6 Nov 2008

Solomons Government to negotiate with phone company over ending monopoly

7:53 pm on 6 November 2008

The Solomon Islands Government has decided not to take an aggressive stand to end the telecommunication monopoly held by Solomon Telekom.

The Special Secretary to the Prime Minister, John Keniapisia, told local media the Government had intended pushing through legislation to free up the sector in this month's session of Parliament.

But he says they have decided instead to address the issue through negotiations with the phone company.

Mr Keniapisia says the Government does not want to send the wrong signal to investors by bulldozing through legislation, and instead will use the review clause in the licence to re-negotiate Telekom's 15-year contract.

But he says if these talks fail the Government is likely to fall back on the option of using legislation to end the monopoly.