170 likes | 273 Views
TELECOMMUNICATIONS SECTOR: PERILS&OPPORTUNITIES IN LITHUANIA. By Dainius Pupkevičius, UAB Omnitel Vice-president, CFO. Topics. Role Regulation Future. TELECOMMUNICATIONS – THE MOST SIGNIFICANT PART IN “ KNOWLEDGE SOCIETY”. I C T. KNOWLEDGE. Access is key to K nowledge S ociety
E N D
TELECOMMUNICATIONS SECTOR: PERILS&OPPORTUNITIESIN LITHUANIA By Dainius Pupkevičius, UAB Omnitel Vice-president, CFO
Topics • Role • Regulation • Future
TELECOMMUNICATIONS – THE MOST SIGNIFICANT PART IN“KNOWLEDGE SOCIETY” ICT KNOWLEDGE Access is key to Knowledge Society Telecommunications provide access to Knowledge
TELECOMMUNICATIONS THE MOST SIGNIFICANT PLAYER IN:Contribution to GDP
TELECOMMUNICATIONS THE MOST SIGNIFICANT PLAYER IN: Contribution to the State Economy • Telco sector capital investment contribution to the total Lithuanian capital investments in 2001, estimates; • 2. Telco sector contribution to national Budget VAT inflowsin 2001, estimates; • 3. Telco sector contribution to 2001 SODRA budget, estimates.
TELECOMMUNICATIONS THE MOST SIGNIFICANT PLAYER IN: New jobs creation
MARKET WITH EFFICIENT COMPETITION: - WHAT THE REGULATION SHOULD BE • Regulation should be more forward looking and preventive against abuse of dominance in a pursuit of a fully competitive environment; • New commercial models and services must be allowed to develop to meet changing consumers’ demand without regulatory intervention; • Sector-specific regulation should be applied only for the markets which are not effectively competitive;
IS TELECOMMUNICATIONS’ MARKET THE MARKET WITH EFFECTIVE COMPETITION?
IS TELECOMMUNICATIONS’ MARKET THE MARKET WITH EFFECTIVE COMPETITION?
WHAT IS EFFICIENT REGULATION? • Least objectively required - Rounding by 1 sec. requirement for LT; - Requirement to compensate invoice payment costs; - Requirement to combine statement&invoice into one document. • Enhancing - Limited possibility for credit check; - Cost justification. • Transparent -Dialogue between the operator community&NRA today is “UNDERCONSTRUCTION”; - Quantity of the secondary regulations should not be sacrificed for quality. • Fair – technology neutral -Stricter NRA requirement to the fixed operator as to the accuracy of call duration metering; -Different service provision rules for fixed&mobile operators. • Balanced - LLU vs metrology standards; -Number portability&carrier preselection. • Less “politically” correct -Industry can not become a hostage of the EU requirements! EU is changing!!! -Political parties should not use regulation in a pursue of purely political goals.
FUTURE OF THE LITHUANIAN TELECOMMUNICATIONS Mobile penetration growth forecast
LITHUANIAN TELECOMMUNICATIONS2003 market forecast* • Fixed market will remain in monopolysituation de facto • 3 SMP players will be in mobile market; • No significant changes in 2003 Data market, in comparison to 2002. • * estimates
TELECOMMUNICATIONS IN LITHUANIA CONCLUSION Telecommunications sector is vital to the development of Knowledge Societyc and thus the Lithuanian Economy, although it’s role – not realised.
TELECOMMUNICATIONS IN LITHUANIA CONCLUSION Effective development of telecommunication services and effective competition is possible onlyunder the conditions of the least objectively required. Mobile market – is the market with the effective competition