IV. Sector  Structure and Management Development

The development of the sector management and organisational structure is the prerequisite to the development of the sector as a whole. The sector comprises of the policymaking body, regulatory body, policy executing organisation and operating entities.

1. The Government body responsible for preparing sector policies, establishing the legal framework and monitoring of the implementation of the policies has the following main functions:

1) evaluate and define the economic, financial, social and technical needs to be taken into account in the development of the sector and, on this basis, establish short and long term development plans, consistent with the country's socio-economic development policies; 
2) prepare legislation, as required, for the rational development of the sector and control over its execution;
3) create the legal environment which facilitates the introduction of fair competitive practices into the sector, including the creation of effective economic and financial incentives, and which discourages discrimination based on type of ownership;
4) identify sources of financing (the Government, private sector, and foreign sources) which might be made available for extending services coverage and establish a clear policy on the use of these resources;
5) determine in consultation with all concerned parties, the most effective use of funding (e.g., loans, grants) obtained from international financial institutions and donor countries for sector development projects, and ensure control over its utilisation;
6) establish overall policies on the technologies to be introduced into or attached to the national network (general specification, signalling and numbering systems), and plan the utilisation of the radio-frequency spectrum, with a view to ensuring technical compatibility throughout the network;
7) develop a policy to establish and operate telecommunication networks on the basis of fair competition;
8) determine the policy for privatisation of the basic telecommunication network, involvement of foreign and domestic private sector investment, development of network, financial and loan policy.
9) establish standards for the telecommunications network and services and determine performance indicators; and
10) elaborate and implement human resource development programme. 

2. In order to establish the legal environment necessary to ensure fair competition in the telecommunications marketplace, a regulatory body is created which carries out the following main functions:

1) establish the conditions and requirements governing the issuance of licenses for offering and providing domestic and/or international telecommunications services on a commercial basis; review these periodically in consultation with interested ministries, industry representatives, user associations and the public;
2) review applications for new service offerings and for the renewal of licenses, through open public hearings pre-announced publicly well in advance; consider all evidence presented and opinions expressed and, on this basis, approve, or deny an application, as the case may be, determine the general conditions of the services offered and issue licenses;
3) ensure that all operators follow service coverage and performance objectives established by the Ministry responsible, and take the steps necessary to correct any deviations;
4) establish and implement the standards applicable to systems, equipment and  services as well as related performance indicators, in consultation with the operators
5) allocate and control utilisation of the frequencies approved by the Ministry and ensure the compliance with national and international standards;
6) establish a methodology for determining tariffs or any charge for service, in a manner which balances out fairly the interests of the users, on the one hand, and the need of operators to achieve reasonable quality of service, service expansion capability and profitability, on the other;
7) establish and enforce revenue-sharing agreements among operators connected to the basic network, taking into account the relative service costs of the various operators, as well as interconnection agreements between them; and
8) review complaints from users and reported deviations from licensing conditions by operators; revoke licenses as considered necessary, including proposing to the Judiciary the seizure of the delinquent's assets if he refuses to comply.
9) The operating and vendor entities shall operate in accordance with the license obtained.