The Tribune

By NATARIO McKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net

A leading Bahamas-based satellite TV provider says it will have no problem being regulated by the Utilities Regulation and Competition Authority (URCA), telling Tribune Business it welcomed fair competition but could not compete with ‘rogue’ operators undercutting on price.

Michael Garraway, who owns Satellite Bahamas with his brother, Peter, said rogue operators were a major challenge to legitimate satellite TV providers in the Bahamas.

He was speaking after URCA pledged to address Cable Bahamas’ concerns that it was being placed at “a competitive disadvantage” by assessing whether it should also license - and regulate - Bahamas-based satellite TV providers.

Responding to the BISX-listed communications provider’s fears that it was being discriminated against, given that it would be subject to URCA’s Code of Practice regulating TV content, while its main competitors - satellite TV providers - would be exempt from regulation, the regulator said it would conduct a public consultation on whether its remit should be extended to cover those operators.

Mr Garraway told Tribune Business: “We pay our regular taxes, Business License fees and all that, so any additional regulatory requirement I guess will be a little extra for the Government.

“I have no problem with it being regulated because we have a lot of rogue operators as well. If I need to pay a little bit just to have the industry a little more fair, I’m willing to do that, especially with video. When you look at video, you have a lot of DVD piracy going on. If they are going to clean it up they have to address everything, and not leave other people to do whatever.”

Mr Garraway said he would like to see the sector regulated, adding: “We try to charge a fair price. If you look at Direct TV’s price, we are selling the service at a mark-up which is very standard in the industry, and these guys are selling it where they obviously are not paying the full price for the service.

“When you have guys operating out of their cars and their homes, not paying any license fees and undercutting us on price, it’s something we can’t compete with. I would like to see it more regulated.

“It’s a more transparent process the way we do it. We have proper accounts where each customer is assured of service. We have had customers on for 12 years without interruption.”

Mr Garraway added: “I’m not afraid of competition but it has to be fair. We have made more money under Cable Bahamas than we ever did in our history. A lot of people found that strange, they thought Cable would crush us, but it actually spurred us on to do better.”