International frameworks

APT-ITU workshop on the International Telecommunications Regulations

Bangkok, 6-8 February 2012Richard Hill, ITU

• Background: past and future telecom trends • Review of ITRs• WTO Agreements and Regional Trade Blocks• The ITU Constitution• Key issues for ITRs• Summary

Contents

The International Telecommunication Regulations (ITRs) define the general principles for the provision and operation of international telecommunications:

To facilitate global interconnection and interoperability of telecommunication facilities

To promote the harmonious development and efficient operation of technical facilities

To promote the efficiency, usefulness and availability to the public of international telecommunication services.

They were adopted at the 1988 World Administrative Telegraph and Telephone Conference (WATTC-88) held in Australia and they have remained unchanged since coming into force in 1990.

Background: past and future of telecom trends

Source: ITU

1865 20121865 20121988

ITRs (came into

force in 1990)

ITRs (came into

force in 1990)

Regulations for international service of the Telegraph Convention

(1865- last modified on 1973)

Telephone Regulations (1932 - last modified on 1973)

Radio Regulations(first version 1906 – last modified in 2007)

Radio Regulations(first version 1906 – last modified in 2007)

1906 19731958194919381879 1932

Telegraph Regulations (1932 - last modified on 1973)

Background: past and future of telecom trends

Art 1. Purpose and Scope of the Regulations

Art 2. Definitions

Art 3. International network

Art 4. International telecommunications services

Art 5. Safety of Life and Priority of Telecommunications

Art 6. Charging and accounting

Art 7. Suspension of services

Art 8. Dissemination of information

Art 9. Special Arrangements

Art 10. Final provisions

ARTICLES

PROVIDE AN INTERNATIONAL FRAMEWORK

Review of ITRs

5

Since 1998, several meetings and conferences have taken place to work on ITRs revision:

Expert groups and working sessions: It was stated that ITRs were intended to facilitate liberalization, see, e.g., Article 9, (special arrangements)

1999-2001 2002-2003

The Plenipotentiary conference in Marrakech 2002 adopted Resolution 121, which resolved that the process of reviewing the International Telecommunication Regulations (ITRs), should be continued.

The Council Working Group on ITRs established in 2003 following Resolution 121: to consider whether there is a need for new provisions in the ITRs and identify new issues, if any, that may be the subject of ITU Recommenda tion

2004-2006 2007-2011

Several meetings took place from 2007 to 2011:Many proposals have been made, including for example (in no particular order):1) Mandatory application of certain ITU-T Recommendations;2) Countermeasures against spam 3) Misuse of numbering, naming and addressing resources and subscriber identification;4) Quality of service;5) Appropriate use of billing and payment models;6) Cyber security.

At present there is no agreement regarding these proposals

The Council working group in 2004-2005, splitin 3 subgroups that analyzed issues such as whether the ITRs provisions can be applicable for international telecommunications services arising from evolving telecommunication industry

The Plenipotentiary Conference in Antalya, 2006 adopted Resolution 146, which stated 1) that a review of the ITRs should be carried out; and 2) the fourth WTPF(World Telecommunication Policy Forum )should consider emerging telecommunications policy and regulatory issues.

Timeline process

Review of ITRs

PP98 PP02 PP06 PP10

Res 79 Res 121 Res 146

WCIT12

Expert Group

CWG-ITRs Expert Group

CWG-WCIT-12

WTPF-09

Op.6

C99, C00, C01 C03, C04, C05 C07, C08, C09, C10

C09 adopted Resolution 1312 , creating the Council Working Group to Prepare for the WCIT 12 (CWG-WCIT12) initiating the preparatory process towards WCIT-12. Its task was to draw up a consolidated report on all ITR issues, to be used to support the work of WCIT-12.

Following a report of the CWG-WCIT12, C10 adopted Resolution 1317 to fix the dates and agenda for the WCIT.

The working group also reported to the PP10, which adopted Resolution 171 (Guadalajara ) to guide the future work of the group.

C11

Res 1312, Res 1317 PP Res 171

Res 171

Res 1312, Res 1317

Review of ITRs

• Work Plan agreed by CWG-WCIT12

7

Preparatory process – Working Plan

Discussion of proposals compilation of proposals, including new proposals.

Review 1st draft of report to WCIT-12

1st draft of new ITRs

Progress the report to WCIT-12

2nd draft of new ITRs

Progress the report to WCIT-12

Final draft of the future ITRs

Finalize report to WCIT-12

WCIT-12

27-30 Sep’11 (recently

concluded)

27-29 Feb’12 23-25 Apr’12 20-22 Jun’12 03-14 Dec’12

WTO Agreements and Regional Trade Blocks

• ITU NAFTAGLOBAL BLOCKS REGIONAL BLOCKS

WTO

International trade blocks to define an international telecommunications framework by promoting investments and a competitive market.

EC MERCOSUR

ASEAN

ECOWAS CAEU/GAFTA

WTO Agreements

• In 1994 World Trade Organization (WTO) Members decided to open special negotiations for trade in basic telecommunications services, such as voice telephony, data transmission and satellite services.

• 70 countries agreed in February 1997 to open their markets for basic telecommunications services in a multilateral agreement.

