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TWENTY - SECOND REPORT OF THE
FOURTH SESSION OF THE 11TH PARLIAMENT
Inquiry
Examination of the Audited Financial Statements of the
Telecommunications Authority of Trinidad and Tobago (TATT) for the
financial years 2010 to 2016.
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Public Accounts Committee1 The Public Accounts Committee (PAC) established by the Constitution of the Republic of Trinidad and Tobago in accordance with Section 119(4) is mandated to consider and report to the House of Representatives on: “(a) appropriation accounts of moneys expended out of sums granted by Parliament to meet the public expenditure of Trinidad and Tobago; (b) such other accounts as may be referred to the Committee by the House of Representatives or as are authorized or required to be considered by the committee under any other enactment; and (c) the report of the Auditor General on any such accounts.”
Current membership
Dr. Bhoendradatt Tewarie Chairman2 Mr. Taharqa Obika Vice- Chairman Mrs. Ayanna Webster-Roy Member Mr. Randall Mitchell Member Mrs. Paula Gopee-Scoon Member Mr. Adrian Leonce Member Dr. Lester Henry Member Mrs. Charrise Seepersad Member Committee Staff The current staff members serving the Committee are: Ms. Keiba Jacob Secretary to the Committee Ms. Hema Bhagaloo Assistant Secretary to the Committee Mr. Darien Buckmire Graduate Research Assistant Mr. Justin Jarrette Graduate Research Assistant Ms. Anesha James Administrative Assistant Publication An electronic copy of this report can be found on the Parliament website: http://www.ttparliament.org/committee_business.php?mid=19&id=230&pid=28 Contacts All correspondence should be addressed to: The Secretary Public Accounts Committee Office of the Parliament Levels G-7, Tower D The Port of Spain International Waterfront Centre 1A Wrightson Road Port of Spain Republic of Trinidad and Tobago Tel: (868) 624-7275; Fax: (868) 625-4672 Email: [email protected]
1 The PAC of the Eleventh Republican Parliament was established by resolutions of the House of Representatives and the Senate at sittings held
on Friday November 13, 2015 and Tuesday November 17, 2015 respectively. 2 The Committee held its first meeting on Wednesday December 2, 2015. At this meeting the Committee elected Dr. Bhoendradatt Tewarie as Chairman, in accordance with Section 119(2) of the Constitution of the Republic of Trinidad and Tobago. At that same meeting, the Committee resolved that its quorum should comprise of three (3) Members, inclusive of the Chairman and any other Opposition Member.
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CONTENTS
Members of the Public Accounts Committee ................................................................................. 4
Executive Summary ......................................................................................................................... 5
Introduction .................................................................................................................................... 8
Establishment .............................................................................................................................. 8
Mandate ...................................................................................................................................... 8
Ministerial Response ................................................................................................................... 8
Election of the Chairman and Vice Chairman ............................................................................. 8
Establishment of Quorum ........................................................................................................... 8
Determination of the Committee’s Work Programme ............................................................... 9
The Inquiry Process ....................................................................................................................... 10
Telecommunications Authority of Trinidad and Tobago (TATT) Profile ....................................... 11
Background: Telecommunications Authority of Trinidad and Tobago ..................................... 11
Vision ......................................................................................................................................... 11
Mission ...................................................................................................................................... 11
Core Values ................................................................................................................................ 11
Members of the Board of Directors .......................................................................................... 12
Mr. Gilbert Peterson, S.C – Chairman ....................................................................................... 12
Senior Management .................................................................................................................. 12
Dr. John Prince – Chief Executive Officer .................................................................................. 12
Minister of Public Administration: the Honourable Marlene McDonald, MP .......................... 12
Accounting Officer: Permanent Secretary – Ms. Joan Mendez ................................................ 12
Background: Auditor General ....................................................................................................... 13
Issues and Recommendations ...................................................................................................... 14
Concluding Remarks...................................................................................................................... 23
Appendix I - Witnesses .................................................................................................................. 26
APPENDIX II - Minutes of Meeting ................................................................................................ 27
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Members of the Public Accounts Committee
ELEVENTH PARLIAMENT,
REPUBLIC OF TRINIDAD AND TOBAGO
Dr. Bhoendradatt Tewarie Chairman
Mrs. Ayanna Webster-Roy Member
Mr. Randall Mitchell Member
Mrs. Paula Gopee-Scoon Member
Dr. Lester Henry Member
Mr. Adrian Leonce Member
Mrs. Charrise Seepersad Member
Mr. Taharqa Obika Vice- Chairman
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Executive Summary
The Public Accounts Committee (PAC) is the Parliamentary Financial Oversight Committee
tasked with the responsibility of examining the Report of the Auditor General and Audited
Accounts of Statutory Authorities and Bodies. The Committee presents its Twenty - Second Report
of the Eleventh Parliament which details its examination of the Audited Financial Statements of
the Telecommunications Authority of Trinidad and Tobago (TATT) for the financial years 2010
to 2016 and highlights its findings.
