Revised Anti-Foreign Dominance Rules Submitted: Thai NBTC

[webfact]

Revised anti-foreign dominance rules submitted

THE NATION

BANGKOK: -- The National Broadcasting and Telecommunications Commission's subcommittee on regulation revisions has submitted to the NBTC's telecom committee its draft of new regulations to prevent foreign dominance of the local market.

The move follows a public hearing held by the subcommittee in December on the need for changes to anti-dominance rules that were issued by the now-defunct National Telecommunications Commission and took effect last August.

NBTC member Suthiphon Tha-veechaiyagarn said the telecom committee would study the draft and consider whether to approve the revisions. If it does, they will be put to another public hearing.

Unlike the existing regulations, the revised ones do not touch on the issue of national security or require the NBTC to consult with national-security agencies if it finds that a licence holder appears to have breached regulations.

The regulation revision subcommittee believes the watchdog should not issue regulations beyond the scope of the authority granted it under the Telecom Business Law. The regulations are aimed at curbing foreign dominance of local telecom operators, which the panel does not consider to be a national-security issue.

The revised regulations replace the term "controlling power" in the existing law with the term "dominance". "Dominance" would be determined based on a licence holder's shareholding structure, particularly whether it controls a majority of votes at shareholders' meetings and has the authority to appoint or remove directors. This is in line with the Securities and Exchange Act BE 2535.

In the existing regulations, the term "controlling power" is defined as direct or indirect control of and influence on devising company policy, management and appointment of top executives, or any practices that could impact the licence holder's management.

Foreign dominance is said to exist where foreign parties have at |least half the controlling power in a licence holder or telecom concession holder.

Under the existing Foreign Business Act, a foreigner is defined as an individual holding non-Thai nationality, a juristic person registered overseas, or a Thailand-registered company in which at least half of the shares are owned by foreigners or overseas firms.

The revised regulations also remove the NBTC's authority to consider exempting a licence holder from the regulations on a case-by-case basis at a licence holder's request. This is designed to remove any subjective element from the watchdog's judgements.

The existing regulations specify 10 characteristics of foreign dominance that are to be prevented.

The 10th characteristic is any kind of dominance that allows foreigners or their nominees to control a licence holder indirectly or directly. The revised regulations remove this provision.

Suthiphon said the revision of the regulations was not done at the behest of any party and was not aimed to benefit any particular interest group. The revision is based on an analysis of the pros and cons of the regulations, and related laws, as well as a survey of people's opinions and recommendations.

Advanced Info Service has Singapore Telecom as its strategic partners, while Total Access Communication (DTAC) has Norway's Telenor. True Corp is the only local telecom operator without a foreign strategic partner.

DTAC filed a complaint with the Central Administrative Court last November, claiming the foreign-dominance regulations were illegal and unconstitutional.

True Corp supports the existing regulations as a necessary tool to prevent foreign-owned entities competing against local telecom operators in bidding for key spectrum licences, citing national security. But some parties say the regulations should be revoked, as they might contradict Thailand's commitments to global trade organisations.

[Thai at Heart]

Here We go again. They are buying imported technology and they are worried about who votes for who as a national security issue.

Huawei are banned from some markets because of this.

[jonclark]

So where in the scheme of thing does consumer choice fit in?

[jybkk]

All this legales is fine, but can anyone explain in which way this is supposed to benefit Thailand other than by playing on vague xenophobic concerns?

[Thai at Heart]

So where in the scheme of thing does consumer choice fit in?

Thats not in the national interest, at least not CP's interest

[sparebox2]

many businesses should remains Thai.

Especially the bar business in Pattaya & Phuket.

[Kalbo]

many businesses should remains Thai.

Especially the bar business in Pattaya & Phuket.

Is there any particular reason they should ?

[sparebox2]

many businesses should remains Thai.

Especially the bar business in Pattaya & Phuket.

Is there any particular reason they should ?

Yes. Thai should be the the business of selling Thai meat.

