AMENDMENTS to the new Telecoms Act will undoubtedly lead to yet another fall in cellphone rates and a more competitive landscape.

This bodes well for Jamaican mobile phone users and many are heralding Minister Paulwell’s move as daring and a clear intent to get the Government out of the way of rate disputes.

LIME must be relieved at Paulwell’s decision. Indeed, earlier this week, LIME Jamaica’s managing director, Garfield Sinclair declared: “We have taken a step towards a levelling of the playing field, and as soon as the regulators take the appropriate steps under the new law providers will be better able to compete on real market issues such as price, innovation and customer service. Consequently, consumers will benefit from increased value, better products and improved service.”

The Office of Utilities Regulation (OUR) will now determine rates and some industry insiders view this as disturbing. A former Movistar executive speaking with Caribbean Business Report

from Panama said: “The OUR now has the right to set interim wholesale and retail price caps. In this instance, there is no requirement for consultation and no right of appeal. Now that is a lot of power in the OUR’s hands. It now has the sole right to determine what is classified as confidential information irrespective of whether the carrier agrees or not.

“Paulwell must now be aware there is no obligation to consult with the industry or the minister on issues of rate setting. It is a case of unilateral carte blanche. As far as I can tell the Parliamentary oversight of the actions of OUR is removed from the Telecoms Act.”

“What is clear now is that the OUR will now be able to regulate both voice and data services. I can’t think of another regulatory body in the world who has these wide powers. This can now totally unbalance the industry.”

A LIME executive said: “For years Digicel had it their way and was able to dominate the market by setting high rates to connect to us. Now it will have a real fight on its hands and we are now better able to compete. Any fair-minded person can see this is just. Furthermore the Jamaican public will now be the true beneficiaries of Paulwell’s actions. Portability will give people options and allows Jamaicans to keep their number regardless of the network used.”

“I wonder whether this move will scare any other mobile players from entering the Jamaican market? The OUR now has a lot of power and it can in effect blunt market forces. Yes, one can say the playing field has changed, whether for the better or worse, we will see, “ said Irving Biram of Carphone Warehouse.