This report sets out the issues, endorsements and recommendations made by the Committee to
improve TATT’s performance. The issues identified in this report were found during the period
under examination (2010 to 2016).
During this inquiry, the following issues arose:
The Internal Audi function of the TATT;
The TATT’s Accounts Receivable;
The provision of universal service;
Project management
The TATT’s powers to secure providers’ compliance;
The delays in according use of the 700 MHz Spectrum;
The CARICOM Single ICT Space;
The TATT’s commitments under the GATS Agreement;
Collaboration between the TATT and educational institutions;
The TATT’s investment potential.
Based on the Committee’s examination the following recommendations were proposed:
The TATT should report to Parliament on the progress and improvements made by its
Internal Audit Department through its skill sharing partnership with external auditors
KPMG by September 02, 2019;
The TATT should develop a roadmap to implement an effective internal audit function,
including IT auditing, to reduce its reliance on KPMG by September 02, 2019;
The TATT should write to Parliament outlining its procedures for collection of
outstanding debts, including the amount of time necessary for classification as bad debts,
steps taken in case of death or insolvency of a debtor and measures implemented to avoid
the occurrence of bad debts by September 02, 1019;
The TATT should write to Parliament detailing strict parameters for the basis on which
providers may deem service provision to be non-viable economically in certain
geographical areas by September 02, 2019;
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The TATT should report to Parliament on the feasibility of collecting contributions from
service providers for provision of universal service including the basis on which it would
determine providers’ contribution amounts by September 02, 2019;
The TATT should include statistics on geographic mobile internet, voice / SMS and fixed
line coverage in its Quarterly and Annual Market Updates for ease of public reference
by the publication of its Update for the first quarter of 2020. A report on this should be
submitted to Parliament by September 02, 2019;
The TATT should report to Parliament on the establishment of an enforcement
mechanism to take action against delinquent service providers by September 02, 2019;
The TATT should write to Parliament on the practicability of making renewals of service
providers’ licences contingent upon those providers abiding by the relevant terms and
conditions of their licences by September 02, 2019;
The TATT should write to Parliament providing details of a standard project
management framework including the setting of precise project timelines and the
establishment of a continual monitoring and evaluation apparatus by September 02,
2019;
The TATT should report to Parliament on its initiatives to communicate its position on
removing legal obstacles to the use of the 700 MHz spectrum by service providers to the
Solicitor General’s Department, the responses received from same and the TATT’s plans
to ensure progress by September 02, 2019;
The TATT should write to Parliament setting out its plans for future spectrum
development under the guidance of ITU frameworks and incorporating relevant
international best practices by September 02, 2019;
The TATT should report to Parliament on its contribution to the Spectrum Planning and
Management Project and whether the Project is bringing the region any closer to
instituting the Single ICT Space by September 02, 2019;
The TATT should report to Parliament on possible collaboration with the CTU to raise
awareness throughout CARICOM Member States of the economic and social benefits of
full alignment with ITU Region 2 to accelerate the process of instituting the Single ICT
Space by September 02, 2019;
The TATT should report to Parliament on initiatives with the Ministry of the Attorney
General and Legal Affairs to bring the Single ICT Space and the need for convergence
of CARICOM Member States’ ICT policy onto the agenda of the next scheduled meeting
of the CARICOM LAC by September 02, 2019;
The TATT should write to Parliament detailing its plans to insist that services available
to consumers be of the highest level provided for by technology, so that they meet the
TATT’s expectations as a regulator, and promote the interest of consumers by ensuring
they get the best possible service for their money by September 02, 2019;
The TATT should report on measures to be implemented to extend its cooperation with
tertiary institutions to include the College of Science, Technology and Applied Arts of
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Trinidad and Tobago (COSTAATT) and the University of the Southern Caribbean
(USC) in the 2019-2020 academic year by September 02, 2019;
The TATT should report on its plans for syllabus development initiatives with the NEC
by September 02, 2019;
The TATT report on plans to work with schools to promote the study of STEM-related
subjects offered at CAPE level by September 02, 2019; and
The TATT should write to Parliament setting out the nature and value of the risk-free
investments it would make if the proposed amendments to the Telecommunications Act
are approved and estimates of the expected returns on investment by September 02,
2019.
