Telecoms CEO welcomes infrastructure sharing

Wed, Dec 10th 2014, 12:36 PM

The Utilities Regulation and Competition Authority's (URCA) proposed infrastructure sharing regulation is a vital step in providing a more "level playing field" for cellular providers, according to a telecoms CEO.
Speaking with Guardian Business yesterday, IP Solutions International (IPSI) CEO Edison Sumner said he supports URCA's proposed regulations aimed at reducing the entry barrier cost for new competitors in the electronics communications sector (ECS).
URCA released its proposed regulations earlier this week, which call for operators to share their telecoms facilities with competitors where possible as the country prepares for mobile competition.
"I think it's a fantastic idea if it is executed properly. Being able to enter into an agreement to do network sharing with the incumbents will save a lot of capital spending and reduce the amount of equipment and other infrastructure on the island by tapping into the resources that exist already.
"This something that we certainly encourage. This does not negate the fact that there will still be operators who have to put equipment in place to build up their own network, but what it does is give other operators an opportunity to compete on a more level playing field," he said.
URCA released a statement yesterday outlining the benefits of facility sharing, which included reducing the public and environmental impact of erecting new towers along with substantial cost reductions. More importantly, URCA argued that the proposed regulation would result in a much faster rollout of cellular services by future operators.
"URCA is conscious that with the imminent introduction of mobile competition, there will be an increased need for the construction of facilities by new operators.
"In an effort to reduce the need to duplicate all existing facilities, thereby reducing the capital investment required to enter the market, URCA proposes to introduce regulations which will require operators, where possible, to share their facilities," reads the URCA statement.
While the government will receive bids for a second cellular license next year, Bahamas Telecommunications Company (BTC) CEO Leon Williams earlier stated that the government had already expressed its intention to award a third mobile license in 2016.
Sumner did not expect BTC to resist the proposed regulations, stating that facility sharing would help generate more revenue for the provider.
"This will help the incumbent operators to improve their level of service and also the efficiencies that they bring to the consumer while also bringing revenue to those companies sharing facilities," said Sumner.

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