GENERAL AGREEMENT TS/NGBT/W/3
15July1994
ONTRADE INSERVICES
(94-1478)
Negotiating Group onBasic Telecommunications
QUESTIONNAIRE ONBASIC TELECOMMUNICATIONS
Note bytheSecretariat
Asagreed atthefirstmeeting oftheNegotiating Group onBasic Telecommunications
(6May1994), thisquestionnaire hasbeenprepared forcirculation toparticipants intheGroup. The
purpose ofthequestionnaire isexplore eachgovernment 'sregulatory environment regarding thesupply
ofbasictelecommunications networks andservices. Itisintended tofacilitate anexchange ofinformation
withreference toacommon format. Itisnotintended toreflect anyparticipant 'sposition withrespect
tonegotiations oronthefinalcontent ofschedules ofcommitments. Participants inthenegotiations
should provide written responses totheSecretariat by16September 1994.1Governments withobserver
status arealsoinvited toreply.
Thequestionnaire isorganized intothree parts. PartIcovers definition andmarket structure.
PartII,oncompetition inspecific sub-sectors andcategories, addresses theextent andconditions under
which competitive supply ofbasictelecommunications ispermitted. PartIIIonregulatory issues seeks
information related tocertain conceptual issues, without prejudice towhether ornotcertain ofsuch
measures would needtobeaddressed asadditional commitments inthecontext ofthenegotiations.
Thequestions aredesigned tocapture, asfullyaspossible, theinformation onparticipants 'measures
affecting tradeinbasictelecommunications which willberelevant tothenegotiations. However, since
thestructure ofregimes andregulatory practices varyconsiderably, itisunderstood thatallquestions
maynotberelevant inanyparticular regime. Participants should determine which questions willenable
them tomostaccurately present information ontheaspects oftheirregimes which thequestionnaire
seeks toexplore.
Inanswering thequestionnaire, participants should keepinmind thefollowing points:
- Participants areasked toplease describe notonlythecurrent situation withrespect toeach
question,butasfaraspossiblealsoanychangesenvisagedinthepoliciesormeasuresconcerned.
Where changes aredescribed, itwould alsobeuseful toindicate therelevant timeframe;
- Responses should include therelevant information forevery level oftelecommunications
regulatory authority concerned (e.g.central, regional, state, localornon-governmental bodies
towhom certain powers havebeendelegated);
- Please indicate inresponses whether ornotthemeasures described areapplied onanon-
discriminatory (mfn) basis tobasic telecommunications suppliers ofallcountries;
- Please indicate intheresponses howtheinformation provided ismade publicly available and
where itmaybeobtained.
1Bothahardcopyandamachine-readable copyondiskette would beappreciated tofacilitate
theprocessing ofdocumentation.TS/NGBT/W/3
Page2
Terminology usedinthisquestionnaire consists oftwotypes. Telecommunications-related terms
arenotintended toreflect terminology ordefinitions inuseinanyindividual regulatory regime. Where
expressions usedinaparticular question arenotinusedomestically, themeasures relating tothe
equivalent concept ortermshould bedescribed. GATS-related terms arealsoused(e.g.market access,
national treatment, modes ofsupply, foreign suppliers) andareintended tobeunderstood asdefined
bytherelevant provisions oftheGATS. Tohelpachieve consistency andacommon understanding
ofterms usedthequestionnaire, thefollowing points arerelevant:
- Theterm"basic telecommunications" isnowhere defined onaninternational level, butforthe
purposesofthesenegotiationsisunderstoodtoencompassbothtransportnetworks(i.e.,facilities)
andservices.TheAnnexonTelecommunicationsdescribestelecommunicationstransportservices,
asservices "typically involving thereal-time transmission ofcustomer-supplied information
between twoormore points without anyend-to-end change intheform orcontent ofthe
customer 'sinformation". Itdescribes transport networks asthe"infrastructure which permits
telecommunications between andamong defined network termination points";
- Throughout thequestionnaire, theterm"suppliers", drawn from GATS terminology, rather
