Document

T h e
B o a r d
O f
D i r e c t o r s
O f
T h e
T R A
Dr. Mohammed J.K. Alghatam
Shaikh Ahmed bin
Mohammed Al Khalifa
Dr. Rasheed
Jassim Ashoor
Mr. Mohammed
Hussain Yateem
Shaikh Hamad bin
Abdulla Al Khalifa
Mr. Rasheed
Mohammed Al Meraj
The Board of the Telecommunications Regulatory Authority (the TRA) was appointed by His
Majesty the King, Shaikh Hamad bin Isa bin Salman Al Khalifa, following the proposal from
the Minister of Transportation and approval by the Council of Ministers of the Kingdom of
Bahrain. On 9 December 2002 the first Board of Directors of the TRA was formed by Royal
Decree number 50 for 2002.
The appointment of the Chairman and first member of the Board (Shaikh Ahmed bin Mohammed
Al Khalifa) is for a four-year term, while for the other three members the appointment is for
a three-year term.
On 23 March 2005 His Majesty the King, Shaikh Hamad bin Isa bin Salman Al Khalifa, issued
Royal Decree number 20 for 2005 appointing Mr Rasheed Mohammed Al Meraj as a Board
Member, replacing Shaikh Ahmed bin Mohammed Al Khalifa who resigned in February 2005
after being appointed Minister of Finance. Mr Al Meraj’s appointment is for the remainder
of the term of his predecessor.
At the end of 2005 the Board was as follows:
2
•
Dr Mohammed J. K. Alghatam, Chairman
•
Mr Rasheed Mohammed Al Meraj, first member
•
Shaikh Hamad bin Abdulla Al Khalifa
•
Dr Rasheed Jassim Ashoor
•
Mr Mohammed Hussain Yateem
Annual Report 2005
T h e Te l e c o m m u n i c a t i o n s R e g u l a t o r y A u t h o r i t y ( T R A )
The TRA was set up in October 2002 by Legislative Decree No. 48 under the Telecommunications
Law. The TRA is an independent body overseen by the Board of Directors. The General Director
of the TRA is responsible for the day-to-day operation of the organisation. The General Director
is appointed by His Majesty the King, Shaikh Hamad bin Isa bin Salman Al Khalifa, based on
the recommendation of the Board of Directors of the TRA and the proposal of the Prime
Minister, and following the approval thereof by the Council of Ministers. The current General
Director, A. Andreas Avgousti, was appointed to the post in November 2003.
T h e d u t i e s o f t h e T R A i n c l u d e p ro t e c t i n g t h e i n t e re s t s o f s u b s c r i b e r s a n d u s e r s o f
telecommunications services and maintaining effective and fair competition between established
operators and new entrants to the telecommunications market in the Kingdom of Bahrain.
The TRA carries out its duties and exercises its powers in a fair, transparent and nondiscriminatory manner.
BOARD OF DIRECTORS
General Director
Deputy
General Director
Technical
Special
Advisor
Office
Manager
Messenger
Driver
Director
Legal
Affairs
Lawyer
Office
Administrator
Consumer
Affairs
Coordinator
Translator
Finance &
Human
Resources
Officer
Office
Administrator
Director
Communications &
Consumer Affairs
Senior
Regulatory
Accountant
Finance,
Administration &
Human Resources
Assistant
Director
Market
Operations
Director
Economic
Affairs
Consumer
Affairs
Coordinator
Director
Finance
Administration &
Human Resources
Economics
Special
Advisor
Market
Operations
Coordinator
Licencing
Advisor
Market
Operations
Advisor
Figure 1: The Structure Of The TRA
Annual Report 2005
3
T h e
G e n e r a l
D i r e c t o r ’ s
S t a t e m e n t
A. Andreas Avgousti
General Director
Once again it is my privilege and pleasure to
entrants, and of course the consumers. I believe
w e l c o m e y o u t o t h e a n n u a l re p o r t o f t h e
the progress of the industry, including the TRA,
Telecommunications Regulatory Authority of
was remarkable.
the Kingdom of Bahrain – the TRA. This is our
third report and, in many ways, marks a new
Now we must move from that start-up phase
stage in our development and that of the
i n t o o n e o f c o n s o l i d a t i o n , m a r k e t g ro w t h
telecommunications market in the Kingdom.
and forward planning. It is, in a sense, ‘the end
of the beginning’. Our basic aim remains the
However, we would never have reached this
same – to promote a vibrant competitive
point without the constant support and active
telecommunications market that stimulates
participation of our Board of Directors, and the
innovation and economic growth while delivering
leadership of their Chairman, Dr Mohammed
a choice of world-class telecommunications
J. K. Alghatam. The TRA also has a small
services to the people who live and work in
but very dedicated and hard-working team of
the Kingdom of Bahrain. Competition must be
18 staff. Indeed, the workforce is the TRA’s
fair and non-discriminatory, consumers well-
most valuable asset. I would like to take this
informed and protected where necessary.
opportunity to thank both the Board and the
staff for their contribution to everything we
But now we need to make sure that the TRA
have achieved this year.
has the right priorities and processes in place
to drive progress in this next phase. Are we
4
In 2004, we passed some major milestones that
operating efficiently and serving both
delivered a fully liberalised telecommunications
consumers and service providers in the best
market in the Kingdom of Bahrain. In 2005, our
way possible? It is still early days for
focus had to be on putting in place all the basic
competition in Bahrain and Batelco is still
ingredients to underpin that. It was a steep
dominant in most parts of the market. There
learning curve for us all – in particular the TRA,
are balances to strike between making access
Batelco as the monopoly supplier, the new
easy for market entrants and providing proper
Annual Report 2005
safeguards, between loosening regulation and
in the region and beyond. In 2005 we have
protecting consumers.
increased these links. We hosted a workshop
f o r t h e I n t e r n a t i o n a l Te l e c o m m u n i c a t i o n s
For this reason, 2005 began with the visit of a
Union, attended a number of high-level
p a n e l o f t h re e i n t e r n a t i o n a l l y - re c o g n i s e d
meetings for regulators and spoke at several
experts in telecommunications regulation –
international conferences.
Professor Martin Cave and Mr Christopher
Wright from the UK and Mr Ian Martin from
Closer to home we have made a number of
Australia.
the
important steps forward for consumers. A good
independent TRA Development Review Panel
example is Carrier Pre-Selection. We were able
To g e t h e r
they
formed
for 2005, tasked with scrutinising our activities
and recommending improvements. They were
able to meet representatives of all the key
organisations – from operators to consumer
protection
bodies,
from
Government
Departments to the Chamber of Commerce –
and, of course, the TRA itself. All discussions
were held in confidence so that views could
be freely expressed.
In March we published the Panel’s full report,
which provided some valuable insights. The
to issue the Code of Practice in November,
thanks to the hard work of our first Telecoms
Consumer Advisory Group. At the end of the
year we were able to confirm that the levels of
radiation from mobile telephony antennas were
within the internationally accepted standards.
Towards the end of the year we were preparing
for the visit of the 2006 Panel. I am confident
that they will be impressed with the progress
we have made this year. The TRA is certainly
Panel recognised the rapid progress we had
m o re d e t e r m i n e d t h a n e v e r t o m a k e t h e
made and our high standards of transparency,
Kingdom of Bahrain the hub of international
openness and impartiality. It recommended
telecommunications for the region and a centre
various priorities for action, including speeding
of excellence for choice and quality of service.
up access and interconnection issues for new
We c h a r a c t e r i s e d l a s t y e a r a s o n e o f
e n t r a n t s , c l a r i f y i n g s p e c t r u m a v a i l a b i l i t y,
TRAnsformation
focusing on dispute resolution and looking at
telecommunications. Perhaps this year is more
price controls.
about direction of TRAvel, but we will carry
in
the
K i n g d o m ’s
on TRAilblazing for telecoms in our region of
We were able to incorporate these into our first
the world.
annual work plan, which we put out to
consultation at around the same time as we
published the Panel’s report. By the end of the
year we had already made good progress on
some of the issues identified as priorities by
the Panel.