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Introduction
Establishment
The PAC of the Eleventh Republican Parliament was established by resolution of the House of
Representatives and the Senate at the sittings held on Friday November 13, 2015 and Tuesday
November 17, 2015 respectively.
Mandate
The Constitution of the Republic of Trinidad and Tobago mandates that the Committee shall
consider and report to the House appropriation accounts of moneys expended out of sums granted
by Parliament to meet the public expenditure of Trinidad and Tobago and the report of the Auditor
General on any such accounts.
In addition to the Committee’s powers entrenched in the Constitution, the Standing Orders of the
House of Representatives also empower the Committee (but is not limited) to:
a) Send for persons, papers and records;
b) Have meetings whether or not the House is sitting;
c) Meet in various locations;
d) Report from time to time; and
e) Communicate with any other Committee on matters of common interest.
Ministerial Response
The Standing Orders3 provide for the Minister responsible for the Ministry or Body under review
to submit within sixty (60) days a paper to the House responding to any recommendations or
comments contained in the Report which are addressed to it.
Election of the Chairman and Vice Chairman
In accordance with section 119(2) of the Constitution, the Chairman should be a member of the
Opposition in the House. At the first meeting held on Wednesday December 2, 2015 Dr.
Bhoendradatt Tewarie was elected Chairman of the Committee. Mr. Taharqa Obika was elected
Vice-Chairman of the Committee on December 13, 2017.
Establishment of Quorum
The Committee is required by the Standing Orders to have a quorum so that any decisions made
by the Members during the meetings can be considered valid. A quorum of three (3) Members,
inclusive of the Chair or Vice-Chairman), with representatives from both Houses was agreed to by
the Committee at its First Meeting.
3 Standing Order 110 (6) in the House of Representatives and 100(6) of the Senate.
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Determination of the Committee’s Work Programme
The Committee agreed to a work programme for the Fourth Session of the Eleventh Parliament
during its twenty-ninth meeting held on Wednesday December 12, 2018. These entities include:
1. Telecommunications Authority of Trinidad and Tobago (TATT);
2. National Agricultural Marketing and Development Corporation (NAMDEVCO);
3. National Carnival Commission (NCC);
4. Port Authority of Trinidad and Tobago (PATT)
5. National Lotteries Control Board (NLCB);
6. National Library and Information System Authority (NALIS);
7. Environmental Management Authority (EMA);
8. Ministry of Public Administration and Ministry of Planning & Development 2017
AGD Report ICT Findings);
9. Follow up with:
i. Water and Sewerage Authority;
ii. Trinidad and Tobago Electricity Commission;
iii. Airport Authority of Trinidad and Tobago;
iv. Chaguaramas Development Authority;
v. Trinidad and Tobago Bureau of standards; and
vi. Public Transport Service Corporation.
10. Auditor General’s Report 2018;
11. Ministry of Energy & Energy Industries and Ministry of Finance (Revenue
Collection);
12. Heritage and Stabilization Fund;
13. National Insurance Board of Trinidad and Tobago (NIB);
14. Sports and Cultural Fund; and
15. The College of Science, Technology and Applied Arts of Trinidad and Tobago
(COSTAATT).