thantheterm"operators", more common totelecommunications terminology, isusedtohelp
avoid confusion. "Suppliers" should beunderstood torefer toanyproviders ofbasic
telecommunications, either network/facilities-based ornotandoperating either asamonopoly
orincompetition withothersuppliers, whereas insome national regimes "operators" mayrefer
onlytonetwork/facilities-based provision;
- Useoftheterm"sub-sectors" refers totheillustrative listcontained in2.(a)-(g)and(o)in
theServices Sectoral Classification list(MTN.GNS/W/120) aswellasanyother specific
networks,services,oractivitieswhichtherespondentconsiderstobebasictelecommunications;
- Useoftheterm "categories" refers todistinctions related togeographical scope, typeof
technology, means ofdelivery andendusethatarelisted under the"sector orsub-sector" column
ofthedraftmodel schedule (contained inTS/NGBT/W/1). Reference tothese categories is
considered useful tofullyandaccurately reflect thescope ofanycommitments thatmayresult
fromthese negotiations. Therelevance ofanyparticular category depends onthesub-sector
oractivity being dealtwithorthefeatures oftheregulatory regime concerned.TS/NGBT/W/3
Page3
Questionnaire onBasic Telecommunications
PartI
Definition andMarket Structure
Definition
1. What areconsidered tobebasic telecommunications under yourregulatory regime? How
aretheydefined? How doesyourregulatory regime define thatwhich isnotconsidered
basic telecommunications?
2. Does yourregulatory regime distinguish between networks (facilities) andservices in
defining basic telecommunications? Ifso,howisthisdistinction made?
3. Arethere anynetworks orservices which would beconsidered tobebasic
telecommunications within thescope oftheGATS definition which would notbeso
considered byyournational definition? Ifso,whatarethey?
Market structure
4. Listanybasic telecommunications sub-sectors orcategories which arereserved tosupply
bymonopoly orexclusive supplier(s).
5. Does yourregime designate oneoralimited number ofmonopoly/exclusive suppliers to
supply anybasic telecommunications nationally, onageographical basis, orforparticular
market segments? How isit(orthey) constituted (e.g.government ministry oragency,
wholly government-owned corporate entity, company partly owned bythegovernment,
privately owned)?
6. Isforeign equity participation orownership ofmonopoly orexclusive suppliers
permitted? Ifso,whatisthemaximum percentage share allowed andwhatisthecurrent
levelofidentifiable foreign participation?
7. Ifyourregime isgenerally characterized asnotpermitting competition, please indicate
(a) ifcertain activities orcategories ofwhatcould beconsidered basic
telecommunications arenotreserved tothemonopoly, e.g.facsimile, telex, data
transmission, mobile, satellite services;
(b) arethere areanyother means through which foreign suppliers ofbasic
telecommunications areormayparticipate inthesupply ofbasic
telecommunications, e.g.sub-contract orbuild-operate-transfer arrangements with
themonopoly suppliers.
8. Please listandbriefly describe anyintergovernmental agreements, bilateral orotherwise,
thatyourgovernment hasentered intorelating tothesupply ofbasic telecommunications
networks andservices.TS/NGBT/W/3
Page4
PartII
Competition
Forthesub-sector andcategory headings insections AandB,thefivequestions listed
below should beaddressed foreachsub-sector andcategory thatyoudescribe. Recognizing that
subsectors andcategories mayoverlap, please keepinmind thatitistheintroduction of
competition andthewayithasbeenintroduced thatshould determine howtoselect which sub-
sectors andcategories covered inyourresponses.
(i) Overview. What arethemain government policies andregulations regarding the
competition inthissubsector orcategory? Canforeign suppliers participate inthe
supply ofbasic telecommunications inthissubsector orcategory?
(ii) Modes ofsupply. Inyourview, howdotheGATS modes ofsupply (cross border,
consumption abroad, commercial presence, andpresence ofnatural persons) apply
tothissubsector orcategory? What kinds ofrequirements, conditions, or
limitations areapplied inthissubsector orcategory which relate toeachmode of
supply?