The Panel recognised and commended the
TRA on the steps we have taken to forge links
with other telecommunications organisations
Annual Report 2005
A. Andreas Avgousti
5
H
i
January
g
h
l
i
g
h
t
s
O
f
2
0
0
5
• After negotiation Batelco and MTC Vodafone Bahrain could not agree certain terms
and conditions of interconnection. The TRA resolves these in a determination
• The TRA hosts the first annual TRA Development Review. A Review Panel of three
international telecommunications experts visits Bahrain
February
• The TRA issues a determination to Batelco on accounting separation
• Following consultation, the TRA issues a draft regulation on access for competing
service providers in dominant markets
March
• The report of the TRA Development Review Panel is published
• The TRA consults on its first forward-looking Plan for 2005/06
April
• The final regulation on access in dominant markets is published
• The TRA issues an order to international facilities licensees to block an international
call-back number
May
• The first Consumer Advisory Group – the Group on Carrier Pre-Selection (CPS) –
submits its recommendations for a CPS Code of Practice
• The Kingdom of Bahrain hosts a workshop for the region on dispute resolution,
organised by the International Telecommunications Union
June
• The TRA issues its work plan for 2005/06 following consultation and taking on
board the recommendations of the TRA Development Review Panel
• The TRA issues its response to the Panel’s report in conjunction with the work
plan for 2005/06
July
• The TRA invites comments on how to improve its website for users
August
• Pending the outcome of the spectrum management project, the TRA decides to
issue temporary WiFi frequency licenses
• The TRA approves Batelco’s Reference Interconnection Offer – the basis of the
agreement between Batelco and any other telecommunications operator in Bahrain
• The consultation on Batelco’s cost of capital commences
October
• The TRA consults on additional developments of the National Numbering Plan
•
Following a study looking into the areas where Batelco is dominant, the TRA
consults on declaring Batelco dominant in wholesale markets
November • The TRA issues its determination on Batelco’s cost of capital
• The Ministry of Transportation and the TRA invite comments on their proposals
for future spectrum policy in the Kingdom of Bahrain
• The TRA issues its Code of Practice on Carrier Pre-Selection
December • Radiation from mobile antennae in the Kingdom of Bahrain is found to be compliant
with international standards for electromagnetic radiation
• The TRA approves Batelco’s request to remove specified payphones
Annual Report 2005
7
Reviewing Progress And Planning Ahead
TH E TR A DEVEL OPM EN T R EVI EW PAN EL
formerly Director of Competition at OFTEL,
At the end of 2004 the TRA commissioned a
the UK telecommunications regulator
review of its work and progress. This was
•
to be carried out by an independent panel
of
three
international
experts
Mr Ian Martin, financial strategist and
analyst at ABN AMRO in Australia
on
telecommunications regulation. The review
The Panel visited the Kingdom of Bahrain
twice in January 2005. From 14 to 16 January
they heard evidence, in confidence, from a
wide range of organisations, including:
•
The TRA, the Ministry of Transportation
and the Department of Legal Affairs
•
Bahrain Chamber of Commerce & Industry
•
The Bahraini Consumer Protection Society
•
Batelco, MTC Vodafone Bahrain, and a
number of other licensees and potential
licensees
will become an annual event and provide an
invaluable source of exter nal challenge and
scrutiny to drive improvements in the
workings of the TRA and, through that, in the
telecommunications market in the Kingdom
of Bahrain. The TRA has always aimed to
meet the highest inter national standards in
the way it carries out its functions and the
work of the Panel will ensure it does so.
D u r i n g t h e i r s e c o n d v i s i t , f ro m 2 8 t o 3 0
The first TRA Development Review Panel
J a n u a r y, t h e P a n e l t o o k p a r t i n a p u b l i c
comprised:
meeting organised by the TRA for key
•
Professor Martin Cave, Chairman of the
stakeholders. The Panel presented its main
panel, Director of the Centre for Management
c o n c l u s i o n s a n d re c o m m e n d a t i o n s , w h i c h
under Regulation at the Warwick Business
were discussed by the participants. The full
School, University of Warwick
report was published in March 2005. In June
Mr Christopher Wright, Special Adviser
the TRA published its response to the Panel’s
for
the
report. Both are available on the TRA’s website
inter national law firm Slaughter & May,
(www.tra.org.bh/en/Development_2005.asp).
•
Annual Report 2005
Regulated
Industries
at
9
THE FINDINGS OF THE PANEL
•
The Panel recognised the ground-breaking
reforms that have led to full liberalisation and
w e l c o m e d t h e T R A’s f o c u s o n d e l i v e r i n g
benefits
to
customers.
They
A review of the demand, availability and
management of spectrum
•
Capacity building for the TRA’s staff and
access to external expertise
noted
“encouraging early results from the
Many of these issues were addressed in the
introduction of the second mobile licensee
TRA’s Plan 2005/2006 (see below) setting out
in terms of price and quality of service.” They
its programme for the next year.
also recognised the burden this places on
the limited resources of the TRA, especially
PANEL FOR 2006
at this point in the development of the market
At the end of the year, the TRA announced
when regulation is most needed. Some
the setting up of the Panel for 2006. Professor
participants also noted that the timetable
Martin Cave will again be the Chairman and
for liberalisation was challenging but it had
Mr Ian Martin will retur n as a member. They
been delivered.
will be joined by Mr Robert Bruce, Senior
R e s e a rc h F e l l o w a t t h e C e n t e r f o r D i g i t a l
T h e P a n e l c o m m e n t e d t h a t t h e T R A’s
Strategies at the Tuck School of Business in
processes were well up to inter national
Dartmouth, United States of America.
standards for openness and transparency.
The consultation procedures showed clearly
TRA PLAN FOR 2005/2006
the basis for decisions, took into account
Shortly after it published the 2005 Panel’s
comments made and demonstrated the
report in March, the TRA published its first
impartiality of the TRA in its actions.
draft forward plan – Plan for 2005/2006 – for
consultation. This was the first time the TRA
The Panel identified the following as priority
published and consulted on its forward plan.
areas for action:
Two strong themes emerged from responses
•
Ensuring that new entrants to the
to the consultation. The first reinforced the
international and broadband markets have
Panel’s recommendation to work towards a
key access and interconnection products on
robust framework for access to the market
fair terms and within a reasonable timescale
for new operators. The second was to
Some streamlining of the TRA’s processes,
increase consumer protection both through
including the licensing process
awareness campaigns highlighting their rights
Consideration of a change in the way
and choices, and through addressing issues
prices are controlled
such as service termination for non-payment.
Ta r i ff re b a l a n c i n g w h i c h i s s e n s i t i v e t o
Another first in this consultation was the
consumer protection issues
publication of responses as received, unless
•
•
•
10
Annual Report 2005
respondents stated they were in confidence.
projects the TRA intended to deliver over the
Three of the seven responses were published.
year following publication. These were
The final Plan, reflecting these responses
divided into three categories:
and
TRA
•
Consumer Protection
Development Review Panel, was published
•
The Regulatory Framework
in June 2005 at the same time as the TRA’s
•
Regulatory Policy
the
findings
of
the
2005
response to the Panel’s report. The Plan set
o u t t h e T R A’s p r i o r i t y a c t i v i t i e s a n d t h e
Consumer Protection
• Consumer awareness
• Use of bulk SMS,
telemarketing, fax
broadcasting, etc.