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The Inquiry Process
The Inquiry Process outlines steps taken by the Committee when discussing the findings in the
Audited Financial Statements and Management Letters of the TATT for the financial years 2010
to 2016. The Inquiry Process agreed to by the PAC included the following steps:
I. Identification of issues in the Audited Financial Statements and Management Letters of the
TATT for the financial years 2010 to 2016;
II. Preparation of an Inquiry Proposal for the selected issues. The Inquiry Proposal outlines:
a. Background;
b. Objective of Inquiry; and
c. Proposed Questions.
III. Questions for written responses were forwarded to the TATT on November 12, 2018 and
responses received on November 30, 2018.
IV. A public hearing was conducted and the relevant witnesses were invited to attend and
provide evidence on December 12, 2018.
V. Questions for additional responses were sent to the TATT on December 14, 2018 and
responses received on January 28, 2019.
VI. Report Committee’s findings and recommendations to Parliament upon conclusion of the
inquiry.
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Telecommunications Authority of Trinidad and Tobago (TATT) Profile4
Background: Telecommunications Authority of Trinidad and Tobago
The Telecommunications Authority of Trinidad and Tobago (‘the Authority’) was established in
July 2004 by the enactment of the Telecommunications Act 2001 Amended by 17 of 2004 as the
independent regulatory body responsible for the transformation of the telecommunications sector
from a virtual monopoly to a competitive environment.
The Authority is responsible not only for the liberalisation of the telecommunications sector, but
also for regulating both telecommunications and broadcasting sectors, managing spectrum and
number resources, establishing equipment and service quality standards, setting guidelines to
prevent anti-competitive practices and encouraging investment in order to facilitate the availability
of affordable telecommunications and broadcasting services to all.
The Authority is run by a Board of Directors consisting of a Chairman, a Deputy Chairman and
nine other members as appointed by the President. The Board oversees the activities of the
Authority and appoints a Chief Executive Officer who manages the affairs of the Authority subject
to the directions of the Board.5
Vision
Global exemplar, empowering people through ICT sector development.
Mission
Fostering a competitive ICT environment using competent, fair, transparent, forward-thinking and
responsive approaches for the benefit of all.
Core Values
Commitment
Integrity
Innovativeness
Professionalism
Service Excellence
5 https://tatt.org.tt/AboutTATT.aspx web accessed 5Nov18
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Members of the Board of Directors
Mr. Gilbert Peterson, S.C – Chairman Dr. Kim Mallalieu – Deputy Chairman
Mr. Nikolaiski Ali
Mr. Oliver Elcock
Mr. Terrence Henry
Prof St. Clair King
Mr. Michael Lucien
Mrs. Kalana Prince-Wilson
Mr. Deoraj Seegobin
Mr. Stephen Tang Nian
Senior Management
Dr. John Prince – Chief Executive Officer
Ms. Cynthia Reddock- Downes – Executive Officer, Finance and Accounting
Mr. Kirk Sookram – Executive Officer, Technology and Engineering
Mr. Karel Douglas – Manager, Legal and Enforcement
Minister of Public Administration: the Honourable Marlene McDonald, MP
Accounting Officer: Permanent Secretary – Ms. Joan Mendez
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Background: Auditor General
The Auditor General is required by law to examine and report annually to Parliament on the
accounts of Ministries, Departments, Regional Health Authorities, Regional Corporations and
such State Controlled Enterprises and Statutory Boards for which the Auditor General is the
statutory auditor. The portfolio also includes the audit of:
The accounts of projects funded partly or wholly by International Lending Agencies;
All pensions, gratuities and other separation benefits paid by the State in accordance with
the Pensions Acts and other Agreements; and
The grant of credit on the Exchequer Account in accordance with the requirements of
section 18 of the Exchequer and Audit Act, chapter 69:01
The audit services take the form of financial audits, compliance audits and value for money audits
intended to promote:
Accountability
Adherence to laws and regulations
Economy, efficiency and effectiveness in the collection, disbursement and use of funds and
other resources.
The duties and powers of the Auditor General are defined in the Exchequer and Audit Act Chapter
69:01 of the laws of Trinidad and Tobago.
