Issued by: Ministry for Posts, Telecommunications and Broadcasting
31 July 1998
Jay Naidoo, Minister for Posts, Telecommunications and Broadcasting, today welcomed the recommendation by the South African Telecommunications Regulatory Authority (SATRA) that two new cellular phone licences should be issued.
The report was handed to the Minister this week. "A lot of work has gone into preparing this report and I want to thank SATRA for their diligence in producing a document which is comprehensive and balanced," Naidoo said.
"We accept their recommendations. We are pleased that they found market conditions such that two more licences are feasible. This is a very positive move and it will mean more competition and that will benefit consumers," he said.
In terms of the Telecommunications Act of 1996, tenders will now be drafted which will outline the requirements tenderers will have to meed. "We would like to see the two new operators in the market as soon as possible. The call for tenders will be issued shortly. Once the tenders close, it will take a few months to evaluate the bids."
Naidoo said the role of the Department of Communication would simply be to call for tenders. "I want to emphasise that SATRA will be responsible for evaluating the tenders and for awarding the licences," he said.