• Service termination
procedures in cases of nonpayment by customers
• Protection of personal data
with competitive directory
enquiry (DQ) services
• Consumer protection in
cases of prepaid services
The table below shows the priority projects.
The Regulatory
Framework
Regulatory Policy
• The access framework
(regulation, interconnection,
access terms)
• Telecommunications
spectrum allocation
and management
• Cost of capital
• The case for a third mobile
services operator
• Retail price control and tariff
rebalancing
• Carrier selection
• Quality of service
• Liberalisation of directory
enquiry (DQ) services
• Framework for
interconnection and access
dispute resolution
• A complaints procedure
between operators
Figure 2: Priority Projects As Listed In The TRA Plan 2005-2006
The progress of these projects during 2005 is discussed among other things in the following
sections of this Report.
Annual Report 2005
11
W o r k i n g
F o r
C o n s u m e r s
One of the TRA’s top priorities is to protect
and promote the interests of consumers. In
2005 consumers began to see some very
tangible results from the competitive
telecommunications market in the Kingdom of
Bahrain. New services were being offered, and
prices and quality of service were improving.
Many respondents to the draft Plan for
2005/2006, as well as the TRA Development
Launched at the end of 2004, this was in full
Review Panel, identified consumer issues as
flow by early 2005 and appearing in a variety
a top priority for the TRA. These included
of broadcast and print media. Advertising clips
i m p ro v i n g c o n s u m e r s ’ a w a re n e s s o f t h e i r
were featuring on TV and radio, as well as in
rights and choices, and protecting consumers
movie theatres. Posters were also distributed
from problems such as unwanted bulk SMS.
to mosques to remind people not to disturb
Ensuring that consumers are fairly treated in
others with mobile calls while in mosque.
the event of their service being terminated
for non-payment was another issue raised as
With the co-operation of the Ministry of
a matter of importance. By the end of the
Education, the TRA distributed pledge
year, plans were well advanced to consult
booklets to students in elementary schools.
w i d e l y, p a r t i c u l a r l y a m o n g c o n s u m e r s , o n
The aim was to encourage students to talk
a c t i o n n e e d e d t o re s o l v e s o m e o f t h e s e
a b o u t t h e c a m p a i g n t o t h e i r p a re n t s a n d
protection issues.
neighbours and get them to sign the pledge
booklet promising to mind their mobile
C ON SU ME R AW ARE N E SS C AMPAIGN S
manners. Students who managed to fill their
At the beginning of the year many consumers
b o o k l e t s w i t h s i g n a t u re s re c e i v e d a s m a l l
were beginning to notice the TRA’s campaign
award in recognition of their success.
to promote considerate use of mobile phones,
featuring ‘Mr Mobile Menace’. The campaign,
The TRA would like to extend its thanks once
called ‘Use your phone wisely’ was the
again to all the organizations which played a
TRA’s first consumer awareness campaign,
role in supporting this campaign, and
a n d w a s w e l l re c e i v e d b y c o n s u m e r s a n d
especially to: the Ministry of Education, the
commentators alike.
Ministry of Information, the Ministry of Islamic
Annual Report 2005
13
Practice on consumer issues relating to CPS.
The TRA’s first Telecoms Consumer Advisory
Group, set up to look at CPS, submitted their
report in May 2005. The Group comprised
representatives from the Consumer Protection
D i re c t o r a t e a t t h e M i n i s t r y o f I n d u s t r y &
Commerce, the Bahraini Consumer Protection
Society, the Bahrain Chamber of Commerce
& Industry, the Supreme Council for Women
Affairs, the Bahrain Cinema Company and Al
and the University of Bahrain. The Group’s
Dana Cinema.
recommendations went out to consultation
and, taking account of the comments
At the end of the year the TRA was planning
received, the final Code of Practice for Carrier
another consumer awareness campaign to
Pre-Selection was issued in November.
highlight the choices now available to
telecommunications customers in the
The TRA would like to thank the members of
Kingdom of Bahrain. This will also feature
the Group for their time and efforts in
information about Carrier Pre-Selection.
submitting the recommendations upon which
the final Code was based.
C ARRIE R PRE -SE L E C TION
A major development for consumers during the
T h e C o d e s e t s o u t v a r i o u s s a f e g u a rd s f o r
year was progress on Carrier Pre-Selection
customers with regard to how the service is
(CPS). This enables customers to pre-select
provided, such as information that must be
different telecoms operators for different types
included on the application form and
of service they wish to use. They can make
p ro t e c t i o n f ro m a g g re s s i v e m a r k e t i n g b y
their own choice for each service, based on
operators. The Code of Practice is binding
factors such as price, facilities on offer, and
on operators, and any breach of it is a breach
their own pattern of telecoms use.
of telecommunications licenses.
In 2004 the TRA had issued a Regulation on
With the Code in place, at the end of the year
CPS, and in 2005 the TRA was able to
Batelco was planning to begin a trial of CPS
a p p ro v e B a t e l c o ’s s e r v i c e d e s c r i p t i o n f o r
and was intending to launch CPS commercially
CPS. This contained the terms and tariffs for
early in 2006.
giving service providers access to customers,
and required approval because of Batelco’s
L E V E L S OF RADIATION
dominant position in the market.
Many consumers are concer ned about the
levels of radiation emitted from mobile
The last element needed was a Code of
14
antennas used by mobile telephony operators
Annual Report 2005
and the possible effects on their health. The
standards for electromagnetic radiation. They
TRA commissioned an independent firm of
did not exceed the permissible limits set by
experts – Rohde & Schwarz from Germany –
the International Radiation Protection
to measure the radiation from mobile antenna
Association and the International Commission
sites across the Kingdom.
on Non-Ionizing Radiation Protection.
Measurements were taken at the beginning of
C OMPL AIN TS
December and included sites operated by both
During 2005 the TRA received a total of six
mobile telephone service providers. Neither
complaints from consumers relating to matters
operator was aware of when and where the
they were not able to resolve with their service
tests would be carried out. This was done to
provider. The complaints received were mainly
ensure that the measurements taken reflected
related to billing. After the TRA forwarded the
the normal levels and were not changed prior
complaints to the relevant operators, the
to the measurements being made.
operators were able to reach a satisfactory
resolution with the consumers without the need
The results, received at the end of December,
for further intervention from the TRA. The TRA
showed that radiation levels were fully
also resolved one outstanding complaint that
compliant with internationally accepted
was received in 2004.
Annual Report 2005
15
B u i l d i n g
A
C o m p e t i t i v e
M a r k e t
AC C E SS TO N E TW ORK S
The Final Access Regulation was issued at
The terms and conditions for using the
the end of April, confirming these provisions.
n e t w o r k s o f e s t a b l i s h e d o p e r a t o r s a re o f
Under the Regulation, access services can
major importance to potential new service
include international capacity, wholesale DSL
providers entering the telecoms market. They
(digital subscriber lines), dial-up access to
need to know when, how and at what cost
the internet, and other services.
they can access the network and deliver
services to customers before they are able
MARK E T DOMIN AN C E
to decide with confidence whether to enter
Following the Final Access Regulation, the next
the market and what services they can offer.
step in facilitating market entry for new service
providers was to identify the access markets
Both the TRA Development Review Panel and
in which Batelco was dominant. In October the
respondents to the consultation on the TRA
TRA issued a consultation document setting
Plan identified this issue as a top priority for
out the fields in which Batelco may be declared
the TRA. In a market only recently opened
dominant. These included, among other areas,
up to competition and with an established
broadband access and access to international
operator still retaining the majority market
cables and links.
share in most telecoms services, resolving
this issue was vital to market growth at this
By the end of the year, the TRA was finalizing
p h a s e o f t h e m a r k e t ’s d e v e l o p m e n t . N e w
its decision on Batelco’s market dominance
service providers needed the certainty of an
and was moving ahead to issue the related
established framework for access.
determination by the beginning of 2006.