Auditor General - Ms. Lorelly Pujadas
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Issues and Recommendations
During the examination of the Audited Financial Statements of the TATT for the financial years
2010 to 2016, the following issues were identified and recommendations proposed:
1. Internal Audit
The TATT faced considerable challenges in the area of internal audit. The TATT recruited an
external audit firm (KPMG) to help bring the work of its Internal Audit Department up to standard
through skills transfer to the benefit of the TATT’s audit staff. The Authority recognizes the need
to develop the IT auditing skills of its audit staff.
Recommendations:
i. The TATT should report to Parliament on the progress and improvements made by its
Internal Audit Department through its skill sharing partnership with external auditors
KPMG by September 02, 2019; and
ii. The TATT should develop a roadmap to implement an effective internal audit function,
including IT auditing, to reduce its reliance on KPMG by September 02, 2019.
2. Accounts Receivable
The value of monies due to the TATT but not yet paid is too high and exposes the Authority
to credit risk. Having large Accounts Receivable exposes an entity to risk in the form of non-
payment. The TATT has an Arrears Committee which meets every other month and submits
regular reports to the Authority’s Board.
The TATT has been able to reduce the levels of its Accounts Receivable in recent years. However,
factors which lead to credit risk persists and includes renewal of licences despite financial non-
compliance of licence holder, lack of procedures to recover debts in case of the death or bankruptcy
of a licence holder or concessionaire and insufficient monitoring of debts owed to the Authority.
Recommendation:
i. The TATT should write to Parliament outlining its procedures for collection of
outstanding debts, including the amount of time necessary for classification as bad debts,
steps taken in case of death or insolvency of a debtor and measures implemented to avoid
the occurrence of bad debts by September 02, 2019.
3. Universal Service
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Areas considered “uneconomical” by service providers represent a burden on public funds
when the TATT’s Universal Service Fund is used to fill the access gaps. The TATT uses the
Fund to pick up the slack in terms of areas left without service access because it is seen as not
economically viable for service providers to commit resources there. The percentage of individuals
using the internet in Trinidad and Tobago has risen from 7.72% in the year 2000 to 77.33% in the
year 20176 according to the International Telecommunications Union (ITU), but there are areas,
principally sections of rural southern Trinidad and locations throughout the island of Tobago, that
remain marginalized in terms of access to internet.
Based on the Committee’s research, elsewhere in the Caribbean there is a lower occurrence of
areas being considered economically non-viable. According to the regulatory body ARCEP7
(Regulatory Authority for Electronic and Postal Communications), in the French Territory of
Martinique, in the Eastern Caribbean - where Digicel is one of the telecommunications service
providers - coverage is as follows:
Martinique – Geographical Coverage (% of surface area)
Provider 3G Internet 4G Internet Voice / SMS
Digicel 70% 75% 91%
Orange 90% 91% 99%
SFR Caribbean 96% 96% 96%
Martinique – Population Coverage
Provider 3G Internet 4G Internet Voice / SMS
Digicel 76% 81% 97%
Orange 99% 99% 99%
SFR Caribbean 99% 99% 99%
Corresponding figures8 for Trinidad and Tobago in terms of population are 47.9% mobile internet
penetration and 144% mobile voice / SMS penetration. No geographic coverage data is readily
available from the TATT. The level of geographic coverage achieved in this example elsewhere
in the region suggests that such results are possible in Trinidad and Tobago.
6 International Telecommunications Union, Statistics, accessed on February 4, 2019: https://www.itu.int/en/ITU-D/Statistics/Pages/stat/default.aspx 7 ARCEP Official Website, Simulated Coverage Maps – Martinique, accessed on January 19, 2019: https://www.monreseaumobile.fr/ 8 Telecommunications Authority of Trinidad and Tobago, Quarterly Market Update July to September 2018.