Note: Responses onmodes ofsupply should notnecessarily belimited tomeasures which might
relate tomarket access ornational treatment asdefined bytheGATS. Information provided may
helpadvance discussions onhowthemodes ofsupply, particularly cross border andconsumption
abroad, relate tobasic telecommunications.
(iii) Market access. What kindoflimitations onmarket access areapplied? (I.e., Are
there anyquantitative limitations on,oreconomic needs testsapplied to,the
number ofsuppliers? Arethere anylimits onthetotalvalue oftransactions, total
number ofoperations, quantity ofoutput, orthetotalnumber ofpersons thatmay
supply basic telecommunications orbeemployed byasupplier? Arethere any
restrictions orrequirements regarding typeoflegalentity thatmaysupply basic
telecommunications? Arethere anylimits onforeign ownership orequity
participation?)
(iv) National treatment. What kindoflimitations onnational treatment areinplace
extending toforeign suppliers treatment lessfavourable thanthatfordomestic
suppliers? (E.g. Arepreferences given todomestic suppliers orrestrictions or
obligations imposed onforeign suppliers withrespect toanyprocedures or
regulations, including licensing? Arethere anylimitations onthenationality or
residency ofmanagers, directors, orboard members? Arethere anyrestrictions
onforeign ownership oflandorfacilities?)
(v) Licensing. Iflicensing isrequired inthissub-sector orcategory, briefly describe
theprocedures concerned andexplain themain requirements, criteria andfees
applied. What aresome oftheprincipal terms andconditions onlicensees, oncea
licence isobtained?
Note: Licensing isintended tobeunderstood inabroad sense, toinclude processes suchas
approval, authorization, registration orcertification, asapplicable.TS/NGBT/W/3
Page5
A.Sub-sectors
Foranysub-sector inwhich competition ispermitted inyourregime (i.e., which arenot
reserved tomonopoly orexclusive suppliers) answer questions (i)through (v)above, as
applicable. Thefollowing listofsub-sectors isconsidered illustrative andshould besupplemented
withanyother sub-sectors orsub-activities which youmaywishtodescribe.
a. Voice telephone services
b. Packet-switched datatransmission services
c. Circuit switched datatransmission services
d. Telex services
e. Telegraph services
f. Facsimile services
g. Private leased circuit services, and
o. Other
Thefollowing aresome additional examples ofbasic telecommunications networks or
services notexplicitly listed in(a)-(g)and(o),above, forwhich responses mayberelevant:
voice/non-voice services using domestic/international private leased circuits; cable-TV-related
voice telephone networks andservices; domestic/international satellite services andsatellite
links/capacity; analogue/digital cellular mobile networks andservices; PCSnetworks and
services; paging services; mobile dataservices; fixed line/wireless localaccess ;local/long
distance linelinks; local/long distance switching; international switching andother international
gateway facilities. Whereas some ofthese might beconsidered tofallunder (o),above, some
might alsobeconsidered tobeactivities falling within sub-sectors (a)-(g).
B.Categories
Foreachofthecategories thatfollow inwhich competition ispermitted, answer questions
(i)through (v)above, asapplicable, aswellasthespecific questions listed under agiven category.
Local/long distance/international
1. How arelocalanddomestic longdistance distinguished ordefined?
2. Arethere anyregulatory orother distinctions between domestic (local andlongdistance)
andinternational networks andservices andbetween thesuppliers ofbasic
telecommunications inthese market segments? Ifso,what arethey?
Wire-based
Radio-based
Note: Please address alltypes ofrelevant radio-based telecommunications including satellite
links, access tosatellite capacity, VSAT, mobile cellular communications, paging, mobile data
services andother radio communication systems. Recognizing thatwire-based or"fixed" networks
canberadio based inpart, responses under thiscategory should relate toanyrequirements
specifically related toradio-based elements ofnetworks orservices.TS/NGBT/W/3
Page6
Resale basis
3. Doyourregulations permit international resale ofprivate leased circuit capacity if
connected tothepublic network. Ifso,atoneend? atbothends? Under what
conditions? Isresale ofswitched voice capacity permitted?