In February the TRA issued a draft Regulation
IN TE RC ON N E C TION ISSU E S
on access. This proposed making it mandatory
Another key issue for effective competition
for licensees declared dominant in access
is setting fair terms for how competing
markets to make publicly available their terms
telecommunications operators link their
and conditions, including tariffs, for giving
networks – or interconnect. These are the
service providers access to their network. This
terms on which one operator delivers calls
would form the reference access offer – RAO.
originating on the network of the other
Once an operator had been declared dominant,
operator, and vice versa, as well as terms for
a specified time period was proposed within
access to various other network services.
which this information had to be made available
and the offer approved by the TRA.
Annual Report 2005
B a t e l c o a n d M T C Vo d a f o n e B a h r a i n w e re
17
unable to reach agreement on the terms and
operators will receive compensation from
conditions for the interconnection of their
Batelco. This allows new operators to plan the
two networks. Following an agreed procedure,
launch of their services with confidence.
the TRA issued a Determination setting out
Timescales for dealing with requests had been
its decision on these.
a matter of particular concern to new entrants
and one they raised with the Panel. Given the
The Interconnection Determination was issued,
improvements in the new RIO, the TRA hopes
and came into effect, on 3 January 2005. It
that it will have a positive effect on facilitating
c o v e re d a w i d e r a n g e o f i n t e rc o n n e c t i o n
market entry for new operators.
matters, such as tariffs for mobile call
termination on MTC’s network and charging
N E W OPE RATORS
for directory enquiry services.
In 2005, competition took a major step forward
with competing operators launching their
I n N o v e m b e r B a t e l c o a n d M T C Vo d a f o n e
services, for the first time, in two segments of
Bahrain informed the TRA that they had
the market. By the end of December 2005,
reached an agreement on certain terms within
three operators were providing inter net
the scope of the Determination. These varied
services, via satellite, for corporate customers.
from the terms in the Determination and, as
They are North Star Technology Company
a result, the TRA amended it.
W.L.L., Mena Broadband Services W.L.L. and
Orbit Communications Company W.L.L.
F a i r a n d c l e a r i n t e rc o n n e c t i o n t e r m s a n d
conditions are also of great importance to
A further three operators – Arabian Network
new entrants and potential new entrants
Information Services W.L.L. (a subsidiary of
intending to offer network services. As the
Batelco), Business Communications Networks
operator determined to have a dominant
and Kalaam Telecom Bahrain B.S.C. – also
position in relevant interconnection markets,
started offering inter national calls, some of
B a t e l c o ’s t e r m s a n d c o n d i t i o n s m u s t b e
t h e m u s i n g v o i c e - o v e r- i n t e r n e t p r o t o c o l
published in a reference interconnection offer
(VoIP). Customers use calling cards to access
(RIO). The TRA approves the RIO.
these services. The call rates are currently
lower than the international direct dial rates
Batelco is required to submit its RIO for TRA
offered by the mobile and fixed line operators.
approval on a periodical basis. In August 2005
18
the TRA approved Batelco’s second RIO. The
L IC E N SE S
main change is the introduction of specified
A total of 62 new licenses were granted in
response deadlines within which Batelco must
2005 – a record number so far. Figure 3 shows
deal with interconnection requests from other
the types of license issued excluding the
operators. Where deadlines are not met, new
three temporary WiFi (wireless network)
Annual Report 2005
frequency licenses, which are discussed in
This step was taken to enable organisations
the section below. A full list of licensees is
and individuals providing this type of service to
given in Annex A.
do so legally, while future policy on spectrumrelated issues in Bahrain was being decided.
W IFI FRE QU E N C Y L IC E N SE S
Three temporary licenses were issued – to
In August the TRA announced that it would
Batelco, Kalaam Telecom and 2Connect.
be accepting applications for temporary WiFi
frequency licenses. Holders of these licenses
FU TU RE SPE C TRU M POL IC Y
would be able to use the allocated
In the world of moder n telecommunications
frequencies for wireless inter net services.
many services depend wholly or in part on
Using this technology, customers can log into
wireless connections – from mobile phone
the web at ‘hot spots’ without using any wires
services to WiFi, and from public networks
or cords for the connection.
to private connections. New uses are being
Licence
Individual License
for National
Fixed Services
Service covered
Provision of national voice and data services via a
fixed network owned and operated by the licensee
Number issued
4
Individual License
Provision of international voice and data services
for International
with specified bundling of traffic
Telecommunications
Services (ISL)
21
Individual License
Provision of facilities including termination, landing,
for International
international connection and connection to Bahrain
Telecommunications licensed networks for international services
Facilities (IFL)
7
Individual License
for Very Small
Aperture
Terminal (VSAT)
Provision of a digital satellite data network using an
antenna with small diameter – for private use only
3
Class License for
Internet Service
Provider (ISP)
Provision of Internet services, not including voice
8
Class License for
Value Added
Services (VAS)
Provision of additional services over an existing
network (eg. card transactions)
16
Figure 3: Licenses Issued In 2005
Annual Report 2005
19
developed all the time. This makes the use
N ATION AL N U MBE RIN G PL AN
and management of spectrum critical to the
Another potential barrier to fair competition
success of the telecommunications market.
can be the allocation and use of numbers.
The TRA resolved these issues very early on
In November the Ministry of Transportation and
t h ro u g h t h e i n t ro d u c t i o n o f t h e N a t i o n a l
the TRA published a joint consultation
Numbering Plan (NNP) for the Kingdom of
document on the future policy for the use and
Bahrain in 2003. According to the NNP, the
management of spectrum in the Kingdom of
TRA owns and administers all numbers in the
Bahrain. This took account of recent
Kingdom. The TRA allocates blocks of
developments such as WiMax, fixed wireless
numbers to operators upon request. During
access and the latest requirements for public
and private mobile communications. It aimed
to set a long-term policy which encourages the
development of new technologies and promotes
a fair market for operators and consumers.
The document covered issues such as the
overall principles of spectrum management,
spectrum pricing – including the issue of
whether there should be auctions or ‘beauty
2005 the TRA received requests for allocation
of numbering blocks from various licensed
operators. The blocks requested concerned
geographic numbers, special services
numbers, premium numbers and International
Signalling Point Codes (ISPC).
Figure 4 shows the blocks of numbers
allocated by TRA during 2005.
contests’, for example – and likely demand
for spectrum now and in the future.
In
addition,
as
technology
and
the
development of new services continue to
The MoT/TRA approach does not favour one
technology over another – it is ‘technology-
advance rapidly, new issues arise concerning
numbering. These must be resolved to ensure
neutral’ – but does seek to stimulate
that competition remains fair and, in some
innovation and growth in the market.
cases, that consumers remain protected.
