6

Policymakers, Lawmakers and Regulators

How policymakers, lawmakers and regulators can facilitate cross-sector infrastructure sharing

Policymakers and regulators can facilitate cross-sector infrastructure sharing by using carrots and sticks. The carrot approach is to foster conditions conducive to more voluntary, market-based sharing through removal of disincentives and the possible introduction of positive incentives. First, infrastructure sharing can be increased by reducing financial disincentives from core business rate regulation. Second, reforms can ensure that telecommunications operators have access to land corridors established for other public or private purposes. Third, policymakers, lawmakers, and regulators should tread carefully in regulating cross-sector access to facilities other than land. It is usually a better policy to rely to the greatest extent possible on voluntary commercial arrangements, rather than regulated access.

The stick approach is to intervene where market-based activities fail or are considered very likely to fail to achieve desired levels of infrastructure sharing. The optimal policy and regulatory equilibrium likely require a combination of carrots and sticks in most countries. First, policymakers, lawmakers, and regulators should address regulatory restrictions and institutional structures of state organs and enterprises which hinder infrastructure sharing. Second, policymakers and other stakeholders can facilitate greater information exchange and dialogue to raise awareness of cross-sector infrastructure sharing opportunities and points of entry into state-owned infrastructure owners.

 

This section includes seven parts:

  • Remove financial disincentives via infrastructure owner’s sector regulator
  • Ensure open, equal and efficient telecommunications access to corridors
  • Tread carefully in regulating cross-sector joint use of facilities
  • Apply competition law principles to assess need for ex ante regulation
  • Address regulatory restrictions that impede sharing by state utilities
  • Facilitate information exchange and dialogue
  • Tailor intervention to local conditions

 


 

References and Resources:

1. Southern California Edison, Status of Advice Letter, 146 IEC (Corp ID 6096), 2014 https://www.sce.com/NR/sc3/tm2/pdf/146.pdf (last visited 11 Feb 2017)

2. United States of America Federal Energy Regulatory Commission, 2007, https://www.ferc.gov/whats-new/comm-meet/2007/111507/E-10.pdf (last visited 11 Feb 2017).

3. Central Electricity Regulatory Commission, In the Matter of Sharing of Revenue Derived from Utilisation of Transmission Assets for Other Business – Framing of Regulations And in the matter of Consideration of Objects/Comments/Suggestions, No. 54/2005, 2007. http://cercind.gov.in/03022007/Sharing-of-revenue-regulations.pdf (last visited 11 Feb 2017)

4. National Joint Utility Notification System (NJUNS) website, http://web.njuns.com/ (last visited 11 Feb 2017)

5. National Transportation Infrastructure Authority, National Association of Regulatory Utility Commissioners & National Association of Telecommunications Officers and Advisors, 50-State Survey of Rights-of-Way Statutes, undated, https://www.ntia.doc.gov/legacy/ntiahome/staterow/rowtable.pdf (last visited 11 Feb 2017)

6. Kenya Information and Communications Act, 1998, http://www.ca.go.ke/index.php/sector-legislation (last visited 17 Feb 2017)

7. Bahamas Communications Act, 2009, http://www.urcabahamas.bs/download/088554800.pdf (last visited 17 Feb 2017)

8. Liberia Telecommunications Act 2007, §§66-67, http://www.lta.gov.lr/doc/LTA%20Act%20%202007.pdf (last visited 17 Feb 2017)

9. Saudi Arabia Telecom Act (2001), Chapter 9, http://www.citc.gov.sa/en/RulesandSystems/CITCSystem/Documents/LA%20_001_E_%20Telecom%20Act%20English.pdf (last visited 17 Feb 2017)

10. European Parliament and the Council of the European Union, Directive 2014/61/EU, 2014, http://eur-lex.europa.eu/legal-content/en/TXT/?uri=celex%3A32014L0061 (last visited 14 Feb 2017)

11. ISA, Good Governance Code at 12, 2007, http://www.isa.co/en/press/Documents/our-company/good-governance-code.pdf (last visited 11 Feb 2017)

12. Public Procurement Act, 2003, Act. 663 of 2003 (Ghana), §14(2)(e), http://www.ppaghana.org/documents/Public%20Procurement%20Act%202003%20Act%20663.pdf (last visited 11 Feb 2017)

13. Lebanon Telecommunications Regulatory Authority, Rights of Way Draft Decree (Based on the Study on Use of Public Properties, 2011, http://www.tra.gov.lb/Study-on-Use-of-Public-Properties (last visited 11 Feb 2017)

14. European Commission, Commission Staff Working Document, Implementation of the EU Regulatory Framework for Electronic Communication – 2015, 2015, Brussels: 197, https://ec.europa.eu/digital-agenda/en/download-scoreboard-reports (last visited 11 Feb 2017)