Development Symposium for Regulators
Synergy Creation as a
Regulatory Model
Nestor Roa Buitrago - Executive Director
Geneva, 20 -22 November 2.000
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Colombia
•Population
42.3 M inhab.
LA’s third largest
•GDP / Capita
2.600 US
3.1% grow 80-99
•Active Internet Users
500.000
1.2M for 2.003
•e-commerce Revenues / inhab. 2.95 US / Year
12 US for 2.003
•Telecommunications Density
•Fixed
18.4 %
in 115 years
•Mobile
4.73 %
in 5 years
1.994
60 employees
•CRT
•Creation
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Contenido
l Development Strategy
l Regulation Model
l Regulatory Convergence
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Global Concept
Country
Development
Telecommunications
International
Competitiveness
Promotion of the free and
fair competition
Government
Telecommunications are an strategic factor
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Regulators Evolution
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Generation
2
Generation
3
Generation
Monopoly
Competition
Convergence
Privatization
Regulation
Promotion
Not Independent
Autonomous
Regional
Fixed
Mobile
Data
Now….
3rd Generation Regulators will deal with convergence,
proactive promotion of the information society development
and regional integration
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Telecoms Sector Development
Equation:
Development = Companies + Users + Government
The independent and autonomous Regulator?
F( x )
Development = ( Companies + Users + Government )
F( x )
X= ( Regulate as little as posible,
Consumer Protection,
Universal Service
Free Market Development
Regional Integration )
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The Synergy-Creation Process...
Service
$
Info
Info
Protection
Decisions
Licenses
Law
Advising
Quality of
Living
Development = ( Companies + Users + Government ) F( x )
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Contenido
l Development Strategy
l Regulation Model
l Regulatory Convergence
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Colombian Regulator Structure for SynergyCreation, Process Oriented
CENTER OF MANAGEMENT SYSTEMS
CENTER OF INFORMATION SYSTEMS
Executive
Director
CENTER FOR BUSINESS KNOWLEDGE
Experts
Committee
The former CRT was organized in
functional offices, now it is a total
process-oriented matrix organization
REGULATION & ADVISING
CONFLICT RESOLUTION
MARKETING
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To regulate as minimum as possible...
Regulation & Advising
Decisions
solving market
distorsions
Decisions are not
necessarily
norms, there are
other mechanisms
and
tools
to
regulate.
Market
Forces
Telecommunications Market
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0
Mediation-Oriented Process
Conflict Resolution
New entrant
Mediation,
not
Arbitrage
Training
in
Negotiation
Incumbent
It is not enough to
demonstrate one
thing: you have to
induce people to it
F.W. Nietzche
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Information making the market to react....
Marketing
Signals
The market definitely moves
with regulator´s information,
not only with its decisions
Info
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2
The Knowledge Creation Process..
Center for Business Knowledge
Technical
Financial
Comercial
Marketing
Administrative
Resarching & Developing
regulatory prototipes that
make regulation proactive,
and integrate Colombian
telecommunications within
the international context
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3
Contenido
l Development Strategy
l Regulation Model
l Regulatory Convergence
1
4
Synergy creation must extend
to common markets….
Regional integration
is
vital
in
the
communities-based
New Economy
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5
The answer to make markets more
atractive and to exploit benefits for
users is regulatory convergence...
Common agreements
across goverments in
information technology
related
issues
are
fundamental
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Conclutions
l The development model based on synergy creation
makes the regulator a value generator to the sector
and not just an actor
l The regulator´s organizational structure must be
based on the country´s development model, in the
case of Colombia the answer was a process
oriented entity
l The regional integration is vital in the new economy,
administrations must give legitimacy to
supranational organizations in each country to
make decisions mandatory across the board
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Thank you
For further Information:
http://www.crt.gov.co
atencioncliente@crt.gov.co
Carrera 11 No. 93 - 46 Piso 2
Bogotá D.C., Colombia
Tel.+ 57 1 635 5550 Fax. + 57 1 635 5551
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