The Botswana Telecommunications Authority (BTA) and The Telecommunications Regulators’ Association of Southern Africa (TRASA) Effective regulation Case study: Botswana A Case Study on Effective Regulation in Sub-Saharan Africa and Regional Cooperation International Telecommunication Union This case study was conducted by Susan Schorr and Nancy Sundberg of the ITU/BDT. The report is based on field research undertaken in Gaborone, Botswana from 9-12 July 2001, as well as reports and articles identified in footnotes. A list of persons and organizations met during the field research is contained in Annex B. The field study enabled us to meet and interview the regulatory agency as well as government and industry. This study is concerned chiefly with institutional considerations, the structure, the operation, the financing and the legitimacy in the marketplace of the Botswana Telecommunications Authority (BTA), the regulatory agency. This study is intended to be useful not only to the regulatory authorities and the corresponding arms of government, but also to everyone concerned with the telecommunication market. The authors wish to express their sincere appreciation to BTA for supporting this study, and wish particularly to thank Mr M.C. Lekaukau, Mr T. B. Koontse and Mr M. O. Tamasiga for their invaluable assistance, as well as everyone in the public and private sectors alike that gave us their time. Without their support a report such as this could not have been prepared. The authors also wish to express their sincere appreciation to Mr B. Goulden for his invaluable information on the founding of the Telecommunication Regulators’ Association of Southern Africa (TRASA). The views expressed are those of the authors and may not necessarily reflect the opinions of the ITU, its members, or the Government of Botswana. This case study is one of five case studies on Effective Regulation. Additional information can be found on the web site of the BDT’s Sector Reform Unit http://www.itu.int/ITU-D/treg/ © 2001 ITU International Telecommunication Union Place des Nations CH-1211 Geneva, Switzerland Effective regulation – Case study: Botswana TABLE OF CONTENTS Page 1 Introduction ......................................................................................................................... 1 1.1 Purpose of the Case Study ...................................................................................... 1 2 Botswana: Country background .......................................................................................... 1 2.1 Overview................................................................................................................. 1 2.2 History and Political Environment.......................................................................... 2 2.3 Demography............................................................................................................ 2 2.4 Economy ................................................................................................................. 3 2.5 Human Development, Education and Health.......................................................... 4 3 Sector Reform...................................................................................................................... 4 3.1 History of Sector Reform........................................................................................ 4 3.2 Public Consultation on Sector Reform.................................................................... 5 3.3 Telecommunication Policy and Legislation............................................................ 5 3.4 Telecommunications Market Players...................................................................... 6 3.5 The Internet in Botswana ........................................................................................ 9 3.5.1 Internet Use............................................................................................... 9 3.5.2 Internet Exchange Points .......................................................................... 9 3.6 World Trade Organization commitments................................................................ 9 3.7 Broadcasting in Botswana....................................................................................... 10 3.7.1 NBB Board ............................................................................................... 10 3.7.2 Broadcasting Policy.................................................................................. 11 3.7.3 NBB Budget.............................................................................................. 11 3.8 Positive Effects of Sector Reform........................................................................... 11 4 Institutional Structure of BTA............................................................................................. 12 4.1 Legislation Creating BTA....................................................................................... 12 4.2 Mandate, General Functions and Duties of BTA ..................................... 12 4.2.1 Accountability and Reporting Requirements............................................ 13 4.3 Finance.................................................................................................................... 13 5 BTA Organizational Structure............................................................................................. 14 5.1 The BTA Board....................................................................................................... 14 5.1.1 Appointment, Removal and Disqualification for Office........................... 14 5.1.2 Remuneration............................................................................................ 15 5.1.3 Functions of the Board and Chief Executive............................................ 15 5.1.4 Board Meetings......................................................................................... 17 5.1.5 Conflict of Interest Rules.......................................................................... 17 iii Effective regulation – Case study: Botswana Page 5.2 Staff......................................................................................................................... 17 5.2.1 Staff Profile............................................................................................... 19 5.2.2 Staff Organization..................................................................................... 19 5.2.3 Staff Rules................................................................................................. 21 5.2.4 Salary ........................................................................................................ 23 5.2.5 Recruitment............................................................................................... 23 5.2.6 Training..................................................................................................... 23 5.2.7 Staff Turnover........................................................................................... 24 5.2.8 Outsourcing............................................................................................... 24 6 General Regulatory Powers................................................................................................. 24 6.1 Rulemaking and Public Consultations .................................................................... 24 6.2 Arbitration and Dispute Resolution......................................................................... 25 6.3 Enforcement ............................................................................................................ 26 6.4 BTA Immunity ........................................................................................................ 27 7 Licensing ............................................................................................................................. 27 7.1 The GSM Licensing Process................................................................................... 27 7.2 Commercial Radio Licensing.................................................................................. 29 7.3 International Data Gateway and ISP Licensing ...................................................... 29 8 Transparency ....................................................................................................................... 30 8.1 The Evolution of Transparency in Botswana.......................................................... 30 8.2 Access ..................................................................................................................... 30 8.3 Public Hearings and Comments .............................................................................. 31 9 Relationship between BTA and MWTC.............................................................................. 32 10 Role of the Ministry............................................................................................................. 32 10.1 Universal Service .................................................................................................... 32 10.2 Private Sector Consultations ................................................................................... 33 10.3 Appeals.................................................................................................................... 33 10.4 BTC Privatization.................................................................................................... 33 10.5 Ministry’s Relationship