System wide approach needed to address internet issues

Deloitte Manager Todd Mclnnis.

By MATTHEW VARI

Sunday, October 9, 2016 (Sunday Chronicle, PNG)

THE internet being a system itself needs system wide approaches in addressing its affordability and reliability issues.

Those were the recommendations of a report by the National Research Institute into internet services in the country and the reasons affecting the high costs associated with accessing it.

Deloitte Manager, Todd Mclnnis, pointed out major areas that require government attention to ease the pressures on service providers and the lack of cohesion within the marketplace of wholesalers of internet data and retailers that supply to users of the internet.

Three long terms strategic objectives of reducing wholesale prices, reform of the regulatory market, and reform of the retail market.

“They are the end goals and the three things that overtime we think are going to ensure that prices not only fall but remain low,” Mclnnis said.

“The most recent development strategy in the ICT sector was done in 2008 in a very different environment. There is a need for an updated strategy so that all participants in the market can come together and identify a way forward. How do we want to ensure prices fall and development of the internet architecture?”

“Strengthening the regulatory framework, while the regulatory system is well established in regards to competition, there do appear to be some regulatory gaps of the foul access so strengthening those is important.”

“The nest will relate to the wholesale market- there is a little bit of confusion in the wholesale market at present- addressing the parked structure is the access arrangements would be very important and would go a long way to ensure the market is sustainable and operating as it should.”

With National Information and Communications Technology Authority (NICTA) stating that pricing intervention exists only at the wholesale level- the recommendation calls for more involvement at the retail level through increased monitoring.

“This is a very important step forward- very simple is about keeping a publically available data set that doesn’t have to be complicated to say what are prices tracking moving forward.”

It also called for reform of state owned enterprises.

“This is something that is a long term thing for Papua New Guinea as there has been a lot of work on this in the past, but again in terms of the internet market looking at the State Owned Enterprises, reviewing their operations, reviewing their finances, and saying how you want this to be run going forward will go a long way.”

“The point of this report is to bring people together- it’s to bring all the participants of the market together.”

“The internet is a system that requires a system wide response. You can’t address wholesale prices without also addressing the retail market,” he concluded.