4. Isresale ofprivate leased circuit excess capacity permitted? Ifso,under whatconditions?
Maybasic telecommunications beresold tomake them available tothirdparties? For
which basic telecommunications isthispermitted?
Facilities-based
5. Maybasic telecommunications suppliers (foreign anddomestic) construct andoperate their
ownnetworks orinvest inconsortia toconstruct andoperate suchfacilities? Ifnot,what
organizations arepermitted toconstruct andoperate basic telecommunications network
infrastructures?
Public/non-public supply
6. Does yourregime make distinctions between suppliers ofpublic switched andnon-public
basic telecommunications? Ifso,how?
7. What basic telecommunications doyourregulations require, explicitly orineffect, tobe
made available tothepublic generally?
8. What basic telecommunications doyourregulations permit tobesupplied onanon-public
basis (i.e., notrequired tobemade available tothepublic generally)?
9. What obligations orresponsibilities areincurred bystatus asapublic basic
telecommunications supplier andunder whatconditions? E.g., What kinds of"common
carrier"-like obligations areimposed (e.g.withregard touniversal service), andon
whom?
10. What, ifany,restrictions arethere onorganizing andoffering aprivate network bya
telecommunications supplier?
11. Istheoperation ofpublic pay-phones reserved tomonopoly orexclusive suppliers?
PartIII
Regulatory issues
Inresponding tothequestions inthissection, participants areasked toprovide specific
references tothesource orstatus ofthemeasures concerned (e.g., where possible, acitation of
thelaw,regulation, rule,guideline, decision ordecree).
Relationship between regulatory andoperational functions
1. Doanybasic telecommunications suppliers become involved, directly orindirectly, in
making regulatory policy? enforcement ofregulations? informulating standards or
enforcing standards?TS/NGBT/W/3
Page7
2. Isyourregulatory authority (orauthorities) alsoresponsible forformulating standards? for
enforcing standards?
3. How many levels ofgovernment (e.g., national, regional, state, local) haveresponsibility
forregulation affecting basic telecommunications? Please identify anddescribe relevant
levels ofgovernment authority. Arethere anyprocedures enabling suppliers toresolve
questions ordisputes theymayhaveortoappeal adecision withtheregulatory body
concerned? Ifso,please describe.
Frequency allotment orassignment
4. What aretheprocedures, requirements andcriteria applied fortheallotment orassignment
ofradio frequencies?
5. Doforeign telecommunications suppliers receive national treatment under these procedures
andcriteria?
Numbering andidentification codes
6. What aretheprocedures, requirements, andcriteria usedtoassign numbering and
identification codes?
7. Doforeign telecommunications suppliers receive national treatment under these procedures
andcriteria?
Standards, typeapproval andequipment attachment
8. What types ofmandatory standards areinplace?
9. When astandard isunder review oranewstandard isbeing developed byyourstandards
authority, isthere anopportunity forpublic review andcomment prior toitsadoption?
Mayforeigners participate inthisprocess? Maytheprivate sector participate inthe
development ofstandards? Ifso,how?
10. What equipment issubject totypeapproval? Isself-certification allowed? Hasyour
government concluded mutual recognition agreements fortelecommunications equipment
certification? Aretheyrequired forforeign produced equipment?
11. How istheability toattach terminal equipment tothenetwork regulated? What
restrictions, arethere onterminal equipment thatmaybeattached tothenetwork?
12. Maybasic telecommunications suppliers connected tothepublic network usetheirown
switches?
13. Does thegovernment require network-based suppliers topermit theattachment of
customer-supplied terminal equipment?
Interconnection
14. Ingeneral, howisinterconnection regulated inyourregime? What aretheregulations
applied?TS/NGBT/W/3
Page8
15. Doyourregulations require network-based suppliers toprovide interconnection forother
basic telecommunications network orservices suppliers? Ifso,please describe?
