Business
Digicel Jamaica locks horns with regulator over drop in mobile termination rates
(Jamaica Gleaner) – Telecommunications firm Digicel has accused Jamaica’s regulator – the Office of Utilities Regulation (OUR) of being “unconstitutional” and setting itself up as “judge, jury and executioner”.
Digicel Jamaica declared that the utilities regulator’s actions had forced its decision to file an application last Wednesday in the Supreme Court seeking leave to proceed with a claim for judicial review of the OUR’s recent determination on interim mobile termination rates.
Abuse of Newly Acquired Power
On June 4, the OUR, using its newly acquired power to set termination rates, mandated that come July 15 cross-network rates should fall to J$5.00 (US$0.057) per minute, while a long-term formula is worked out to determine the rates.
Digicel Jamaica is claiming that such a move was contrary to the common law right of natural justice since, among other things, the OUR has denied Digicel Jamaica of its rights and legitimate expectation that the OUR adhere to due process and procedural fairness when making determinations.
The company noted that while it was supportive of constructive change, any reforms introduced in the telecommunications sector need to follow due process and comply with the Constitution of Jamaica.
In its filing, Digicel Jamaica is also arguing that the OUR does not have the power to set interconnection rates, despite the fact that it was an Act of Parliament that granted the regulator such power.
