Analyst: Transparency, Quick Decision Making Crucial for Cofetel"

Following a recent reshuffle at Mexico's telecoms regulator Cofetel, it is crucial for the new officials to bring transparency and quick decision making to the entity if the industry is to see significant competitiveness improvements, indu! stry analyst Ernesto Piedras told BNamericas.

Clara Luz Álvarez, Abel Hibert and Salma Jalife resigned April 11 as Cofetel's judicial, economic and technical officials, objecting to reforms to the new radio and television law that has been criticized for favoring dominant concessionaires.

Fox approved the reforms earlier this month that modified 13 articles. Among the reforms is a clause that allows existing concessionaires to be given the right of first refusal when their contracts are due for renewal, this allegedly being one of the issues that prompted the resignations.

"It is very important that Cofetel receives the best human resources possible, someone that knows the industry, who is known in the industry and is renowned for his/her neutrality. With experience in the sector but without conflicts of interest," said Piedras, an economist with local thinktank The Competitive Intelligence Unit.

The regulator has been frequently criticized for not having autonomy from the communications ministry SCT and for being subject to influence from the private sector.

Local press has speculated as to who the officials' successors will be, but local daily Reforma seems to be sure of itself, reporting that President Vicente Fox will name Carlos Silva, Andrés de la Cruz and José Luis Peralta on May 12.

Cofetel's president Jorge Arredondo is due to step down on April 30; and Piedras is one of the many names rumored to be his potential successor.

Piedras said that if elected as president he would use his closeness to the private sector to increase dialogue between the regulator and the operators, something that has been severely lacking, he said.

BNamericas.com"

Posted to the site on 23rd April 2006