16. Isinterconnection between leased circuits andpublic datanetworks permitted?
17. What aretherules andregulations regarding thepricing ofinterconnection? Are
interconnection charges setinrelation toanyprinciples (e.g., cost-oriented)? Isthere a
requirement tosubmit interconnection charges toaregulatory body forapproval? Are
these changes inthepublic domain? Arethesame interconnection charges applied toall
suppliers requesting interconnection oraretheynegotiated onacase-by-case basis? What
requirements orobligations existtopublish, make publicly available, ortosupply details
ofinterconnection agreements toregulatory authorities?
Competitive safeguards
18. What kinds ofsafeguards doesyourregime haveagainst anti-competitive practices of
monopolies ordominant suppliers insituations where theymaycompete withother firms
tosupply certain basic telecommunications inthedomestic market? intheinternational
market?
19. Doyourregulations distinguish between dominant andnon-dominant suppliers? Ifso,
whatarethedetails andhow are"dominant" and"non-dominant" defined? Arethere any
safeguards concerning suppliers whohavemonopoly ordominant control ofaccess to
certain market ornetwork segments?
20. Isthere anindustry-wide antitrust policy and/or anytelecommunications-specific antitrust
policy? What aretherules andregulations regarding mergers andacquisitions?
21. Arethere anysafeguards concerning basic telecommunication supplier salsoengage din
themanufacturing oftelecommunications equipment? Ifso,please describe thecontent
andworking ofthese safeguards.
Pricing-related measures
22. What istheroleofthegovernment oranyrelated agency withregard toestablishing
prices (e.g., tariffs, access charges, accounting rates) orpricing policy? E.g., doesthe
government setprices oraccounting rates, directly orindirectly (e.g.price capsorrateof
return controls), ordobasic telecommunications suppliers determine these themselves?
What requirements orobligations doesthegovernment setregarding prices charged by
monopoly/dominant suppliers? Orother suppliers?
23. Does thegovernment require tariff approval ornotification and,ifso,whatarethe
procedures? What requirements regarding cost-accounting areputinplace toensure
transparency?
24. Towhatextent istheprinciple ofnon-discrimination applied inpricing policy? E.g., isa
tariff package suchasavolume discount targeted foraspecific group allowed and,ifso,
whataretheterms andconditions applied? Areaccounting ratesapplied onanon-
discriminatory basis between countries? Ifaccounting ratesapplied indifferent agreements
arenotthesame, whatarethecriteria usedtoarrive atdifferent accounting rates? Are
some ofthese criteria required ordefined bythegovernment?
25. Doanybasic telecommunications suppliers getinvolved insetting industry-wide tariffs?TS/NGBT/W/3
Page9
26. Onwhatbasis areprices (e.g.tariffs, access charges, accounting rates) determined? What
concepts aresapplied regarding costs? Isthere ageneral principle applied regarding
allocation ofcosts? Iscost-oriented pricing ofbasic telecommunications usedorrequired
bythegovernment? Ifnot,dobasic telecommunications suppliers usecost-oriented
pricing?
27. Arethere anyrules specific tothepricing ofanewservice?
Rights ofwayfortheconstruction ofinfrastructure
28. Arebasic telecommunications services suppliers arepermitted tobuild theirown
infrastructure orfacilities? Ifso,whataretheprocedures andcriteria forauthorization to
build infrastructure orfacilities? What aretheprocedures, criteria, limitations or
qualifications applied withrespect tothegranting ofortheavailability ofrights ofwayfor
theconstruction ofinfrastructure orfacilities?
29. Isnational treatment extended toforeign basic telecommunications suppliers under these
procedures andcriteria?
Newtelecommunications services
30. Please describe anygeneral regulatory processes orprocedures thatapply todealing with
theintroduction of"new" telecommunications services. Prior toanyrelevant regulatory
procedure having beencompleted, isitnotpossible forsuchnewservices tobesupplied?
31. When anewservice becomes possible oravailable, whodetermines thestatus ofthenew
service (whether itisbasic orvalue-added) andunder whatprocedure andtimeframe?