Chapter 2 translations
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Universal access and service (UAS) is achieved through a combination of sector reform, dedicated financing instruments and additional measures that stimulate market expansion into rural and remote areas. This chapter explores the role of sector reform in achieving UAS.
Regulatory reform is integral to UAS policy. It is important to emphasize that regulatory reform is part of UAS policy and not separate. There is a misconception that privatization and liberalization does not promote UAS and benefits only investors, industry players and urban and business customers, thereby creating a need for a UAS policy that will ensure that all are served. It is more accurate to consider regulatory reform as the first step in achieving UAS, and that a UAS policy is an additional measure to complete and supervise what a well-regulated and efficient market begins.
Section 2.1 emphasizes the advisability of implementing regulatory reform before implementing any specific measures such as Universal Access and Services Funds (UASF). The section also describes the main regulatory reform topics such as authorizations/licensing, interconnection, competition and price regulation, that need to be addressed, and their impact on UA.
The most important step of sector reform is introducing competition, which coupled with fair and independent regulation, creates a level-playing field between operators. This is especially important if the incumbent operator is not yet privatized. The positive impact of effective competition has been demonstrated in most countries’ mobile services. Section 2.2 discusses how competition affects and improves UAS. Also, operators can and do view UAS provision as a business opportunity. How they address the UAS market is described in Section 2.3.
Section 2.4 outlines specific regulatory measures that can be used in addition to general reform and best practice regulation to improve UAS. Section 2.5. is dedicated to discussing measures and options to create an enabling broadband environment. If put into practice, then the regulatory reform measures discussed, create more sustainable and widespread communications access as well as service growth.