Earlier in the news we showed you how the PUC finally met with the media- even if the Chairman Dean Molina backed out and sent his junior staffers to withstand the media's questions.
They explained that the "Public Consultation on Assessment of Dominance in Telecommunications Markets," really doesn't have much to do with them approving or not approving the Speednet acquisition.
Well, we interviewed with former PUC chairman John Avery today who says that the PUC is essentially facilitating and making the way for this merger to become a reality which is unlawful. Avery - who chaired the PUC for 12 and half years - today told us that the PUC should not have even entertained the idea of the merger.
John Avery, Former PUC Chairman
"My point I'm making is that the PUC does not belong in this thing any at all. The PUC can in fact authorize the sale of speed net to someone else, but not to BTL. Nothing in this access that the PUC is to encourage an operator, especially a dominant operator, eliminating its competition. So, like I say, it's only to alleviate certain concerns that people have raised with regards to BTL taking advantage of its position."
"They're saying, well we will pass laws that BTL cannot increase its rates without our approval. That is what they're doing, but it has nothing to do with the acquisition."
Reporter
"So without the acquisition, they could still do that."
John Avery, Former PUC Chairman
"They can still do that once there's a dominant, you can do it all over the country. Because like I said, there are a lot of small operators that they're the only one providing service in certain areas."
"So they are sole providers or dominant provider in those areas. Will the PUC then go and set rates for them? I don't know that this is what the PUC wants to get into, but it seems to me that this is just a move to alleviate concerns about BTL as a monopoly. But in my opinion, it is totally unrelated to this acquisition. PUC, if they're to implement what the law says, they have no business in approving the purchase of Speednet by BTL. If Speednet wants to sell to someone else, PUC by law can approve that. But PUC should not get involved with BTL trying to acquire Speednet."
Reporter
"Alright, and so what are they doing by showing that they want to suddenly designate BTL ahead of the proposed merger?"
John Avery, Former PUC Chairman
"It says to me that they're trying to facilitate the merger, which is they're acting contrary to the charge that the law puts on them. They're abdicating their responsibility under the law, basically."
Reporter
"And so what is your opinion of the individuals that are part of the PUC? You know, they're appointed by the prime minister."
John Avery, Former PUC Chairman
"I won't make any assessment of an individual on the PUC. That is for someone else to decide."
"I'm telling you, as a collective body, the PUC, not pointing to any one individual, your job under this act is to regulate the sector, implement the policy of government, promote fair competition, that sort of thing. You are not doing what the law says you should be doing by facilitating an acquisition of Speednet by BTL."
We'll have more of that interview tomorrow.
