Hong Kong, Sept 28: A prominent political party and a telecommunications operator on Monday called on Hong Kong's government to fully liberalise the telecommunications market. Legislator Fred Li will move a motion in the territory's legislature on Wednesday urging the administration to adopt measures to liberalise fully and speedily the local and external telecommunications and television markets."In the last three years, we have three new operators in local (fixed) telecommunications network. They only reached a market share of less than two percent all together," Li, a spokesman for the Democratic Party, told local radio on Monday.
He contended that more licences should be issued in view of the dominance of the key player, Hong Kong Telecommunications Ltd, which used to hold a monopoly.
"Let the market decide whether we need any new entries," Li said, adding that no ceiling should be set on the number of licences to be issued for new operators.
"Hong Kong is a free market. It should really go inthat direction," he contended. "So I think it is really the time for the government to really step in and let the market decide."
The administration unveiled wide-ranging plans this month to further free up the telecommunications market and television broadcasting and programme services to boost competition.
On telecommunications, the government said it could consider granting more licences for fixed telecommunication network services (FTNS) or getting a firm commitment from the relatively new FTNS operators to expand their existing land-line networks.
On television broadcasting, major proposals include allowing FTNS licensees to provide television programme services such as pay television and video-on-demand services and allowing cable television networks to deliver telecommunications services as well.
Under previous liberalisation measures, licences for external telecommunications such as international call-back services and managed data network services will be issued on demand from January 1,1999.
Hong Kong Telecommunications Ltd (Hongkong Telecom) lost a monopoly on operating the local FTNS in 1995, when the administration awarded four new licences, one of which went to Hongkong Telecom.
The other three were won by Hutchison Whampoa Ltd's Hutchison Communications Ltd, New World Development Co Ltd's New World Telephone Holdings Ltd, and Wharf (Holdings) Ltd's New T & T Hong Kong Ltd.
Telecomunication operator City Telecom (H.K) Ltd on Monday ran full-page advertisements in newspapers urging full liberalisation of the telecommunications market.
"The full liberalisation of the telecom market would give everyone access to multiple new channels of communication. Giving you true freedom of choice. Does anyone really have the right to take that away?" the advertisment said.
It suggested the territory should have more than four FTNS operators. "In New York City, there are 14 such operators for consumers to choose from. In Tokyo, there are 10. So the people of Hong Kong really deserve less?However Li noted the three new FTNS operators are opposed to the issue of more licences for fear of even keener competition.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.