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The Committee’s research further showed that in France9, in accordance with Chapter 3 Article 35
of that country’s Postal and Electronic Communications Code, universal service access was
financed through mandatory “universal service contributions” made by each service provider to
ARCEP according to its revenue. These contributions were then used by ARCEP to provide service
access in cases where provision of service places an excessive cost burden on providers. When
service providers commit to providing access to underserved users, they are either exempt from
universal service contributions or their contribution amounts are reduced
Recommendations:
i. The TATT should write to Parliament detailing strict parameters for the basis on which
providers may deem service provision to be non-viable economically in certain
geographical areas by September 02, 2019;
ii. The TATT should report to Parliament on the feasibility of collecting contributions from
service providers for provision of universal service including the basis on which it would
determine providers’ contribution amounts by September 02, 2019; and
iii. The TATT should include statistics on geographic mobile internet, voice / SMS and fixed
line coverage in its Quarterly and Annual Market Updates for ease of public reference
by the publication of its Update for the first quarter of 2020. A report on this should be
submitted to Parliament by September 02, 2019.
4. Lack of Enforcement and Low Compliance
The TATT’s inability to effectively sanction delinquent service providers leads to lapses
in quality for consumers. The TATT does not currently have sufficient powers of
enforcement to secure compliance of service providers who fail to produce the quality of
service and extent of coverage expected under the terms of their concessions. Service providers
were aware of this and often did not actively heed the TATT’s appeals to rectify shortcomings.
The situation is different in some other countries.
United States
In the United States, the Federal Communications Commission (FCC) included the
relationship between the rights of network users and the responsibilities of network providers
(referred to as the “Network Compact”) as one of its strategic goals under the heading
“Protecting Public Interest Goals”10. Concerning FCC administrative sanctions, Section 312
(a) (3) of the US Communications Act of 1934 states that “the Commission may revoke any
9 ARCEP, Financing Universal Service for Electronic Communications, accessed on January 6, 2019: https://www.legifrance.gouv.fr/affichCode.do;jsessionid=3C387C97486B700DBE6E0248D23485CA.tplgfr29s_3?idSectionTA=LEGISCTA000006150660&cidTexte=LEGITEXT000006070987&dateTexte=20190128 10Federal Communications Commission, About the FCC, accessed on January 25, 2019: https://www.fcc.gov/about/overview
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station license or construction permit-for wilful or repeated failure to operate substantially as
set forth in the license”11.
France
In France, the regulator ARCEP12 is empowered to sanction at its discretion upon completion
of thorough investigations. These sanctions include partial or total suspension of a provider’s
concession for a given period of time, and fines calculated according to a service provider’s
revenue. These measures are pursued if the service provider continues non-compliant activity13
despite official warnings sent by ARCEP.
Unlike these examples, the powers of sanction that the TATT currently has could not be used
very quickly as court proceedings were required. Amendments to the Telecommunications Act
have been proposed to address these deficiencies.
Recommendations:
i. The TATT should report to Parliament on the establishment of an enforcement
mechanism to take action against delinquent service providers by September 02, 2019;
and
ii. The TATT should write to Parliament on the practicability of making renewals of service
providers’ licences contingent upon those providers abiding by the relevant terms and
conditions of their licences by September 02, 2019.
5. Project Management Plans and Timelines
The TATT does not have precise project delivery timelines, a standardized project
management framework or sufficient monitoring and evaluation. The TATT identified three
(3) universal service projects, the aim of which was to deal with the geographical and social access
gaps.
The Projects were:
Project Status
Provision of assistive technologies to the
differently abled.
Implemented in conjunction with the Ministry
of Social Development and Family Services
and is described simply as “well underway”.
11 Federal Communications Commission, Communications Act of 1934, accessed on January 26, 2019: https://transition.fcc.gov/Reports/1934new.pdf 12 Legifrance, Regulation of Electronic Communication, accessed on January 7, 2019: https://www.legifrance.gouv.fr/affichCode.do;jsessionid=BC3D31BFA448CB194A6BAFAD19AEE487.tplgfr29s_3?idSectionTA=LEGISCTA000006165931&cidTexte=LEGITEXT000006070987&dateTexte=20190128 13 Legifrance, Law for a Digital Republic, accessed on January 22, 2019: https://www.legifrance.gouv.fr/affichTexte.do;jsessionid=BC3D31BFA448CB194A6BAFAD19AEE487.tplgfr29s_3?cidTexte=JORFTEXT000033202746&categorieLien=id
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Provision of free Wi-Fi in certain public areas
such as libraries, hospitals, public waiting
areas and transport hubs.
