LICENSING CONDITIONS IN THE TELECOMMUNICATIONS

UNCLAS SANTIAGO 001427

SIPDIS

DEPARTMENT FOR EB/CIP TIMOTHY C. FINTON; USTR JONATHAN
MCHALE/PAUL NEUREITER

E.O. 12958: N/A
TAGS: ECPS ETRD CI
SUBJECT: LICENSING CONDITIONS IN THE TELECOMMUNICATIONS
SECTOR - REQUEST FOR INFORMATION

REF: SECSTATE 114687


1. This message transmits information per reftel request on
licensing conditions in the Chilean telecommunications sector.


2. The GOC does not assess any fees in connection with
licensing fixed line services in excess of what is necessary
to cover administrative costs.


3. The GOC only imposes capitalization or bonding
requirements when concessions are awarded by means of a
public competition. The purpose is to insure that the
project is implemented as proposed; once the concessionaire
fulfills the obligated project, the bond (or other form of
guarantee) is returned. The level of such a requirement
depends on each case. Type of service and coverage are
considered when making an estimate.


4. No build-out investment requirements are imposed.
KELLY