<table cellspacing="0" cellpadding="0" border="0" ><tr><td valign="top" style="font: inherit;">@Edith,<br><br>Ave been working on some academic model whose preliminary data seems to support Mr. Presidents interventions i.e. the Telco market must project significant Returns for the investor to continue playing. Competition is good but cut-throat competition leaves the industry (Operators, Govt and Users) worse off than before. Think about it - would you like FREE internet that is so congested that you cannot send an email? Or would you rather pay something extra for the reasonable use of the medium?<br><br>Going back to Mr. Prime ministers interventions - of protecting frequencies allegedly irregularly acquired by others. My model has not factored in frequencies yet - But I think CCK may have a bigger impact on the market by recovering frequencies held up by the Military (there's a band that ITU declared for public use
but previous reports indicated our Military seems to hoard this band - not sure if this has changed).<br><br>As to whether the President's and/or the Prime Ministers interventions are legal? It is debatable. However, I think the current legislative framework - Kenya Comm Amendment Act 2009 - provides for the government in power to direct the Regulator - BUT through Policy frameworks - rather than through specific or selected directives arising from which CEO had dinner with the President/Prime minister the previous night.<br><br>walu.<br><br> <br><br>--- On <b>Wed, 8/29/12, Edith Adera <i><eadera@idrc.or.ke></i></b> wrote:<br><blockquote style="border-left: 2px solid rgb(16, 16, 255); margin-left: 5px; padding-left: 5px;"><br>From: Edith Adera <eadera@idrc.or.ke><br>Subject: Re: [kictanet] Kibaki, Raila meddling stalls CCK actions<br>To: jwalu@yahoo.com<br>Cc: "KICTAnet ICT Policy Discussions"
<kictanet@lists.kictanet.or.ke><br>Date: Wednesday, August 29, 2012, 1:06 PM<br><br><div id="yiv1754382817">
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<div dir="ltr"><font color="#000000" face="Tahoma" size="2">Any reactions from Bwana Ndemo, who seems to have received one of the letters?</font></div>
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<div dir="ltr"><font face="tahoma">Is this also the reason why Airtel changed their rates to subscribers from 1 shilling (permanent!! - the word has earned new meaning) back to ksh 3 per minute? No one answered this question when I asked a while back. Airtel,
why the change?</font></div>
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<div dir="ltr"><font face="tahoma">As stakeholders, should we accept "regulatory capture" in this industry?</font></div>
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<div dir="ltr"><font face="tahoma">Edith</font> </div>
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<font face="Tahoma" size="2"><b>From:</b> kictanet [kictanet-bounces+eadera=idrc.or.ke@lists.kictanet.or.ke] On Behalf Of Grace Githaiga [ggithaiga@hotmail.com]<br>
<b>Sent:</b> Wednesday, August 29, 2012 12:36 AM<br>
<b>To:</b> Edith Adera<br>
<b>Cc:</b> KICTAnet ICT Policy Discussions<br>
<b>Subject:</b> [kictanet] Kibaki, Raila meddling stalls CCK actions<br>
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<font size="3">IN SUMMARY</font></p>
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<font size="3">The President’s intervention, which amounts to political meddling in the work of an independent state organ, has for the second time in as many years stopped the industry regulator, the Communications Commission of Kenya (CCK), from lowering
the Mobile Termination Rate (MTR).</font> </li><li style="padding: 0px; line-height: 1.5em; margin: 0px 0px 0px 1.5em;">
<font size="3">MTR is the price that operators pay each other for calls terminating in their networks from outside and ultimately determines call costs.</font>
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<font size="3">Mr Kibaki, who has been acting on behalf of Safaricom and Telkom Kenya, issued the directive in a letter to Information permanent secretary Bitange Ndemo, stating that there should be no change in the MTR until a fresh study of the same is carried
out.</font> </li><li style="padding: 0px; line-height: 1.5em; margin: 0px 0px 0px 1.5em;">
<font size="3">Prime Minister Raila Odinga, jumped into the CCK’s regulatory mandate with a similar directive on behalf of yet another big business – Royal Media Services.</font>
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<font size="3">Mr Odinga wrote to the CCK director-general asking him to withdraw the notice he had published of intention to revoke frequencies that the media house is accused of acquiring irregularly.</font></li></ul>
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