Potential impact of NTC's draft competition rules

Company sources in charge of regulatory affairs said they had begun to look at the details but had yet to reach any conclusions on how they would affect telecom operators.

The National Telecommunications Commission will hold a public hearing on the draft regulations soon.

The draft sees the NTC determining what is market dominance - or what it calls significant market players (SMPs) - by considering many factors, including market share.

A telecom operator commanding more than 40 per cent of a market will be deemed an SMP, while those with shares from 25 per cent to 40 per cent will be regarded as tending towards market dominance.

The regulations will be applied to both NTC licensees and private telecom operators that own concessions from TOT or CAT Telecom.

Under the proposed regulations, the NTC's administration will draw up a report on the competition level in each of the telecom markets, determine the SMPs in each and propose the specific measures to govern them. This will be submitted to the NTC every two years.

Companies regarded as SMPs will also have to comply with the NTC's existing anti-monopoly regulations. If the SMPs are found to have made any monopolistic move, the NTC will impose the necessary measures to end their monopoly.