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Changing Landscape of African regulators. Monica Kerretts –Makau (PhD) Senior Lecturer: Strathmore Business School Board Director –CCK. THE DIGITAL ENVIRONMENT. Traditional Challenges…. 1. Competition Framework Dominant vs small Players
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Changing Landscape of African regulators Monica Kerretts –Makau (PhD) Senior Lecturer: Strathmore Business School Board Director –CCK
Traditional Challenges… 1. Competition Framework • Dominant vs small Players • Price Regulation for Small and Wholesale . Compliance Framework 2. Regulatory Audit -Quality of Service -Certification of Digital signature -Counterfeit devices -Security 3. Technology Roll out
Why Regulate ? Regulation aims at: • correcting market failures • creating stable and competitive market environments • promoting benefits from services trade liberalization while minimizing attendant costs • achieving other key domestic policy objectives (e.g. protecting consumers, developing domestic supply capacity, protecting the environment, maintaining cultural diversity and ensuring universal access to essential services) • IN AFRICA SHOULD THE PRIORITIES BE THE ABOVE WITHIN THE AMBIT OF ACCESS AND EQUITY AND AFFORDABILITY ? • -Social /Economic/Cultural and Political ?
Why Regulate … • While the case for regulating services is widely acknowledged there is less agreement on what is good regulation • Broadly, good regulation should achieve the following: i) promote economic growth, ii) promote social welfare and environmental sustainability, iii) result in outcomes that meet expectations of key stakeholders (e.g., consumers, operators, investors) iv Promote equity (access, cost etc) • Regulation should be effective (i.e. achieving planned goals) and efficient (i.e. achieving goals at minimum costs)
Brief Kenyan Stats in light of regulation • Post Paid subscribers – 26,260,564 million • Prepaid subscribers -233,376 • Total mobile users- 26,493,940 Mobile operators: • Safaricom 17 million • Airtel – 4 million • Esar Telecom – 1.6 million • Telkom Orange – 2.7 million
Kenyan stats in light of regulation • Mobile money – 18.4 million subscribers (69.5 % of total mobile subscription) • Mobile deposits 58 billion Kes (580 million dollars) Internet: 5.4 million mobile subscribers (data) BUT IS THIS IT?
Shifting space……Is it only about technology? 1. Framework for Consumer Protection • Rights for good quality service • Rights for fair price • Rights for access to service (across gender, age, disability etc)
Shifting space ….What should I be concerned about more? 2. Framework for new VAS providers (in light of new technologies) • Encouraging content writes • Encouraging young innovative techs in the market
Shifting space…Who is the regulator? 3. Independent Decision making/System • Integrity issues • Personal interests • Regulatory Capture (Industry and Government) • Political interest
Changing space… 4. Who else regulates? Whose space am I also in? • Energy Authority /Regulator • Competition Authority /Regulator • Institutions and Agencies concerned with access in education, age disparity, disability etc
Changing space…. 5. Internal/External Structures and Functions -Who do I talk to? -How can I reach them? -Who understands me? -Dispute Resolutions?
Changing landscape…. • Regulation now also about Lobbying? • For what? • Appreciation of regulation/regulatory role • Integration of national plans and policies –not an Isolated policy making process • Perception of Regulation • Consumer awareness