A ruling by the Administrative Court found in favor of the state run telecoms company and obliges the regulator to update the relevant market data and level the playing field for all operators.
In the lawsuit, the Instituto Costarricense de Electricidad (ICE) argued that the failure to update data on relevant markets and operators prevented the Superintendency of Telecommunications from providing equal treatment to all telecommunications companies operating in the country. Because of this, Crhoy.com reports, "... only the ICE can be fined or receive penalties for noncompliance."
The essential modernization of technical and administrative rules governing the sector is being hampered by the proposed inclusion of rules to control content.
EDITORIAL
The vaudeville act (from the Royal Spanish Academy: frivolous, light and spicy comedy based around intrigue and misunderstandings) presented and represented by the government of Costa Rica, regarding the development and "socialization" of the proposed new Telecommunications Act , has produced as its first result t a leaderless Ministry of Science, Technology and Telecommunications (Micitt).
While operators claim for effective competition on the market, the Telecommunications Authority has become a thorn in the side of the telcoms companies.
In the steps undertaken by Holst Van Patten S. A. for the acquisition of satellite internet services, the Telecommunications Superintendency (Sutel) asked the company to request an authorization for a merger and then retracted it clarifying that it would not go ahead.
Operators of the telecommunications market in Costa Rica are calling for intervention by the regulator in rates to be removed and for operations to be carried out within a framework of real commercial freedom.
After more than six years of having promoted laws which opened up the telecommunications market in Costa Rica, no operator has the ability to unilaterally set final prices or manipulate conditions in the telecommunications market.
The industry is calling for effective competition to be allowed with the market setting rates and not the Telecommunications Regulator.
Operators of telephony and internet services are asking for the establishment of maximum rates by the Superintendencia de Telecomunicaciones (Sutel) to be eliminated, applying what is contemplated in the Telecommunications Act, which allows the possibility of not intervening in the setting of rates.
With its entry into force in late November, both the regulator as well as telephone companies predict fierce competition because of attempts to retain and attract customers.
"This law promotes stronger dynamism in the market and gives the user the power to negotiate what suits them. It requires companies to provide more service. It is a climate of true market competition," said Eduardo Castellon spokesman for the Superintendencia de Telecomunicaciones (Sutel).
The supervisor of telecommunications and major operators have agreed to implement number portability in November 2013.
After arguing that it was technically impossible to implement the necessary equipment until March 2014, "the Costa Rican Electricity Institute (ICE) agreed to accelerate the purchase of equipment in order to implement number portability, while Movistar and Claro operators relaxed deadlines for developing the system which had been agreed on months ago," noted an article in Elfinancierocr.com.
The state telecoms company says it can not adapt its systems to number portability by March 2014.
The ICE has set up every possible legal and administrative resource in order to prevent the entry into operation of number portability, so that it can perpetuate its business advantage (captive customers) in the light of newcomers. Now it is simply reporting that it is technically unprepared to join the system by which mobile phone users can retain their telephone identification when moving from one operator to another.
Costa Rica businesses are insisting that they be granted the necessary permits for installation of cell phone towers that will enable quality communication services.
A communication from the Costa Rican Union of Chambers and Associations of Private Business Sector (UCCAEP) reads:
UCCAEP urges authorities to act to make privatisation of telecommunications a reality.
Since November 2010 installing a cell phone tower within 15 kilometers of a Costa Rican airport has required a detailed analysis and authorisation by the Civil Aviation Authority.
Prior to that date, the Instituto Costarricense de Electricidad (ICE) had no trouble installing the towers, but now the Directorate General of Civil Aviation (DGCA) has decided to adhere to international standards and make everyone endure the the red tape required for granting installation permits.
December 14th is the new date set by Sutel for reception of bids for the cellular market.
The original date for bid reception was Nov. 5. The changes requested by the Comptroller General forced Sutel to change the schedule.
Elfinancierocr.com reports that the newspaper [the official journal Gaceta] published in their Errata section, "The other conditions in the bid terms will remain unchanged for now, Sutel, in the coming days, will proceed with the publication of the amendments.”
If the schedule is followed as expected, by September 2011 the mobile telephony concessions will be awarded.
Costa Rica's Telecommunications Regulator (SUTEL) has made public the invitation to tender for the cellular telephony frequencies.
The work schedule, if the process is not appealed, will contain the following key dates: 5 November to receive technical and economic offers, 3 December for the offers to begin being reviewed.
The upcoming publication of the conditions for the opening up of telecommunications leads operators to request clearer rules.
Telecommunication companies have asked Costa Rica's Telecommunications Regulator (SUTEL) to provide greater clarity in several areas including procedures for installing Radio Bases, interfacing with networks belonging to the state-owned electricity and telecommunications provider (ICE), and microwave communication.
Costa Rica’s Chamber of Information and Communication Technologies has urged the government to speed up the opening of the market.
According to Román Fallas, president of the Chamber, the market has not been properly opened and the process demonstrates “a lack of political coordination” between the Environment Ministry, the regulator (SUTEL) and the current state-owned electricity and telecommunications provider (ICE).
According to the official schedule, the first bands of frequency will be awarded in May 2008.
Mercedes Agüero writes in an article published in Nacion.com: “Nevertheless, the Dobles administration cautioned that much of the process can be appealed, which can prolong the timeframe."
"In the meantime, the Instituto Costarricense de Electricidad (ICE) will be maintained as the sole operator of cellular telephone service."