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Gibbons to reveal new telecom policy

that would serve the Island through the next century.The watershed policy shift will bring deregulation and more competition into the market for telecommunications services. Legislative initiatives are also expected in the next session of Parliament,

that would serve the Island through the next century.

The watershed policy shift will bring deregulation and more competition into the market for telecommunications services. Legislative initiatives are also expected in the next session of Parliament, said Telecommunications Minister the Hon. Grant Gibbons.

The review on the overall policy was sparked by the consideration by the Telecommunications Commission, and subsequently the Minister, of applications for new telecommunications licences.

With submissions under consideration since the beginning of 1994, some applicants have waited more than a year for a response.

The applications covered cellular telephone services, so-called "callback'' services and new international services.

Dr. Gibbons is set to make the announcement in the House of Assembly today.

"I expect imminently to be taking a position on Government's policy going forward in telecommunications and also on the applications as they relate to voice, long distance and local service,'' he said.

"The decision on these applications will be wrapped up in a broader policy statement on telecommunications services.

"That is because as soon as you start to consider a change from the current situation where you only have one player in each segment, it essentially opens up a broader discussion on how you see the market going forward and what role Government would play from a regulatory point of view.

"Quite frankly, the amount of regulation required for a monopolistic market is very different than that required for a more deregulated and competitive market.

"This is a decision which is more than simply a decision about applications.

It is a decision about Government's overall policy in telecommunications, because up to now we have been essentially a monopoly, where Cable and Wireless have been providing long distance and of course the Bermuda Telephone Company has provided domestic service.

"It really involves a slight change in philosophy here. We've tried to be cautious and look at other countries and do as much homework as we could because there are legal issues, economic issues and technical issues. There have been some enormous changes in telecommunications technology in the last few years and we expect that to continue.

"We've been trying to get our hands around, as best we can, all of those kinds of issues, and that's why the decision has been a little longer time coming than it would have been under normal circumstances.

"This is a watershed decision, not in terms of an individual applicant, but in terms of the broad policy of Government going forward. That's the thing that made us cautious.

"Other countries took years. The US, for example, with their deregulation.

The UK took a long time. We've look at New Zealand and other countries as well. A lot of European countries are currently going through the whole agonising process themselves.''