Comments from both the industry and
In October the TRA issued a consultation on
consumers were invited by 21 December. In
proposed further developments to the
order to ensure the widest possible input to
N a t i o n a l N u m b e r i n g P l a n . I s s u e s c o v e re d
this policy, the joint press release announcing
included short codes, special and premium
t h e c o n s u l t a t i o n w a s c i rc u l a t e d t o l o c a l ,
numbers, and e-numbers – the numbers used
regional and inter national media. After the
for telephony over the internet.
end of the comments period, the TRA and
20
MoT will consider the responses received and
The consultation did not propose any changes
then issue the final policy on spectrum for
to existing fixed and mobile numbers – those
the Kingdom of Bahrain.
starting with 17, 36 and 39. The comments
Annual Report 2005
Geographic Numbers
16000000
16100000
16500000
16600000
–
–
–
–
16099999
16199999
16599999
16699999
Amwaj Telecom
Kalaam Telecom
2Connect
LightSpeed Communications
International Signalling Point Code (ISPC)
4 – 052 – 2
4 – 052 – 4
2Connect
Amwaj Telecom
Special Services Numbers
80010000
80020000
80070000
80080000
84400000
84480000
87700000
87780000
–
–
–
–
–
–
–
–
80019999
80029999
80079999
80089999
84409999
84489999
87709999
87789999
Kalaam Telecom
Amwaj Telecom
MTC Vodafone Bahrain
2Connect
Kalaam Telecom
2Connect
Kalaam Telecom
2Connect
Premium Services Numbers
90100000 – 90109999
Kalaam Telecom
Figure 4: Blocks Allocated In 2005
period ended in December 2005, and the TRA,
subsidising one activity through another in
subject to the comments received, may be
an anticompetitive way.
amending the National Numbering Plan in 2006.
In February the TRA issued a Determination
AC C OU N TIN G SE PARATION
to Batelco requiring Batelco to change its
Telecoms operators with multiple licenses are
Accounting Procedures Manual in order to
required to provide separate financial reports
comply with the Accounting Separation
for each of their licensed activities. These
Regulation. Batelco amended the manual and,
must be detailed and transparent, and should
after reviewing the amendments, the TRA was
comply with the Accounting Separation
able to announce in December that it
Regulation issued in August 2004. This
complied with both the Accounting Separation
information enables the TRA to ensure that
Regulation and the Determination.
tariffs charged to consumers and to other
operators are fair and reasonable, and that
The TRA also reviewed the Accounting
m u l t i p l e - l i c e n s e o p e r a t o r s a re n o t c ro s s -
Procedures Manual of MTC Vodafone Bahrain.
Annual Report 2005
21
This also needed to be amended in order to
make clear provisions for the process, according
comply with the Accounting Separation
to which the TRA must notify the operator of its
Regulation. On 28 December the TRA
decision within 30 days of receipt of the
announced that this manual also now
application. If the TRA fails to respond within 30
complied with the Regulation.
days, the proposal is deemed approved.
During the year the TRA granted a number of
The Law also clearly states in Section 58
dispensations for operators to prepare
that the TRA, in approving such tariffs,
re g u l a t o r y a c c o u n t s f o r a l l t h e i r l i c e n s e d
must ensure that they are fair and equitable,
activities in aggregate where the burden of a
non-discriminatory, and based on forward-
greater degree of separation was not justified.
looking costs.
C OST OF C APITAL
During the year the TRA received and
In April the TRA invited comments on
reviewed a total of 55 tariff proposals from
Batelco’s cost of capital. The TRA had first
licensed operators. Some were approved and
set this in August 2003 but had undertaken
others were rejected in accordance with the
to review that decision within two years. At
Law and license conditions.
the end of August the TRA published a
consultation paper on the subject, taking on
TYPE APPROV AL S
board responses to the earlier request.
As the TRA is the responsible body for
approving the telecommunications equipment
The consultation considered what would be
used in the Kingdom of Bahrain, it receives
reasonable costs for Batelco to incur in raising
requests for approving equipment throughout
capital for investment in its business. This has
the year. The TRA adopts an approval-by-
a direct impact on the level of charges Batelco
exemption approach whereby inter national
can set for use of its infrastructure by other
standards, mutual recognition agreements
operators. Following the consultation, in
and self-regulation by manufacturers are used
November, the TRA determined that Batelco’s
where appropriate. Certificates from the main
cost of capital would be set at 12.2%. The
equipment approval authorities are also
Determination also stated that the TRA would
recognized by the TRA. During 2005 the TRA
review Batelco’s cost of capital within two years.
processed a total of 104 requests for approval
of telecommunications equipment.
TARIFF PROPOSAL S
22
The Law and specific license conditions require
L ITIGATION
licensees with significant market power to submit
During 2005, the TRA was party to two court
tariff proposals for TRA approval. The licenses
cases in the Civil High Court of the Kingdom
Annual Report 2005
of Bahrain, in which the other party was a
removal of certain payphones. At the TRA’s
licensed operator. During the same time, the
request, Batelco had consulted the public
TRA was party to three arbitrations pursuant
on this move.
to the Telecommunications Law.
•
The TRA reminded all licensees that they
were required to notify the TRA of, and
By early 2006 the TRA has consented to two
may be required to get approval for, any
arbitrations and one court case being
changes to their shareholdings or control.
terminated, whilst the subject matter of the
T h e re w e re a n u m b e r o f a c t i o n s t a k e n
other case no longer subsisted, and hence
under the Mergers and Acquisitions
the case was withdrawn by the TRA.
Regulation and in response to requests
for license reassignments.
The third arbitration case was not proceeded
•
On 19 November the TRA issued a
w i t h b y t h e o t h e r p a r t y, w h o t o o k t h e
resolution setting out the fee payable by
necessary steps to terminate it.
operators for assigning their license to
a n o t h e r e n t i t y. T h e re s o l u t i o n re q u i re s
OTH E R RE GU L ATORY BU SIN E SS
licensees who wish to assign their licenses
•
On 19 April the TRA issued an order to all
to other entities, as and where approved
international facilities licensees to block an
by the TRA, to pay a fee for the assignment
international call-back number, as it is a
of the license.
prohibited service in the Kingdom of Bahrain.
•
Annual Report 2005
On 3 December the TRA approved
The full list of Determinations and Resolutions
B a t e l c o ’s r e q u e s t f o r t h e p e r m a n e n t
issued during 2005 is given in Annex C.
23
O p e n n e s s
A n d
T r a n s p a r e n c y
Openness and transparency are the
Responses are taken into account before any
watchwords of the TRA. The Authority
final decision is made.
consults fully on regulatory moves, and all
b a c k g ro u n d i n f o r m a t i o n i n d i c a t i n g h o w i t
There were five consultations during 2005. In
re a c h e s i t s d e c i s i o n s i s p u b l i s h e d o n i t s
addition, the TRA invited comments on the
website. From the minutes of the Consumer
recommendations of the Consumer Advisory
Advisory Group’s meetings to the full report
Group on Carrier Pre-Selection and on the TRA’s
of the TRA Development Review Panel, unless
own website. The full list is given in Annex B.
information is supplied in commercial
confidence, everything is published. The
For the first time, the TRA published responses
media are alerted to new developments
t o a c o n s u l t a t i o n – o n t h e T R A’s P l a n f o r
through press releases.
2 0 0 5 / 2 0 0 6 . W h e re re s p o n d e n t s re q u e s t e d
their comments not to be published, the TRA
C ON SU L TATION S
respected their wish.
