A new telecommunication bill that would replace the existing one in Bolivia has been approved by Chamber of Deputies’s planning, economic policy and finance committee, but the proposed legislation is already creating controversy among players. The bill still depends on other approvals.
“If the bill is approved that will have a negative impact in the Bolivia telecommunications development. It’s necessary to have enought spectrum so carriers could offer good quality services, and according to this bill, only 33% had been available to operators, the rest remained with the government (34%) and Indians (33%),” explained Informa analyst Marceli Passoni.
In her point of view, since a good network infrastructure demands high investments, it is not comfortable that 77% of spectrum are in the hands of those who have no capital to invest. “The approval of the new law could further shake investors confidence and the attractiveness of the country.”
On June 11, vice president of Bolivia Alvaro Garcia Linera said to the local press that the frequency distribution established does not take sides with any sector. The standard determines the frequency distribution is 33% for the private sector, 33% for the state and the remaining 34% for social sector community and indigenous people. Currently, private operators can use up to 80% of the spectrum.
Another point that is diverging the sector is a proposal of a 2% tax on operators’ gross revenues to finance rural telecom programs (compared to a 1% maximum in other regional countries).
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