This section considers different approaches used to open markets through the authorization of new ICT services and networks. The authorization approach and process adopted by a country depends on national and regional sector policies, laws and market structure. Increasingly, the approach taken to licensing also depends on international trade rules, such as those established by the WTO.
Depending on the level of development of general ICT policies, the typical steps in designing a new authorization process might include:
- a review of market performance, including: measuring performance of existing service providers, considering existing legal exclusivity rights, studying demand for new services, benchmarking local market performance with similar economies and considering international authorization experience and trade commitments;
- development of a policy for authorization of new service providers, with options such as:
- public-private partnerships (generally not advisable unless there are important policy, constitutional or legal restrictions on authorization of private sector service providers)
- open market policies, with unrestricted market entry for all networks and services
- phased market opening policies, which limit entry to some key markets (e.g. fixed voice, international gateways, etc.) in the early years, to increase authorization fees or network rollout obligations; and
- open entry for other services to maximize economic benefits;
- development of a process for licensing new service providers (e.g. competitive auction, comparative evaluation, general authorization process);
- a public consultation on proposed new authorization policy and process, setting out considerations for existing service providers, new entrants, consumers and the national economy;
- development and approval of any necessary legal and regulatory amendments to implement a new authorization policy; and
- commencement of the authorization process (see sections in this module on general authorization regimes and competitive authorization processes, in addition to Module 5, Radio Spectrum Management).
This module includes authorization policies and other authorization documents that illustrate a range of approaches to implementing market entry policies. Some good examples are accessible through the links set out below.RELATED INFORMATION
Public -Private Partnerships