated that countries that have not regulated the Internet, had the highest levels of E-commerce activity, Internet literacy, IT entrepreneurship, investment in technology start-ups and were always on the positive side of the digital divide.     

Regulation of internet services can only serve to retard the pace of liberalisation, curtail competition, stifle direct investment in technology initiatives - such as the planned Wallerfield Technology Park - and diminish the likelihood of Government meeting its objectives for Vision 2020 and the ancillary NICT plan, the organisation stated. The AIISP suggested that Government deregulate this sector and establish quotas for new entrants for government tenders to ensure fair play, since this industry had demonstrated its capacity to engender and sustain homegrown entrepreneurship and had created numerous jobs and IT training in the country.

The association stated that while they were in support of the Telecommunications Act, 2001, which addressed the issue of cross subsidisation and discriminatory practices of the dominant provider, there was an urgent need to regulate TSTT in this area. They noted that unfair competition had persisted for years in the Internet arena resulting  in TSTT having a market share in excess of 90 percent. They cited price discrimination against ISPs, unequal access to TSTT facilities on a non-discriminatory basis, and no collocation of facilities, which limits the competitive ISPs ability to service the entire country as some of the unfair trade practices being experienced.

The AIISP recommended that Internet Service Providers and Internet services not be regulated, TSTT’s Internet Division be spun off as a separate business entity and the moratorium granted to TSTT be reduced from one year to 90 days. The AIISP noted that since TSTT already had three years to prepare itself for competition and applications for concessions, since the passing of the Telecommunications Act, 2001, it is no longer necessary to grant them an additional year moratorium.