The TRA has a well-established consultation
process and puts out to consultation all major
WE BSITE
regulatory steps. Everybody with an interest
The TRA’s website at www.tra.org.bh is a major
is given the opportunity to comment.
channel of communication with consumers,
Annual Report 2005
25
service providers, potential service providers
will continue to be the main source of
and everyone with an interest in the Kingdom’s
information about the TRA and its activities.
telecommunications, both at home and
overseas. Due to the ease of navigation, this
MARK E T IN FORMATION
is now the medium preferred by many people
During 2005 the TRA began publishing basic
for accessing information.
information on the telecommunications
market in the Kingdom of Bahrain. There is
In July the TRA invited comments and
a time lag of six months in publishing the
suggestions on how to improve the website.
figures, in order to protect competition at
The layout, the ease of navigation around the
this early stage of market liberalization.
site, the content and how it is organised were
all topics for discussion. Based on the
The figures are already showing signs
responses received, the TRA will aim to make
of significant growth in the mobile market.
the site easier to use and more friendly to
Over time the figures will provide a valuable
the needs of the people accessing it.
source of information on trends and market
potential.
All the figures are published
The TRA will continue to communicate using
o n t h e T R A’s w e b s i t e i n t h e C u s t o m e r
direct mail, e-mail, the press or broadcast
Data page:
media, as appropriate. However, the website
www.tra.org.bh/en/MktCustomer_Data.asp.
780
759,161
760
Total Mobile Subscribers
748,703
740
725,876
765,418
755,666
737,415
720
717,019
700
699,871
690,356
680
660
674,288
660,388
640
620
600
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov
Figure 5: Total Mobile Subscribers January - November 2005
26
Annual Report 2005
198
Total Fixed Line Subscribers
197
196,395
196,696
196,515
196
195,320
195
195,760
195,470
195,602
195,139
194,671
194
193,287
193
192,197
192
191
190
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov
Figure 6: Total Fixed Line Subscribers January - November 2005
52
51,689
51,554
51,110
Total Inter net Subscribers
51
50,824
50,493
50
49
49,239
49,950
49,767
50,018
49,524
48,442
48
47
46
Jan Feb Mar Apr May Jun
Jul Aug Sep Oct Nov
Figure 7: Total Internet Subscribers January - November 2005
Annual Report 2005
27
A
G
r
o
w
i
n
g
R
e
p
u
t
a
t
i
o
n
C ON FE RE N C E S AN D OTH E R E V E N TS
Telecommunications Union (ITU) held their
The reputation of the TRA and the story of
workshop here. The ITU Regional Workshop
its regulation of the most liberalised
on Dispute Resolution was held on 31 May
telecommunications market in the region are
and 1 June. It was organised by the ITU Arab
spreading. During 2005 the TRA was invited
Regional Office in Cairo and hosted jointly
to attend and speak at a number of high-
by the TRA and Ministry of Transportation.
level conferences overseas.
The workshop was attended by Arab
re g u l a t o r s a n d l i c e n s e d o p e r a t o r s i n t h e
The TRA also participated in the Kingdom of
Kingdom of Bahrain. It focused on alternative
B a h r a i n ’s p a v i l i o n a t t h e Te l e c o m s A r a b i a
means for resolving disputes between
exhibition that was held in conjunction with
o p e r a t o r s a n d t h e ro l e o f t h e re g u l a t o r i n
the third Asia IT Ministers’ Summit in Bahrain
achieving this. Case studies from countries
during March.
in the region and in Europe illustrated
different approaches and enabled participants
One of the year’s highlights took place in the
t o s h a re e x p e r i e n c e s a n d re c o g n i s e g o o d
Kingdom of Bahrain when the Inter national
practice. The workshop was of particular
Annual Report 2005
29
importance as it was held at a time when
update delegates on developments in the two
countries in the region were, and still are,
countries, with particular emphasis on Bahrain’s
going through various stages of liberalization,
experience of moving to full liberalisation.
and were bound to come across disputes as
the market opens. The workshop provided a
The TRA also welcomed a high-level
good opportunity for participants to share
delegation of ministers attending the Asian
views and experiences.
Ministers’ Summit in the Kingdom. The
delegation, accompanied by officials from
In addition to speaking at selected
the Ministry of Transportation, included HE
c o n f e re n c e s , a d e l e g a t i o n f ro m t h e T R A
Binali Yildrim, Minister of Transportation &
attended the sixth annual Global Symposium
C o m m u n i c a t i o n o f Tu r k e y, a n d H E A b d A l
for Regulators held in Tunis in November.
Malik Al Muallimi, Minister of Communication
& Information Technology of Yemen, among
VISITS AN D V ISITORS
other officials. The delegation was briefed
The TRA also welcomed delegations from
on Bahrain’s regulatory regime and the recent
Oman and Palestine during the year. The Omani
developments in the telecommunications
delegation included representatives from the
market of the Kingdom.
TRA of the Sultanate of Oman and the Omani
30
Ministry of Manpower, the Ministry of Legal
In March a delegation from the Palestinian
Affairs and the Ministry of Commerce and
National Authority visited the TRA’s offices.
Industry. The purpose of the meeting was to
T h e M i n i s t e r o f Te l e c o m m u n i c a t i o n s a n d
Annual Report 2005
Information Technology of Palestine headed
delegation visited Greece and discussed the
the delegation. Representatives of PalTel, the
latest developments with respect to regulation,
Palestinian Telecommunications company,
and also explored the opportunities for further
were also present. The TRA discussed the
cooperation between the two regulators.
process of liberalization that the Kingdom of
Bahrain has gone through and the challenges
The TRA continued its active involvement
that were faced.
with Arab regulators through the Arab
Regulators’ Network. At the end of September
The TRA maintained its links with the
the TRA attended the extraordinary meeting
N a t i o n a l Te l e c o m m u n i c a t i o n s a n d P o s t s
of the Arab Regulators’ Network in Cairo.
Commission (EETT) of Greece. A TRA
Annual Report 2005
31
I
n
s
i
d
e
T
h
e
T
R
A
The TRA Development Review Panel made a
day in-house training course on regulation.
number of recommendations related to
The course was run by an international
developing the capacities of TRA staff and
firm
improving access to expertise in specialist
telecommunications regulation. The training
areas. The Panel recognised the considerable
was of great value for the staff, as it enabled
burdens on the TRA during this period, when
them to gain a better understanding of the
the need for effective regulation is very high.
main principles of telecoms regulation, as
with
extensive
experience
on
well as insight on international best practices.
D u r i n g t h e y e a r t h e T R A i n t ro d u c e d s o m e
c h a n g e s i n i t s o rg a n i s a t i o n a l s t r u c t u re i n
On the administrative side, during 2005 the
order to increase efficiency. A new post of
TRA began work on its procedures manual.
Deputy General Director was created. The
The manual comprehensively covers all
post holder would be responsible for
i n t e r n a l p ro c e s s e s o f t h e T R A , h e n c e a l l
managing the TRA Directorates. Mr Henrik
process owners were involved in identifying
B ro d e r s e n w a s a p p o i n t e d D e p u t y G e n e r a l
and documenting the relevant aspects
Director in September 2005. By the end of
o f t h e i r f i e l d o f r e s p o n s i b i l i t y. O n c e
the year the TRA had 18 members of staff.
completed, the manual aims to optimize the
process flow and increase the efficiency of
Two new posts were created to increase the
the organization.
T R A’s e x p e r t i s e . O n e w a s f o r a t e c h n i c a l
advisor and the other for an economic
In 2005 the TRA continued to implement its
a d v i s o r. B o t h o f t h e s e p o s t s w e re i n t h e
performance appraisal process for all
process of recruitment by the end of the year.
employees.
