New Era (Windhoek)

Namibia: Communication Wars Expose Legal Vacuum

Desie Heita

28 August 2008


The legal vacuum in the communication industry is becoming apparent with the three communication operators involved in a vicious fight over annual bottom lines.

The three communication operators are baying for each other's blood in a brawl that, behind the scenes, has drawn in the Minister of Information and Communication Technology, Joel Kaapanda, whom the mobile operators accuse, in private, of "being biased [against mobile network operators] and exercising apparent favouritism towards Telecom".

Telecom's seemingly less harmful and matter-of-fact media statement last week about interconnection tariff charges of MTC, courted retribution from MTC who pointed at Telecom's monopolistic status and, more importantly, again casting doubt on the legality of Telecom's Switch mobile service.

"We cannot understand why Telecom has opted to distort the facts and feed the public with selective information, which is neither in the best interest of the customers nor that of the industry as whole," MTC's spokesperson, Albertus Aochamub, responded.

Contacted for comment, the Director of Communication at the Namibian Communications Commission (NCC), Henry Cassen, said the communication regulator had met with the three operators to address the interconnection rates and is still deliberating on recommendations from the meeting.

Nevertheless, the gist of the matter is that the current legal system on which NCC is operating is vague.

"There is no clear legal regulation that makes provision for the NCC to make compulsory a set rate for interconnection tariffs.

"The parties agree themselves on the rate but the NCC cannot force the parties to settle on a certain rate," said Cassen.

The three communication companies have tussled over the topic of interconnection tariffs with Cell One and Telecom teaming up against MTC, whom they accuse of charging exorbitant tariffs, higher than the recommended tariff set by the Namibian Communication Commission.

Equally, though, MTC and Cell One remain on the same side on the legality of Telecom's Switch, which they maintain is illegal and is being allowed to operate thanks to Government's favouritism towards Telecom.

Government owns direct and indirect significant shareholding in the two mobile network operators and a full shareholding in Telecom.

As an indication of favouritism, one of the mobile operators said it took ages for Kaapanda to avail himself for an audience, while readily lending a listening ear to Telecom.

Strengthening the speculation is Telecom's recent announcement that it is in discussion with Government to remove the Cabinet imposed restriction on its mobility telephony product, Switch.

In its response yesterday, MTC asked: "Does Telecom Namibia have a licence to operate Switch?

Notwithstanding Telecom's desperate attempts to abuse the vacuum left by the current legislation on the telecommunications industry, it should be stated that under the current law Telecom Namibia has no licence to offer mobile services. Furthermore, nobody briefed or appraised anyone on how and under which rules Switch is being operated."

Oiva Angula, spokesperson for Telecom, said Government intervention, and the subsequent Cabinet imposed restriction on Switch, came about "to appease investors and not because Switch was illegal".

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