In Pattaya & Phuket, Farang are selling Thai meat to Farang in their bars. Pimp is not a legal profession for Farang, besides, they do not have work permit to operate as a Pimp.

[Kalbo]

many businesses should remains Thai.

Especially the bar business in Pattaya & Phuket.

Is there any particular reason they should ?

Yes. Thai should be the the business of selling Thai meat.

In Pattaya & Phuket, Farang are selling Thai meat to Farang in their bars. Pimp is not a legal profession for Farang, besides, they do not have work permit to operate as a Pimp.

Ahh, there we have it, a most succinct and logical reply.

[AngryParent]

Every few days I see such blatant racism and wonder why we are here, why we have helped build this country from its Third world status when all they do is insult us and abuse us.

I used to feel that racism in the West was an issue. Then when I came here I realized that it is so small compared to the complete evil and fully embedded racism in this country.

Do these people not have brains? Is evil and barbarianism their primal instinct? Do they think these are the dark ages (as they behave as such)?

Does TV not take a stand against such blatant racism? Why do we have to suffer by reading every few days about the ever present and increasing racism of the people in this country? Surely there should be some morals left?

It is depressing and pathetic.

[JeremyBowskill]

QUOTE.

Yes. Thai should be the the business of selling Thai meat.

In Pattaya & Phuket, Farang are selling Thai meat to Farang in their bars. Pimp is not a legal profession for Farang, besides, they do not have work permit to operate as a Pimp.

Pretty sure pimping and prostitution is against the law for Thais also, not that this really has anything to do with the telecoms business mind you.

Edited April 10, 2012 by JeremyBowskill

[geriatrickid]

So where in the scheme of thing does consumer choice fit in?

Nowhere. We're screwed.

[bigbamboo]

So where in the scheme of thing does consumer choice fit in?

Nowhere. We're screwed.

Just as with 3G.

[chuang]

Every few days I see such blatant racism and wonder why we are here, why we have helped build this country from its Third world status when all they do is insult us and abuse us.

It is depressing and pathetic.

5555555...

[belg]

many businesses should remains Thai.

Especially the bar business in Pattaya & Phuket.

Is there any particular reason they should ?

Yes. Thai should be the the business of selling Thai meat.

In Pattaya & Phuket, Farang are selling Thai meat to Farang in their bars. Pimp is not a legal profession for Farang, besides, they do not have work permit to operate as a Pimp.

that would be funny is one goes to the labour department and apply a business visa for pimp

it's not on the list of the jobs farangs are excluded to do, loooooooooooooooooool

4 thais working for his WP will be no problem, he can invite all his home friends to apply for WP and get 40 girls working for them

oh, i guess they already do in walking street...

how come everytime i see a "farang", he is speaking russian for 99% of the cases

[Unkomoncents]

It sounds to me like they've got plans to rid of some ridiculous stipulations in the existing law. Unfortunately, it's impossible to believe that this will progress beyond the "submitted"-stage. True is like a virulent, influence-buying parasite on the telecom sector in Thailand. I sincerely hope they can get rid of the exceptions clause that allows government officials to enforce the regulations on a "case-by-case" basis. Fact is that the NBTC has probably already been bought out by one party (True Corp, probably) and these laws are simply another way of attacking strong competitors via arbitrary government regulation. The mere fact that the NBTC official denied favoritism makes me extremely suspicious.

[allan michaud]

Every few days I see such blatant racism and wonder why we are here, why we have helped build this country from its Third world status when all they do is insult us and abuse us.

I used to feel that racism in the West was an issue. Then when I came here I realized that it is so small compared to the complete evil and fully embedded racism in this country.

Do these people not have brains? Is evil and barbarianism their primal instinct? Do they think these are the dark ages (as they behave as such)?

Does TV not take a stand against such blatant racism? Why do we have to suffer by reading every few days about the ever present and increasing racism of the people in this country? Surely there should be some morals left?