Certain amendments must first be made to the
Universal Service Regulations before this can
be carried out.
Provision of service access to marginalized
locations throughout Trinidad and Tobago.
This is a pilot project which has not yet been
launched and which should begin between
December 2019 and June 2020.
Definitive timelines for these projects have not been produced.
The Authority kept track of the percentage of each project completed. Whereas the achievement
of some deliverables was phased over a three (3) year period, no specific start and end dates were
indicated. Individual departments have a high degree of autonomy for projects, in the absence of
a standardized project management framework. Monitoring and evaluation was handled by the
TATT’s management as a whole, with significant input from the Economics Department.
Recommendation:
i. The TATT should write to Parliament providing details of a standard project
management framework including the setting of precise project timelines and the
establishment of a continual monitoring and evaluation apparatus by September 02,
2019.
6. Spectrum Allocation
Legal uncertainty has been delaying the rollout of service provider access to the 700 MHz
spectrum. There has been an underutilization of spectrum in Trinidad and Tobago. Use of
spectrum contributes to the economy by enhancing the entire productive sector. If its potential was
properly harnessed, spectrum could lead to considerable industrial advances through
telecommunications and ICT. Access to spectrum was sought by service providers as well as by
educational institutions such as the University of the West Indies, the latter seeking to access
spectrum free of charge for research purposes. To date, the TATT has not obtained authorization
to grant concessions for spectrum access to service providers. Such authorization could enable the
TATT to make even greater contributions to the Consolidated Fund if it were authorized to allow
service providers to use the 700 MHz spectrum for 4G LTE. Provision of spectrum is a requirement
under the terms of the GATS. The main hurdle is that whereas spectrum access was initially meant
to be granted to two (2) mobile providers, a third (3) provider was subsequently brought under
consideration making it uncertain as to whether there would be sufficient spectrum for three (3)
providers as opposed to two (2). The change of spectrum plan is being considered by TATT legal
staff as well as the Solicitor General’s Department.
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In the United States14, there is a robust institutional framework for the allocation and regulation of
spectrum, with the FCC and the National Telecommunications and Information Administration
(NTIA) responsible for non-Federal (state, local government, commercial, personal) and Federal
use respectively. This division of responsibilities is meant to ensure that appropriate attention is
paid to the varying spectrum needs of different segments of society. Both the FCC and the NTIA
have online spectrum databases. The FCC’s Spectrum Inventory15 contains information on how
spectrum is and can be used, as well as details of spectrum licences granted.
Recommendations:
i. The TATT should report to Parliament on its initiatives to communicate its position on
removing legal obstacles to the use of the 700 MHz spectrum by service providers to the
Solicitor General’s Department, the responses received from same and the TATT’s plans
to ensure progress by September 02, 2019; and
ii. The TATT should write to Parliament setting out its plans for future spectrum
development under the guidance of ITU frameworks and incorporating relevant
international best practices by September 02, 2019.
7. Non-Implementation of the CARICOM Single ICT Space
The non-implementation of the Caribbean Single ICT Space is a major obstacle to spectrum
development. The Single ICT Space faces a number of challenges. According to the ITU’s
Regionally Harmonized Frequency Bands, the Caribbean falls into Region 2 (Americas). Countries
were encouraged to take the specifications of their assigned region into consideration when
undertaking their national planning. However CARICOM Member States do not all fully adhere
to the recommended Region 2 frequency arrangements.
In the European Union, the Digital Single Market16 strategy, which was launched in May 2015,
aims to provide seamless access to online activities under conditions of fair competition, with a
high level of consumer and personal data protection to people residing in EU countries irrespective
of their nationality or place of residence. The European Commission has identified the completion
of the DSM as one of its 10 political priorities. The European Commission estimates that the
completion of the DSM initiative would contribute €415 billion a year to the regional economy in
addition to promoting modern open government.
