Identifier
Created
Classification
Origin
08MUSCAT263
2008-04-07 12:41:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy Muscat
Cable title:  

OMANI TELECOM AUTHORITY REQUESTS WRITTEN COMMENTS

Tags:  ECPS ETRD ECON EINT USTR MU 
pdf how-to read a cable
VZCZCXYZ0007
RR RUEHWEB

DE RUEHMS #0263 0981241
ZNR UUUUU ZZH
R 071241Z APR 08
FM AMEMBASSY MUSCAT
TO SECSTATE WASHDC 9458
UNCLAS MUSCAT 000263 

SIPDIS

SENSITIVE
SIPDIS

STATE FOR NEA/ARP, EEB/CIP/BA
STATE PASS USTR FOR JBUNTIN
COMMERCE FOR ITA THOFFMAN

E.O. 12958: N/A
TAGS: ECPS ETRD ECON EINT USTR MU
SUBJECT: OMANI TELECOM AUTHORITY REQUESTS WRITTEN COMMENTS
IN LIEU OF DVC

REF: STATE 30503

UNCLAS MUSCAT 000263

SIPDIS

SENSITIVE
SIPDIS

STATE FOR NEA/ARP, EEB/CIP/BA
STATE PASS USTR FOR JBUNTIN
COMMERCE FOR ITA THOFFMAN

E.O. 12958: N/A
TAGS: ECPS ETRD ECON EINT USTR MU
SUBJECT: OMANI TELECOM AUTHORITY REQUESTS WRITTEN COMMENTS
IN LIEU OF DVC

REF: STATE 30503


1. (U) This is an Action Request; please see paragraph 5.


2. (SBU) On March 31, Econoff delivered reftel demarche to
Engineer Naashiah al-Kharusi, Committee Member,
Telecommunications Regulatory Authority (TRA). In
particular, Econoff emphasized that the telecommunications
liberalization study, released by TRA for public comment, had
taken the USG off-guard, especially since the Omani
government had already agreed to liberalize its fixed-line
telecommunications sector per its WTO and U.S.-Oman Free
Trade Agreement (FTA) commitments. Econoff continued that
the USG expected to comment on the TRA's proposed
telecommunications licensing criteria, which have not yet
materialized. (Note. A licensing criteria expert, funded by
the Middle East Partnership Initiative, came to Muscat in
June 2007 to work with the TRA on establishing FTA-compliant
licensing criteria. End Note.)


3. (SBU) Kharusi acknowledged that she did not give the USG
advance notice that the TRA was working on a liberalization
study for public comment. She further noted that interest in
this study had been brisk, and that the TRA would continue to
accept comments from interested stakeholders beyond the April
1 deadline, given the number of extension requests received.
On the telecommunications licensing criteria, Kharusi stated
that the TRA continues to await feedback from its fixed-line
consultant; it will also take into consideration public
comments received on the liberalization study.


4. (SBU) In the same breath, Kharusi reaffirmed the TRA's
interest in opening the fixed-line sector. She remarked that
the TRA was disappointed with the meager response to the
opening of the internet service provider (ISP) sector, which
she attributed to the fact that Omantel remains the only
company licensed to provide internet backbone services. With
the opening of the fixed-line market, Kharusi envisions more
competition on the ISP front.


5. (SBU) Econoff replied that the USG remains very concerned
that the TRA's path toward telecommunications liberalization
may not meet its FTA and WTO commitments, and requested that
Kharusi participate in a DVC with USTR officials at the
earliest opportunity. Kharusi initially agreed to a April 14
DVC with USTR; however, on April 6, Dr. Said al-Riyami,
Economic Expert and FTA Coordinator for Oman, informed
Econoff that in lieu of a DVC, the TRA has requested that
USTR submit its concerns in writing. Econoff highlighted the
fact that a DVC would be the most efficient way of gaining a
better sense of where the TRA's progress stood on developing
FTA-compliant licensing regulations, but Riyami reiterated
that the TRA would respond to USTR's concerns through written
communication.


6. (SBU) Comment and Action Request. The TRA is still not
ready to release proposed licensing criteria, a result of the
outstanding consultant's study, originally expected to be
finished in January. The TRA also seems intent on requesting
feedback on proposed regulatory changes from interested
parties via written correspondence. Embassy requests USTR's
views on how to proceed in light of the TRA's reluctance to
engage via DVC. End Action Request.
GRAPPO