It is depressing and pathetic.

Very off topic but sadly I have to agree with the racism comment. I have spent considerable time in more than 25 countries, all over Europe, middle east and Asia and Thailand is the most racist nation I have visited by a cosiderable margin.

[moe666]

Every few days I see such blatant racism and wonder why we are here, why we have helped build this country from its Third world status when all they do is insult us and abuse us.

I used to feel that racism in the West was an issue. Then when I came here I realized that it is so small compared to the complete evil and fully embedded racism in this country.

Do these people not have brains? Is evil and barbarianism their primal instinct? Do they think these are the dark ages (as they behave as such)?

Does TV not take a stand against such blatant racism? Why do we have to suffer by reading every few days about the ever present and increasing racism of the people in this country? Surely there should be some morals left?

It is depressing and pathetic.

I guess you will be leaving soon.

[osiboy]

Every few days I see such blatant racism and wonder why we are here, why we have helped build this country from its Third world status when all they do is insult us and abuse us.

I used to feel that racism in the West was an issue. Then when I came here I realized that it is so small compared to the complete evil and fully embedded racism in this country.

Do these people not have brains? Is evil and barbarianism their primal instinct? Do they think these are the dark ages (as they behave as such)?

Does TV not take a stand against such blatant racism? Why do we have to suffer by reading every few days about the ever present and increasing racism of the people in this country? Surely there should be some morals left?

It is depressing and pathetic.

nice post,... what i cant understand is why western countries USA,EU,and JAPAN dont demand better contract conditions when investing in thailand, for as long as i can remember we have been ripped off in thailand with no recourse , our GovtS don't seem to give a toss about justice for their own people , i feel only commerce and the loss of investment will make thais think twice{if they are capable of that} and hopefully into a more equal and just society

[Phatcharanan]

Yes. Thai should be the the business of selling Thai meat.

In Pattaya & Phuket, Farang are selling Thai meat to Farang in their bars. Pimp is not a legal profession for Farang, besides, they do not have work permit to operate as a Pimp.

And there you have it in a nutshell......the above reply from a poster who is the product of the education system here.

Edited April 10, 2012 by Phatcharanan

[Thai at Heart]

It isn't racism, it is simply a business with massive political influence, cash and connections pulling in favours. They dress it up behind national protection, but all it is, is designed to slant the pitch in favour of one company over another.

I actually have a few relatives who work for this bunch on the agribusiness side, and they work in a professional way, it is just that entering a truly competitive market is an anathema to them. They get the politicians on side, then the laws on their side, then they invest and make a shed-full.

[Jerrytheyoung]

many businesses should remains Thai.

Especially the bar business in Pattaya & Phuket.

Is there any particular reason they should ?

Yes. Thai should be the the business of selling Thai meat.

In Pattaya & Phuket, Farang are selling Thai meat to Farang in their bars. Pimp is not a legal profession for Farang, besides, they do not have work permit to operate as a Pimp.

I agree with you: the result of the xenophobic policy is that Thailand does not attract anymore the "good"guys and remains a "shelter"for the unwanted guys in their own Countries. because Thailand has not signed extradition agreement with several Countries, Police is weak, Corruption is high, drug trafficking is important. It is becoming the hub of all mafias....

[samran]

All this legales is fine, but can anyone explain in which way this is supposed to benefit Thailand other than by playing on vague xenophobic concerns?

This isn't supposed to benefit Thailand.

If I was a cynical person then my guess is that is supposed to push out Telenor and help consolidate AIS' position. That is if I was a cynical person.

[SlyAnimal]

I can see the sense in what they're saying in the article

I don't agree with them, but I can see what they're afraid of, as they don't want foreigners to control important infrastructure within their country, or indeed anything within their country if can achieve that.

As in some countries, important infrastructure such as water or telecommunications have been controlled by foreign owned companies. Then they gain market dominance, and increase their prices to a level which is unaffordable for the general population. Likewise if it's controlled by foreign countries, then they worry about potential espionage.

