ICASA Councillor: interviews

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Communications and Digital Technologies

02 June 2005
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Meeting report

COMMUNICATIONS Portfolio Committee
2 June 2005
ICASA COUNCILLOR: INTERVIEWS



Chairperson: Mr M Lekgoro (ANC)

Documents handed out:
 

Mr Tshabala’s PowerPoint presentation

SUMMARY

 


The Committee interviewed Mr M Zokwe and Mr N Tshabalala.

The interviews opened with their personal histories and skills. Members sought the interviewees’ views on the challenges at ICASA, the extent to which transformation in the industry had been achieved, whether ICASA was truly independent from the Minister, and how all South Africans could be provided with telecommunication services. They particularly asked Mr Tshabalala if he would be able to make any judgement against Telkom given his long and loyal service to the company.

The selection process would be finalised on 7 June and the decision of the Committee would be published in the press.

MINUTES
Interviewee: Mr Mthobeli Zokwe
Mr Zokwe was born in the Eastern Cape in the 1950s and he had always been involved in Communications since he was a kid. He attended St Johns College and the University of Zululand. During 1976 he dropped out due to political involvement. He had worked with Clive Barker who was then coaching Amazulu. He then studied further in Australia at Sidney Technology University, where he had worked for the Australian Broadcasting Corporation. On his return to South Africa, he worked for the SA National Defence Force (SANDF) as a Communications Director. He was instrumental in setting up an ICT alliance. He was a trustee of an ICT company but he added that he was willing to relinquish his position when appointed as an ICASA councillor.

He said that when appointed, he would address the independence of all organisations regulated by ICASA. He felt that the independence of the SABC was overemphasised. Any National Broadcaster had to play the role for which it was established. If the National Broadcaster was under-funded, then professionals would continue leaving the corporation. Funding was just one major issue, which would impact on being independent. Advertising revenue enabled broadcasters to be independent.

Mr R Pieterse asked whether Mr Zokwe believed that the number of ICASA councillors was enough given the enormity of convergence technology. Mr Zokwe replied that the number was not important but the capacity to execute the job at hand and ICASA would continue to rely on consultants.

Ms D Smuts asked for clarification on the role that Mr Zokwe played at Nexus Communications and at Australian Broadcasting Corporation. Mr Zokwe replied that he had been attached at the ABC for his studies and he worked for a commercial radio station. He said that his IT Company did not win the tender.

Mr Zokwe commented that the independence of ICASA could not be compromised. He sad that ICASA was faced with an urgent need for skills development.

Interviewee: Mr N Tshabalala
Mr Tshabalala welcomed the opportunity to take part in the interview process and proceeded to introduce himself. He had been in the industry for the past 22 years and was currently employed by Telkom. He started working for Telkom in 1983 as a technician and worked his way up to his current position. He became involved in real telecommunication issues in 1990 as a member of the then Post and Telecommunications Workers Union. He joined the Telkom International Division that focussed in Africa. He had been responsible for Europe, the Far East and growing Telkom into the whole of Africa. He went on to present his understanding of the Convergence Bill (see PowerPoint presentation).

Mr M Maziya (ANC) focussed on regulatory processes. He understood Mr Tshabalala to have said that ICASA should have full responsibility for regulatory processes. He asked if this meant that ICASA should make and publish regulations without any consultation the Minister or any other person. On the issue of the jurisdiction of ICASA and the Competition Commission, he asked if ICASA should have exclusive jurisdiction on competition matters in the field. He also asked Mr Tshabalala to explain what he meant when he said that expectations that had been raised [value added networks services (VANS), Sentech, etc] might cause further disputes in the market.


Mr Tshabalala replied that in a transition period the Regulator should be completely independent from the industry but not from the Minister. The Minister would have to develop policies for the Regulator.

With regard to competition, he said that certain areas should be left to ICASA to deal with in consultation with the Competition Commission. On the issue of the VANS he said that following the Minister’s pronouncement last year, expectations had been raised that VANS would be able to provide voice over IP services. People had interpreted the Minister’s pronouncement in different ways and this could lead to disputes in the market.

Ms S Vos (IFP) said that Mr Tshabalala had given long and loyal service to Telkom. There would always be a perception of industry capture when somebody from a dominant player like Telkom moved to the Regulator. He asked him to explain his views on the independence of the Regulator bearing in mind his long and loyal service to Telkom. If appointed to the Regulator, would he be able to make a ruling against Telkom. She noted that he came from a telecommunications background and asked him to explain his understanding of broadcasting regulation and other issues that South Africa could face as a result of the Convergence Bill and other legislation.

Mr Tshabalala replied that it had always been important for him to move with the Strategic Plan of any organisation in which he had ever worked. He would always protect the interests of Telkom as long as he was still working for them. Serving the country would become his priority should he move to the Regulator. He agreed that his work was mainly focused on telecommunications. The type of technology at the SABC was an obstacle to the delivery of additional services. He was happy to read that there was a process to digitise the infrastructure. There was a need for the SABC to expand given that South Africa had 11 official languages. One might go the regional broadcasting route and provide amateur frequencies. This would allow people to learn and be innovative. It would also contribute towards the government objectives of skills development and fighting poverty.

Ms M Smuts (DA) said that she was intrigued by Mr Tshabalala’s association with trade unions. COSATU would still prefer a nationalised telephone company and by extension, not a fully liberalised telecommunications and broadcasting sector. She asked if Mr Tshabalala was whole-heartedly committed to liberalisation and competition as a means to contribute to the Gross Domestic Product (GDP).

Mr Tshabalala replied that there was an ideal situation. The complete opening up of the market should be approached with an open mind. It was important to have a managed liberalisation of the market during the transition period.

Ms L Yengeni (ANC) said that some industry players felt that ICASA was not independent enough as it could not bite the hand that fed it. She asked for an opinion on the suggestion that ICASA should fund itself.

Mr Tshabalala replied that the reality was that the industry was able to take advantage of ICASA because of weakness in terms of resources at the regulator. It was critically important for the regulator to be given more resources. Staff retention was also very important. ICASA had become a centre for higher learning and education in the sense that most people who had been trained there were quickly recruited by the industry. Different mechanisms of funding could be entertained if Treasury could not adequately fund ICASA. Giving the license fees to ICASA could be one way of funding the regulator.

Ms M Morutoa (ANC) asked for an opinion on the involvement of women in telecommunications and broadcasting industries and the role that could be played by the Universal Service Agency.

Mr Tshabalala replied that the biggest customers, especially on the GSM, were women. It was unfair for them to be just consumers and nothing else. It was important to encourage women to participate in this industry. It was encouraging to see that Telkom had female technicians.


Ms Smuts asked if Mr Tshabalala would not have a conflict of interest given his directorship in various companies.

Mr Tshabalala agreed that there would be problems, even with Telkom, if his companies were to be involved with Information and Communications Technology (ICT). The companies had been registered only in April and not yet operational. He had included them in his CV just to indicate his intentions.

The Chairperson said that the Committee would probably make its final selection on 7 June.

The meeting was adjourned.

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