[kictanet] State House moves in to quell mobile price wars

Fri Jun 10 16:55:08 EAT 2011

Like Dr. Ndemo, I want to comment my very last on this subject. My view and
that of the Consumers Federation of Kenya remains that we are NOT
questioning the suitability of the decision to stop further lowering of MTR.
Period. We are deeply concerned with the approach/process. And assuming
State House unsolicited advice is right as most of us seem to agree, then
what explanation does CCK have for the previous accelerated southwards move
on MTR? In short and on the communications regulation, the buck stops with
CCK  and not State House - whether CCK bases its decision from State House
or other quarters. Let's not attempt to hush some serious governance issues.

Whether we have come a long way as a sector is not in doubt. We should be
worried about where we are - and where we are likely to nose-dive to -
depending on the expensive shortcuts and legal breaches we seem to be now
embracing - if for nothing else to satisfy our egos of which of the MSPs is
more or less "politically correct". It is the same reason the High Court
seems to be (at least in the interim period) reminding Mr. Samuel Pogishio
that he may be a Minister but there is what lawyers call separation of
powers and clearly (well-intentioned or not) the CCK Board of Directors must
have a say on the renewal of the DG's contract. I rest my case and wish you
a nice weekend.

Stephen 

From: kictanet-bounces+stephen=cofek.co.ke at lists.kictanet.or.ke
[mailto:kictanet-bounces+stephen=cofek.co.ke at lists.kictanet.or.ke] On Behalf
Of Francis Hook
Sent: Friday, June 10, 2011 4:09 PM
To: stephen at cofek.co.ke
Cc: KICTAnet ICT Policy Discussions
Subject: Re: [kictanet] State House moves in to quell mobile price wars

Well Roy, maybe a half hearted attempt at humour - I support Daktari - its
not the first time he is getting drawn into these things.

In the last 5-7 years the telecom sector has come a very very long way.
Unless mobile services become part of a welfare scheme that can be
subsidised by the government, there is no need to let the market atrophy by
further lowering termination rates - the rates as  they stand are OK IMHO.
To lower the rates further would have a negative effect - less investment by
operators, less taxes to the government (to build roads, hospitals,
schools.....and pay MPs, etc).    The ICT sector is increasingly becoming a
major contributor to economic growth.

As consumers we should be happy to be here.   Never mind the independence of
CCK being called into question - I think its about the bigger picture.

We've seen the top three players in the market either report losses or lower
profits.  lets remember one of the players is a listed company (just as much
as Uchumi was).   At the same time consumers are becoming more sophisticated
and making demands on their service providers (quality of service, coverage,
speed, etc).   If revenues continue to drop further, then there is no way
operators can invest in these areas.  Unless of course we want to be content
with sub standard mediocre services in the years ahead...

On 10 June 2011 15:43, Paul Roy <roykoikai at gmail.com> wrote:

Nice humor..?

PRO

On Jun 10, 2011, at 2:58 PM, Francis Hook <francis.hook at gmail.com> wrote:

Reminds me of Exodus - how Moses and Aaron had to put up with the constant
kvetching of the querulous Israelites :-)   

On 9 June 2011 22:12, <bitange at jambo.co.ke> wrote:

Stephen,
Even if termination rates goes to Zero, international call rates out of
Kenya remains high.

It is important to know that this was not a knee jerk reaction as many may
think.  The debate has been in public domain and indeed there were similar
initiatives that were not challenged.  I think we applying double standards
in this matter.  I will therefore not comment on this issue any further.

Regards.

Ndemo.

Sent from my BlackBerryR

-----Original Message-----
From: "Stephen Mutoro" <stephen at cofek.co.ke>
Date: Thu, 9 Jun 2011 16:34:03
To: <bitange at jambo.co.ke>
Reply-To: stephen at cofek.co.ke
Cc: KICTAnet ICT Policy Discussions<kictanet at lists.kictanet.or.ke>
Subject: Re: [kictanet] State House moves in to quell mobile price wars

Thanks Dktr. My personal respect for you and your views notwithstanding, I
beg to differ not necessarily on the suitability of the decision but the
approach/process. Nothing wrong for interested parties to intervene within
contexts. But lets avoid setting bad and costly precedents - through our
obsession as Kenyans with shortcuts or quick fixes and selfish deals
whenever it suits us.

A brief story. I arrived in the country very early today. For the 5 days or
so I've been away in Dakar, Senegal, my roaming bill came to about 7K not
necessarily that I was making too many or long calls but the best I cld get
is Sh59 per min for receiving calls and Sh108 for calling per min.
Retrieving data/emails was even higher.

In short, the gains Kenyans have made on ICT and telcos sector (through you
and others) are too dear to be wished/eroded away. Cofek and I request to be
understood in this perspective. Lets accord CCK the "independence" and have
it as practically as possible stir away from partisan influences. Good
night!
Sent from my BlackBerryR

-----Original Message-----
From: bitange at jambo.co.ke
Date: Thu, 9 Jun 2011 19:14:03
To: <stephen at cofek.co.ke>
Cc: <bitange at jambo.co.ke>; KICTAnet ICT Policy
Discussions<kictanet at lists.kictanet.or.ke>
Subject: Re: [kictanet] State House moves in to quell mobile price wars

Stephen,
I wish you first asked what transpired before you make such remarks.  CCK
gets its policy direction from the Ministry of Information and
Communications.  The policy emanates from the political manifesto of the
ruling party.  In our current case, the harmonized manifesto.  Here we
agreed to a free market economy.  This means that any market interventions
must reflect the underlying economic policy.