Add to this, that the prime minister's brother is the founder of the biggest mobile network in Thailand, and so legislation which will hinder his competitors but not him might curry favour with the right parties lol

[samran]

Every few days I see such blatant racism and wonder why we are here, why we have helped build this country from its Third world status when all they do is insult us and abuse us.

I used to feel that racism in the West was an issue. Then when I came here I realized that it is so small compared to the complete evil and fully embedded racism in this country.

Do these people not have brains? Is evil and barbarianism their primal instinct? Do they think these are the dark ages (as they behave as such)?

Does TV not take a stand against such blatant racism? Why do we have to suffer by reading every few days about the ever present and increasing racism of the people in this country? Surely there should be some morals left?

It is depressing and pathetic.

I guess you will be leaving soon.

No, if you look back at his posts, you'll soon see he wanted to apply for Thai citizenship. Quite ironic really, given the stuff he now spouts.

[Bluespunk]

Yes there is a lot of racism here and it can be depressing, but most Thais I have met are not outright racists. It's a lot like the seventies in the UK when most people held racist views without realising they were racist. It's taken over 3 decades of education to overcome a lot of misconceptions that led to racist thinking and behaviour. Even now racism still exists- not only in caucasion communities, racism is based on the way youvthink not the colour of your skin- however there is still work being done tp overcome this. However for this to succeed you need a government that opposes racism…

Edited April 10, 2012 by Bluespunk

[TheGhostWithin]

or does he love the country, climate and food, and dislike the system which profits from it like a cancer, slowly eating away at the future of an entire country? He is not alone.

[Thai at Heart]

Yes there is a lot of racism here and it can be depressing, but most Thais I have met are not outright racists. It's a lot like the seventies in the UK when most people held racist views without realising they were racist. It's taken over 3 decades of education to overcome a lot of misconceptions that led to racist thinking and behaviour. Even now racism still exists- not only in caucasion communities, racism is based on the way youvthink not the colour of your skin- however there is still work being done tp overcome this. However for this to succeed you need a government that opposes racism…

It has a certain Alf Garnett feel to it. I lived in Greece for a while and it reminds me very much of the misplaced pride the Greeks had towards the Turks. As long as they were better than the Turks, that was enough for them. It really doesn't help at all to point out the absurdity of this superiority, because you are open to accusation of not "loving" the country, and so, blinkered pride persists.

Problem is, that attitude relies on the ability to hide from the rest of the world and keep peoples understanding of the outside world as small as possible, and never to admit the obvious problems here, even when they are right in front of your nose. The government will never actively discourage this type of racism or nationalism because self criticism and analysis would shake the national identity to the core. Criticism is the preserve of the educated, and the upper echelons, not the man in the street, because their opinion doesn't matter, and what would they know anyway. Problems are presented as being completely uniquely local in nature, when in reality they are universal to the world be it teaching people how to drive, or tackle base corruption. TIT and Mai Bpen Arai are just a cop out.

Just be happy that you are better than Laos, Cambodia, Myanmar and maybe Malaysia (coz they are moslem, poor fellows) and know that the we are really the envy of the rest of the world, that's why so many people want to come here. But what happens when they realise there really are no clothes?

[Hyponeros]

many businesses should remains Thai.

Especially the bar business in Pattaya & Phuket.

Is there any particular reason they should ?

Yes. Thai should be the the business of selling Thai meat.

In Pattaya & Phuket, Farang are selling Thai meat to Farang in their bars. Pimp is not a legal profession for Farang, besides, they do not have work permit to operate as a Pimp.

I totally agree with that! It is unacdeptable that foreigners are involved in illegal activities! Only Thai people should be allowed to get involved in illegal activities!

[animatic]

So where in the scheme of thing does consumer choice fit in?

Nowhere. We're screwed.

Just as with 3G.

This is still about 3G, even as 4G is being installed world wide.