Regulation and Investment in Telecommunications. The case of Ecuador
|
The results of the study are not very flattering for the country. The general perception is that the regulatory environment has much room for improvement in every area studied and lots of work is left to do. While the survey indicates that the sector perceives that efforts have been made in lowering the barriers to market entry, there are major questions concerning the regulation of anti-competive practices and universal service obligations.
Original Title: Regulación e Inversión en Telecomunicaciones. Estudio de Caso para Ecuador
Abstract
As in many sectors, investment in telecommunications depend on a number of factors. One of them is the regulatory risk, which determines the efficiency of a country's legal framework regarding the market entry of new competitors, the regulation of monopolies and the interconnection between networks.
This report presents an application of the TRE assesment methodology, developed by LIRNEasia, for the Ecuadorian case. It includes an analysis of the sector's situation for each of the six dimensions proposed by the method:
- Market entry,
- Access to scarce resources,
- Interconnection,
- Tariff regulation,
- Regulation of anti-competitive practices,
- Universal service obligations (USO).
The results of the study are not very flattering for the country. The general perception is that the regulatory environment has much room for improvement in every area studied and lots of work is left to do. While the survey indicates that the sector perceives that efforts have been made in lowering the barriers to market entry, there are major questions concerning the regulation of anti-competive practices and universal service obligations.