The
appraisal
assesses
p e r f o r m a n c e a g a i n s t a s e t o f p re - d e f i n e d
Training has always been an important aspect
competencies, in order to enhance individual
o f t h e T R A’s p o l i c y f o r d e v e l o p i n g t h e
and corporate performance, with a view to
capacities of its staff. During 2005 all
fulfilling the TRA’s objectives.
members of staff attended specialized
training in their respective areas of
2005 also saw the introduction of accounting
responsibility. The training courses covered
software to the TRA. The new system stores,
all the areas of the TRA’s activities, including
processes and reports on all financial
legal, numbering, interconnection, consumer
transactions of the TRA. The implementation
issues, spectrum, as well as
of such a system ensures more efficient book-
training on
administrative issues.
keeping, increased performance levels in dayto-day operations, as well as easy and quick
In addition, the TRA set up an intensive four-
Annual Report 2005
access to financial reports.
33
S t a t e m e n t
o f
A c c o u n t s
Auditors’ Report To The Board Of Directors Of
Telecommunications Regulatory Authority
We have audited the accompanying balance sheet of Telecommunications Regulatory Authority
( " t h e A u t h o r i t y " ) a s o f 3 1 D e c e m b e r 2 0 0 5 , a n d t h e re l a t e d s t a t e m e n t s o f i n c o m e a n d
accumulated surplus and cash flows for the year then ended. These financial statements
are the responsibility of the Authority's Board of Directors. Our responsibility is to express
an opinion on these financial statements based on our audit.
We conducted our audit in accordance with Inter national Standards on Auditing. Those
Standards require that we plan and perform the audit to obtain reasonable assurance about
w h e t h e r t h e f i n a n c i a l s t a t e m e n t s a re f re e o f m a t e r i a l m i s s t a t e m e n t . A n a u d i t i n c l u d e s
examining, on a test basis, evidence supporting the amounts and disclosures in the financial
statements. An audit also includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our opinion.
In our opinion, the financial statements present fairly, in all material respects, the financial
position of the Authority as of 31 December 2005 and the results of its operations and its cash
flows for the year then ended in accordance with International Financial Reporting Standards.
19 April 2006
Manama, Kingdom of Bahrain
34
Annual Report 2005
Balance Sheet
31 December 2005
2005
2004
BD
BD
73,754
111,696
749,403
348,500
17,675
300
7, 454
14,743
1,909,000
1,546,568
2,683,532
1,910,111
2,757,286
2,021,807
1,097,753
40,555
266,244
-
1,363,997
40,555
Accounts payable
843,632
909,897
Accrued expenses
511,657
678,355
38,000
-
-
393,000
1,393,289
1,981,252
2,757,286
2,021,807
ASSETS
Non-current asset
Fur niture and equipment
Current assets
Licence fees receivable
Prepayments
Accrued interest
Bank balances and cash
TOTAL ASSETS
ACCUMULATED SURPLUS AND LIABILITIES
Accumulated surplus
Reserve for contracted commitments
Current liabilities
Licence fee application money
Advance received for future expenditure
TOTAL ACCUMULATED SURPLUS AND LIABILITIES
The financial statements of were authorised for issue in accordance with a resolution of the
directors on 19 April 2006.
Dr Mohammed J K Alghatam
Chairman of the Board of Directors
Annual Report 2005
A Andreas Avgousti
General Director
35
Statements Of Income And Accumulated Surplus
Ye a r e n d e d 3 1 D e c e m b e r 2 0 0 5
STATEMENT OF INCOME
2005
2004
BD
BD
2,854,842
1,741,638
31,758
14,743
2,886,600
1,756,381
General and administration
933,754
873,298
Consultancy fees
392,145
622,259
Publicity and promotions
106,881
251,007
Directors remuneration and expenses
88,286
98,625
Depreciation
42,092
29,613
INCOME
Licence fees
Interest income
EXPENSES
1,563,158
SURPLUS (DEFICIT) FOR THE YEAR
1,874,802
1,323,442
(118,421)
2005
2004
BD
BD
40,555
158,976
1,323,442
(118,421)
1,363,997
40,555
Reserve for contracted commitments
(266,244)
-
Balance at 31 December
1,097,753
40,555
STATEMENT OF ACCUMULATED SURPLUS
Balance at 1 January
Surplus (deficit) for the year
36
Annual Report 2005
Statement Of Cash Flows
Ye a r e n d e d 3 1 D e c e m b e r 2 0 0 5
OPERATING ACTIVITIES
2005
2004
BD
BD
1,323,442
(118,421)
42,092
29,613
(31,758)
(14,743)
1,333,776
(103,551)
(418,278)
(345,770)
Accounts payable
(66,265)
386,944
Accrued expenses
(166,698)
93,310
38,000
-
Surplus (deficit) for the year
Adjustments for:
Depreciation
Interest income
Operating surplus (deficit) before working capital changes
Receivables and prepayments
Licence fee application money
Advance received for future expenditure
Net cash from operating activities
(393,000)
365,000
327,535
395,933
(33,604)
(1,000,000)
Purchase of furniture and equipment
(4,150)
(47,174)
Interest received
39,047
INVESTING ACTIVITIES
Deposit made during the year
Net cash from (used in) investing activities
-
1,293
(1,047,174)
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS
328,828
(651,241)
Cash and cash equivalents at the beginning of the year
546,568
CASH AND CASH EQUIVALENTS AT THE END OF THE YEAR
875,396
Annual Report 2005
1,197,809
546,568
37
Annex A
Telecommunications Licenses Issued To Operators As Of 2005
Individual Licence for Mobile Telecommunications
Company
Date of Issue
MTC Vodafone (Bahrain) B.S.C. Closed
22 April 2003
Bahrain Telecommunications Company (BATELCO) B.S.C.
21 June 2003
Individual Licence for International Telecommunications Facility (IFL)
Company
Date of Issue
Bahrain Telecommunications Company (BATELCO) B.S.C.
21 June 2003
MTC Vodafone (Bahrain) B.S.C. Closed
Mena Broadband Services W.L.L.
North Star Technology Company W.L.L.
9 May 2004
3 November 2004
22 March 2005
FLAG Telecom Group Limited- Bahrain Branch Office (Foreign Branch)
20 April 2005
ViaCloud W.L.L.
27 April 2005
Kasiopia Net Com KNC (Bahrain) W.L.L.
27 April 2005
Amwaj Telecom S.P.C. Osos Property Developers
15 May 2005
Orbit Communications Company W.L.L.
28 August 2005
Gateway Gulf Company B.S.C. Closed
17 October 2005
Individual Licence for International Telecommunications Services (ISL)
Company
Date of Issue
Bahrain Telecommunications Company (BATELCO) B.S.C.
21 June 2003
MTC Vodafone (Bahrain) B.S.C. Closed
Mena Broadband Services W.L.L.
3 November 2004
Digi Connect Co. W.L.L.
3 November 2004
2Connect W.L.L.
4 December 2004
Socite Internationale De Telecommunications Aeronautiques (SITA)
13 March 2005
Etisalcom Bahrain Company W.L.L.
19 March 2005
North Star Technology Company W.L.L.
22 March 2005
Kalaam Telecom Bahrain B.S.C.
18 April 2005
Fakhroo Technical Equipment Maintenance W.L.L.
26 April 2005
Lightspeed Communications W.L.L.
26 April 2005
ViaCloud W.L.L.
27 April 2005
Kasiopia Net Com KNC (Bahrain) W.L.L.
27 April 2005
Business Communication Networks
11 May 2005
Amwaj Telecom S.P.C. Osos Property Developers
15 May 2005
Arabian Net Information Services W.L.L.
5 June 2005
Voice Stream S.P.C.