When we had accellerated price decline in Uganda, Congo and other
countries, they resulted to a floor price, in other words price control.
Had we taken that direction, we shall have undermined the underlying
economic policy.  Instead we temporarily suspended the glide path to study
the wider impact on the economy.  The CCK board arrived at that solution.

In my view you are misunderstanding the independence rule.  Central Banks
world over are independent but their decisions are based on the policy
direction of the country.  Even if you were to head this country you will
find that it is your policies that would govern the country since the buck
stops with the leadership.  It will make no sense if we have several
independent decision makers.

Different papers reported different stories but nobody has sought
clarification or offer a solution under the prevailing circumstances.

Regards

Ndemo.

> Indeed a desperate move and one that has neither moral nor legal basis.
> What a mockery of a futile attempt of by-passing regulatory regime. It is
> CCK that will be the "loser" if it cowardly allows a clear abuse of
> Section 5(b) of Info and Comms Act. Cofek will be seeking clarification
> from concerned parties. We must never allow State House to conduct sector
> regulatory matters, whether pro or anti-consumer. Rgds
> Sent from my BlackBerryR
>
> -----Original Message-----
> From: Dennis Kioko <dmbuvi at gmail.com>
> Sender: kictanet-bounces+stephen=cofek.co.ke at lists.kictanet.or.ke
> Date: Thu, 9 Jun 2011 12:17:55
> To: <stephen at cofek.co.ke>
> Cc: KICTAnet ICT Policy Discussions<kictanet at lists.kictanet.or.ke>
> Subject: Re: [kictanet] State House moves in to quell mobile price wars
>
>_______________________________________________
> kictanet mailing list
> kictanet at lists.kictanet.or.ke
> http://lists.kictanet.or.ke/mailman/listinfo/kictanet
>
> Unsubscribe or change your options at
> http://lists.kictanet.or.ke/mailman/options/kictanet/stephen%40cofek.co.ke
>
> The Kenya ICT Action Network (KICTANet) is a multi-stakeholder platform
> for people and institutions interested and involved in ICT policy and
> regulation. The network aims to act as a catalyst for reform in the ICT
> sector in support of the national aim of ICT enabled growth and
> development.
>
> KICTANetiquette : Adhere to the same standards of acceptable behaviors
> online that you follow in real life: respect people's times and bandwidth,
> share knowledge, don't flame or abuse or personalize, respect privacy, do
> not spam, do not market your wares or qualifications.
>_______________________________________________
> kictanet mailing list
> kictanet at lists.kictanet.or.ke
> http://lists.kictanet.or.ke/mailman/listinfo/kictanet
>
> Unsubscribe or change your options at
> http://lists.kictanet.or.ke/mailman/options/kictanet/bitange%40jambo.co.ke
>
> The Kenya ICT Action Network (KICTANet) is a multi-stakeholder platform
> for people and institutions interested and involved in ICT policy and
> regulation. The network aims to act as a catalyst for reform in the ICT
> sector in support of the national aim of ICT enabled growth and
> development.
>
> KICTANetiquette : Adhere to the same standards of acceptable behaviors
> online that you follow in real life: respect people's times and bandwidth,
> share knowledge, don't flame or abuse or personalize, respect privacy, do
> not spam, do not market your wares or qualifications.
>
> ----------------------------------------------
> This message has been scanned for viruses and
> dangerous content by Jambo MailScanner, and is
> believed to be clean.
> ---------------------------------------------
> "easy access to the world"
>
>

----------------------------------------------
This message has been scanned for viruses and
dangerous content by Jambo MailScanner, and is
believed to be clean.
---------------------------------------------
"easy access to the world"

----------------------------------------------
This message has been scanned for viruses and
dangerous content by Jambo MailScanner, and is
believed to be clean.
---------------------------------------------
"easy access to the world"

_______________________________________________
kictanet mailing list
kictanet at lists.kictanet.or.ke
http://lists.kictanet.or.ke/mailman/listinfo/kictanet

Unsubscribe or change your options at
http://lists.kictanet.or.ke/mailman/options/kictanet/francis.hook%40gmail.co
m

The Kenya ICT Action Network (KICTANet) is a multi-stakeholder platform for
people and institutions interested and involved in ICT policy and
regulation. The network aims to act as a catalyst for reform in the ICT
sector in support of the national aim of ICT enabled growth and development.

KICTANetiquette : Adhere to the same standards of acceptable behaviors
online that you follow in real life: respect people's times and bandwidth,
share knowledge, don't flame or abuse or personalize, respect privacy, do
not spam, do not market your wares or qualifications.

-- 
Francis Hook
+254 733 504561

_______________________________________________
kictanet mailing list
kictanet at lists.kictanet.or.ke
http://lists.kictanet.or.ke/mailman/listinfo/kictanet

Unsubscribe or change your options at
http://lists.kictanet.or.ke/mailman/options/kictanet/roykoikai%40gmail.com

The Kenya ICT Action Network (KICTANet) is a multi-stakeholder platform for
people and institutions interested and involved in ICT policy and
regulation. The network aims to act as a catalyst for reform in the ICT
sector in support of the national aim of ICT enabled growth and development.

KICTANetiquette : Adhere to the same standards of acceptable behaviors
online that you follow in real life: respect people's times and bandwidth,
share knowledge, don't flame or abuse or personalize, respect privacy, do
not spam, do not market your wares or qualifications.

-- 
Francis Hook
+254 733 504561

-------------- next part --------------
An HTML attachment was scrubbed...
URL: <https://lists.kictanet.or.ke/pipermail/kictanet/attachments/20110610/e72c9ca7/attachment.htm>