• The agreement (“Reference Paper”) analyses several issues like services that can be open for international competition, the categories of business models that would be allowed and whether or not to extend the offer to other countries through most-favored-nation clauses

• In 2011, the WTO initiated discussions regarding the matter of international mobile roaming. The European Union and the United States of America have submitted for consideration to the WTO Council for Trade in Services a set of trade-related principles designed to support the expansion of information and communication technology (ICT) networks and services, and enhance the development of electronic commerce

Transparency

Open Networks, Network Access and Use

Cross-Border

Local Infrastructure

Foreign Ownership

Use of Spectrum

Regulatory Authorities

Authorizations and Licenses

Interconnection

International Cooperation

WTO

Regional Trade Blocks REGIONAL TRADE BLOCKS

• Low internet broadband penetration: only 7 lines per 100 inhabitants,

• The main goal is to reduce the broadband service prices by eliminating unnecessary network costs by increasing connections with other parts of the world:

1) Maximize public-private partnerships 2) Adopt tax incentives to promote demand and investments from national and foreign companies.3) Support the creation of regional/ local services and contents; 4) Modify their regulations to increase private investment

NAFTA (NORTH AMERICAN FREE TRADE AGREEMENT)

UNASUR (UNION DE NACIONES SURAMERICANAS)

ASEAN (ASSOCIATION OF SOUTHEST ASIAN NATIONS)

• It eliminates many requirements regarding telecommunications in order to develop telecommunication networks and promote new entrants from other countries, as well as to make the international telecommunications market within the NATFA area more competitive and with lower prices.

• Chapter 13 of NAFTA defines rules for 1) access to telecommunications networks, 2) the provision of enhanced or value-added services (VAS), and 3) the adoption of telecommunications standards

• It is building a network of ICT skills competency centers/agencies to promote collaboration amongst these centers and agencies. It has developed a Digital Divide Database

• Broadband initiatives:1) Establishing an ASEAN broadband infrastructure connecting to high speed national

infrastructures2) Ensuring efficient spectrum management3) Encourage active usage e-services

Regional Trade Blocks

The Arab Common Market (ACM) was founded in Creation of CAEU whose plan is based on 3 stages:

1) Establish an Arab Free Trade Area running from 2010 to 2013. 2 Establish a link between financial and labor markets from 2014 to 2016.3) Establish an Arab customs federation running from 2017 to 2019.

The Greater Arab Free Trade Area (GAFTA), is a pan-Arab Free trade area founded by 14 countries . All GAFTA members have shared their standards and specifications to help their products move smoothly from one country to another and have promoted infrastructure investments (private sector) in the telecommunications sector.

ECOWAS (ECONOMIC COMMUNITY OF WEST AFRICAN STATES)

CAEU (COUNCIL OF ARAB ECONOMIC UNITY ) /GAFTA

•15 West African states in order to promote trade co-operation and self-reliance in west Africa.

• The main goal is to create a common external tariff with the elimination of all tariff and non-tariff barriers between member states:

1) Establishment of Regional Telecommunications infrastructures2) Enhancement of Community citizen’s access to Telecommunication services.3) Establishment in Member States, of an independent regulatory body and a regulatory framework to attract private sector investments.4) Establishment of a Community Telecommunications tariff structure.

Supplementary act A/SA.2/01/07 on access and interconnection in respect of ICT sector networks and services, which defines the regulatory framework for access and interconnection: non discriminatory principle, the harmonization of cost calculation methods, main guideline for access to infrastructures,…

Regional Trade Blocks EU

• The rules which govern the electronic communications sector in the EU , in force since 2002, were revised in November 2009 and were to be transposed into national legislation in the 27 Member States by 25 May 2011.

• Directive (2002/21/EC) on a common regulatory framework as amended by Directive 2009/140/EC

• Directive (2002/19/EC) on access and interconnection as amended by Directive 2009/140/EC

• Directive (2002/20/EC) on the authorization of electronic communications networks and services as amended by Directive 2009/140/EC

• Directive (2002/22/EC) on universal service and users' rights relating to electronic communications networks and services as amended by Directive 2009/136/EC

• Directive (2002/58/EC) on privacy and electronic communications as amended by Directive 2009/136/EC

• Regulation (EC) No 1211/2009 of the European Parliament and of the Council of 25 November 2009 establishing the Body of European Regulators for Electronic Communications (BEREC) and the Office

EU regulatory framework package Key provisions of the 2009 EU e-framework

The ITU Constitution• The ITU Constitution contains several provisions that can be considered as constituting an international framework relevant to telecommunications. In particular:

• Nos. 180, 181 provide that Member States reserve the right to cut off, in accordance with their national law, any private telecommunications which may appear dangerous to the security of the State or contrary to its laws, to public order or to decency.

• No. 182 provides that each Member State reserves the right to suspend the international telecommunication service, either generally or only for certain relations and/or for certain kinds of correspondence, outgoing, incoming or in transit, provided that it immediately notifies such action to each of the other Member States through the Secretary-General.

• No. 183 provides that Member States accept no responsibility towards users of the international telecommunication services, particularly as regards claims for damages.

• Nos. 184 and 185 provide that Member States agree to take all possible measures, compatible with the system of telecommunication used, with a view to ensuring the secrecy of international correspondence. Nevertheless, they reserve the right to communicate such correspondence to the competent authorities in order to ensure the application of their national laws or the execution of international conventions to which they are parties.

Summary

• Some take the view that it is necessary to include in the ITRs the future service provisions in a neutral and competitive market and that Member States have a role in ensuring market competition. Others take different views, arguing, in particular, that there is no need to address such issues in the ITRs.

WCIT-12 presents key opportunities to increase good collaboration between countries, helping countries to reach new levels of economic and social development by means of efficient telecom services;

Make ITRs relevant, and valuable to the full membership, so that they address and alleviate the many concerns that are out there.