38
1 July 2004
18 June 2005
Annual Report 2005
Individual Licence for International Telecommunications Services (ISL)
Company
Date of Issue
BT Solutions Limited (Bahrain Branch)
Orbit Communications Company W.L.L.
Star Gate Telecommunication W.L.L.
23 July 2005
28 August 2005
21 September 2005
Tele Gulf W.L.L.
15 October 2005
Access Telecommunication W.L.L.
15 October 2005
Gateway Gulf Company B.S.C. Closed
17 October 2005
Allied Engineering Group W.L.L.
24 October 2005
Bahrain Broadband Co W.L.L.
EGN B.V. Equant Global Network (Foreign Branch)
1 November 2005
15 November 2005
Individual Licence for National Fixed Service
Company
Date of Issue
Bahrain Telecommunications Company (BATELCO) B.S.C.
21 June 2003
Lightspeed Communications W.L.L.
26 April 2005
Amwaj Telecom S.P.C. Osos Property Developers
2Connect W.L.L.
16 May 2005
1 August 2005
Kalaam Telecom Bahrain B.S.C.
14 August 2005
Individual Licence for Very Small Aperture Terminal (VSAT)
Company
Date of Issue
Bahrain Telecommunications Company (BATELCO) B.S.C.
21 June 2003
Bahrain Car Racing Circuit Company (BCRC)
14 March 2004
Gulf Aluminum Rolling Mill Co. B.S.C.
9 May 2004
MTC Vodafone (Bahrain) B.S.C. Closed
9 May 2004
Bahrain Petrolem Company (BAPCO)
27 October 2004
Court of Crown Prince of the Kingdom of Bahrain
2 January 2005
Bahrain Training Institute (BTI)
13 March 2005
BNP Paribas
15 May 2005
Individual Licence for Paging Services
Company
Date of Issue
Bahrain Telecommunications Company (BATELCO) B.S.C.
21 June 2003
Class Licence for Value Added Services (VAS)
Company
Date of Issue
Bahrain Telecommunications Company (BATELCO) B.S.C.
21 June 2003
Hello Bahrain
16 August 2003
MTC Vodafone (Bahrain) B.S.C. Closed
18 August 2003
Socite Internationale De Telecommunications Aeronautiques (SITA)
31 August 2003
Annual Report 2005
39
Class Licence for Value Added Services (VAS)
Company
Date of Issue
Gateway Gulf Company B.S.C. Closed
21 September 2003
BT Solutions Limited (Bahrain Branch)
20 March 2004
Arabian Network Information Services W.L.L (ANIS)
4 April 2004
Bahrain Call
20 June 2004
Infonet
27 June 2004
Star Telemedia W.L.L.
12 July 2004
Star Call W.L.L
26 September 2004
Rawabi Al Bahrain Co. W.L.L.
25 October 2004
Mena Broadband Services W.L.L.
3 November 2004
2Connect W.L.L.
4 December 2004
Mobile Information Services
8 February 2005
iCOL Plus W.L.L.
15 February 2005
Etisalcom Bahrain Company W.L.L.
19 March 2005
North Star Technology Company W.L.L.
22 March 2005
Kalaam Telecom Bahrain B.S.C.
18 April 2005
Fakhroo Technical Equipment Maintenance W.L.L.
19 April 2005
Lightspeed Communications W.L.L.
26 April 2005
ViaCloud W.L.L.
27 April 2005
Kasiopia Net Com KNC (Bahrain) W.L.L.
27 April 2005
Business Communication Networks
11 May 2005
Amwaj Telecom S.P.C. Osos Property Developers
Orbit Communications Company W.L.L.
Star Gate Telecommunication W.L.L
Tele Gulf W.L.L.
15 May 2005
28 August 2005
21 September 2005
15 October 2005
Access Telecommunication W.L.L.
Bahrain Broadband Co W.L.L.
15 October 2005
1 November 2005
Individual Licence for Public Access Mobile Radio Service
Company
Date of Issue
Bahrain Telecommunications Company (BATELCO) B.S.C.
21 June 2003
Internet Exchange Licence
Company
Bahrain Internet Exchange
40
Date of Issue
14 March 2004
Annual Report 2005
Class Licence for Internet Service Provider (ISP)
Company
Date of Issue
Bahrain Telecommunications Company (BATELCO) B.S.C.
21 June 2003
MTC Vodafone (Bahrain) B.S.C. Closed
18 August 2003
Gateway Gulf Company B.S.C. Closed
21 September 2003
Tasameem Est. for Information Technology
28 September 2003
Arabian Network Information Services W.L.L. (ANIS)
2Connect W.L.L.
4 April 2004
6 September 2004
Lightspeed Communications W.L.L.
Mena Broadband Services W.L.L.
North Star Technology Company W.L.L.
22 September 2004
3 November 2004
22 March 2005
Business Communication Networks
11 May 2005
Kalaam Telecom Bahrain B.S.C.
11 May 2005
Amwaj Telecom S.P.C. Osos Property Developers
15 May 2005
Etisalcom Bahrain Company W.L.L.
26 July 2005
Central Information Organisation
28 August 2005
Orbit Communications Company W.L.L.
28 August 2005
ViaCloud W.L.L.
21 September 2005
Temporary WiFi Frequency License
Company
Date of Issue
2Connect W.L.L.
17 September 2005
Bahrain Telecommunications Company (BATELCO) B.S.C.
24 September 2005
Kalaam Telecom Bahrain B.S.C.
Annual Report 2005
15 October 2005
41
Annex B
Consultations
Consultation
TRA Plan 2005/2006
Date Of Issue
22 March 2005
Batelco’s Cost Of Capital
31 August 2005
National Numbering Plan
20 October 2005
Dominance in wholesale markets
27 October 2005
Spectrum Policy and Planning (Joint Consultation between TRA
22 November 2005
and Ministry of Transportation)
42
Annual Report 2005
Annex C
Regulations and Determinations
No.
Regulation / Determination Name
Determination 1 of 2005
Interconnection Dispute Determination
Date of Issue
3 January 2005
issued to Bahrain Telecommunications
Company (BATELCO) B.S.C. and
MTC Vodafone (Bahrain) B.S.C. Closed
pursuant to section 57(g) of the
Telecommunications Law
Determination 2 of 2005
Determination issued to Bahrain
5 February 2005
Telecommunications
Company (BATELCO) B.S.C. pursuant to
the Accounting Separation Regulation
Regulation 1 of 2005
Access Regulation
Resolution 1 of 2005
Resolution Concerning Temporary
WiFi License Application Fees
Resolution 2 of 2005
30 April 2005
14 August 2005
Resolution Concerning the Fee For
Application for License Assignment
19 November 2005
Determination 3 of 2005
Determination on Batelco’s Cost of Capital
20 November 2005
Determination 4 of 2005
Interconnection Dispute Determination
21 November 2005
amending Determination 1 of 2005 issued
on 3 January 2005 to Bahrain
Telecommunications Company (BATELCO) B.S.C.
and MTC Vodafone (Bahrain) B.S.C. Closed
pursuant to section 57(g) of the
Telecommunications Law
Annual Report 2005
43
Annex D
Orders
44
Order
Date of issue
Order issued to Bahrain Telecommunications Company (BATELCO) B.S.C.
to block international callback number
19 April 2005
Order issued to MTC Vodafone (Bahrain) B.S.C.
to block international callback number
19 April 2005
Order issued to Mena Broadband Services W.L.L.
to block international callback number
19 April 2005
Order issued to North Star Technology Company W.L.L.
to block international callback number
19 April 2005
Annual Report 2005