The Liberia Telecommunications Authority introduces new policies here to regulate mobile money services.
By Lincoln G. Peters
Paynesville, Liberia, August 21, 2024--The Acting Board of the Liberia Telecommunications Authority (LTA) has signed two major regulations to enhance opportunities for many Liberians, including entrepreneurs, and improve service quality and government revenue.
These regulations were drawn after extensive research, review, and public consultations under the LTA Act.
The first is the Numbering Regulation, which includes a revised Numbering Plan. It provides a framework for efficient allocation, assignment, utilization, and management of all telecommunication numbers, including Short Codes, throughout the nation in a fair and non-discriminatory manner.
Speaking in a news conference on 19 August 2024 at the LTA headquarters in the ELWA community along the Robertsfield highway, Chairperson Abdullah L. Kamara explained that the regulatory body always had a plan for managing telephone numbers, but they have now completed a well-structured framework with specific guidelines, processes, and standards to be followed, including categories for the use of Short Codes.
Chairperson Kamara said all Short Codes were assigned through Mobile Network Operators, who had complete control over whom they assigned numbers to and how much they would charge without any regulation.
The research indicates that applicants were charged several thousand United States Dollars for using Short Codes and that additional fees were assessed.
As a result, anyone seeking to enter the Mobile Money Market, for instance, would not be given a fair market price to acquire a Short Code because they would be in direct competition with the very MNOs in the same business.
The LTA boss said the new Numbering Regulation has changed this, as all Short Codes will now become a national resource fully controlled under the authority, like Spectrum in some respects.
The Numbering Regulation dictates that LTA alone will allocate, assign, and manage the delegation of all Short Codes, providing equal access to all applicants on a first-come, first-served basis with basic requirements.
"The revised Numbering Plan sets forth specific categories for 3 digits through 6-digit Short Codes with provisions for Toll-Free, Premium, and other specially-assigned numbers. The regulation clearly states there will be no exclusive, perpetual rights to numbers", he added.
The Short Code application fees are $25.00 and $150.00 per year, with the exception of the 3-digit, limited-in-number Short Code, which has an Authorization Fee of $1,500.
Chairperson Kamara also said that this framework provides for effective competition, decentralizes the control of scarce national resources by ensuring transparency, enhances competition, and opens up business opportunities for smaller entrepreneurs, especially Liberians.
The second is decentralizing control, which introduces the Regulations on the Wholesale Access to Telecommunication Network for Value-Added Services. In short, the board refers to it as the (VAS) for Value Added Service.
The VAS Regulation sets forth the criteria for fair market cost-based access for Short Code businesses to reach their customers through the MNOs. It facilitates the development of the telecom sector and provides guidelines for Aggregates and mediators for smaller Short Code users to gain access through the MNOs, promoting sustainable wholesale access to non-telecom services.
The MNOs are declared essential facilities, meaning they are the ONLY means through which businesses may access their customer base. Thus, the regulations require that MNOs give access to Short Code users.
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Short Code businesses are classified as 'non-facility-based,' meaning they do not have a network of their own and are not in the position to build one. VAS Regulation, therefore, mandates that MNOs provide access.
The LTA board also discussed establishing a transitional arrangement requiring all numbering resources, active or reserved, to transition to the LTA. After that, the Authority will determine the numbering authorization fee.
This is a period during which MNO's will use to transfer their control and terminate their contracts with Short Code businesses they presently have agreements.
"The LTA will put into place the appropriate measures to manage and monitor the implementation of the regulations, Chair Kamara emphasized.
He said this is the essence of the two distinct regulations that will open up opportunities for smaller businesses and encourage Liberians' participation in the ownership, control, and management.
