The Tribune

By DANA SMITH

Tribune Staff Reporter

dsmith@tribunemedia.net

PRIME Minister Perry Christie said Digicel has promised to hire as many as 60 employees if it enters the local telecoms market.

Speaking outside Cabinet yesterday, Mr Christie said if Digicel begins to provide broadband services by the end of BTC’s monopoly in 2014, it will be easier and faster for the company to enter the cellular market as well.

The Utilities, Regulation, and Competition Authority (URCA) approved Digicel to provide broadband services back in July, he added, and Digicel was only awaiting approval from the government’s Foreign Investment Board and so flew in this week for meetings. “I did not want to give any approval on behalf of the government of the Bahamas without having Digicel come in to meet and talk with us about their interest in the Bahamas and their plan,” Mr Christie said.

And he had “a very interesting meeting” with Digicel representatives including former Jamaican Prime Minister PJ Patterson, who “indicated the benefits” of the telecommunications company doing business in the country, Mr Christie said.

“The questioned was raised as to when the government would be liberalising and looking for new operators for mobile, that is for cell, operations in the Bahamas,” Mr Christie said.

“We indicated that we were tied to an agreement and that we were seeking advice on the agreement so that we could be prepared well in advance for the competition that will be developed when the government announces that it is ready to liberalise the sector.”

If already providing broadband services when the government announces that liberalisation, it would be easier for companies – including Digicel – to enter into cellular service, the prime minister explained.

“BTC, Cable Bahamas, and Digicel have all applied for entry for what they call broadband services. This will enable, if Digicel receives the full approval of the government, they would have the basis, whenever liberalisation comes, to convert these services, that they are now being licensed by URCA, they will be able to more easily convert to mobile services in the country,” Mr Christie said.

“So really this is for them to get their feet into it. They’ve indicated that they would come in, they would hire as many as 60 people, they would set up offices, they would do all the things that are necessary for a company that is preparing to bid for cellular services. They indicated that they know it will be a competition, that they will be prepared to compete.”

If the government waits until the end of BTC’s monopoly in 2014, liberalisation would not come about for another 18 months or more, Mr Christie claimed.

“Because it’ll take the process of bidding, settling who will get the franchises and then having them implemented, it wouldn’t come about. The one thing that is very, very clear: the history of liberalisation shows that it really manifestly benefits the consumer – the competition, that is. So clearly, I would be anxious to bring that about.

“We are sincere and genuine and we maintain our position that our negotiators have taken in the meeting with Cable and Wireless with respect to our assuming the majority interests of BTC. But as it is now, there have been no significant developments in that regard.”