14 Federal Communications Commission, Radio Spectrum Allocation, accessed on January 20, 2019: https://www.fcc.gov/engineering-technology/policy-and-rules-division/general/radio-spectrum-allocation 15 Federal Communications Commission, Spectrum Inventory, accessed on January 20, 2019: https://www.fcc.gov/general/spectrum-inventory 16 European Commission, Shaping the Digital Single Market, accessed on January 12, 2019: https://ec.europa.eu/digital-single-market/en/policies/shaping-digital-single-market
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Public consultations are held to highlight the objectives of the DSM, and systems are being put in
place to equip citizens with the necessary digital skills to take full advantage of opportunities
created by the DSM. Necessary legislative preparation for the DSM is currently being done by the
European Parliament and the Council of Europe.
In the CARICOM context, the legislative considerations referred to above would be undertaken
Legal Affairs Committee (LAC) of CARICOM. The aforementioned public consultations held in
EU countries would be run by the Caribbean Telecommunications Union (CTU), which was the
CARICOM institution which facilitates the coordination and development of intra-regional and
international telecommunication networks and provides a forum to address technical
telecommunication issues concerning the Region.
The CTU runs the Spectrum Planning and Management Project17, the objective was to deepen the
harmonization of spectrum planning and management policies and practices across the region. The
Project’s initiatives are devised by the Spectrum Management Steering Committee and
implemented by the Spectrum Management Task Force. Telecommunications regulators are
involved in both the Steering Committee and Task Force.
Recommendations:
i. The TATT should report to Parliament on its contribution to the Spectrum Planning and
Management Project and whether the Project is bringing the region any closer to
instituting the Single ICT Space by September 02, 2019;
ii. The TATT should report to Parliament on possible collaboration with the CTU to raise
awareness throughout CARICOM Member States of the economic and social benefits of
full alignment with ITU Region 2 to accelerate the process of instituting the Single ICT
Space by September 02, 2019; and
iii. The TATT should report to Parliament on initiatives with the Ministry of the Attorney
General and Legal Affairs to bring the Single ICT Space and the need for convergence
of CARICOM Member States’ ICT policy onto the agenda of the next scheduled meeting
of the CARICOM LAC by September 02, 2019.
8. The TATT’s International Commitments Under the GATS
Failure to abide by the provisions of the GATS may result in action being taken against the
TATT. Trinidad and Tobago was one of the early signatories of the General Agreement on Trade
in Services (GATS) within the framework of the World Trade Organization (WTO) in 1996. GATS
membership entails a commitment to open markets, while recognizing Member States’ right to
17 Caribbean Telecommunications Union, Caribbean Spectrum Planning and Management Project, accessed on February 2, 2019: http://www.ctu.int/projects/caribbean-spectrum-planning-management-project/
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regulate the supply of services. Promotion and protection of consumers’ interests is a key element
of GATS.
Recommendation:
i. The TATT should write to Parliament detailing its plans to insist that services available
to consumers be of the highest level provided for by technology, so that they meet the
TATT’s expectations as a regulator, and promote the interest of consumers by ensuring
they get the best possible service for their money by September 02, 2019.
9. The Need to Promote STEM Education
The integration of ICTs in education needs to be strengthened. The TATT granted a number
of bursaries for study at the University of the West Indies (UWI) and the University of Trinidad
and Tobago (UTT) by way of its Girls in ICT Day projects whereby the increased participation of
women in the ICT sector was promoted. Also the Authority identified programmes of study in the
field of communications and seeking avenues of cooperation with the broadcasting sector to jointly
support such programmes. Possible opportunities remain to be explored in terms of programme
development with tertiary institutions and technical-vocational training entities such as the
National Examinations Council (NEC), where there is room to develop content of the technical-
vocational courses to ensure that they were in line with the demands of the constantly evolving
ICT sector.
Recommendations:
i. The TATT should report on measures to be implemented to extend its cooperation with
tertiary institutions to include the College of Science, Technology and Applied Arts of
Trinidad and Tobago (COSTAATT) and the University of the Southern Caribbean
(USC) in the 2019-2020 academic year by September 02, 2019;
ii. The TATT should report on its plans for syllabus development initiatives with the NEC
by September 02, 2019; and
iii. The TATT report on plans to work with schools to promote the study of STEM-related
subjects offered at CAPE level by September 02, 2019.
10. Investment Potential
Holding financial resources as cash is a missed opportunity to yield returns18. The TATT uses
the $120 million Universal Service Fund to provide service access to the geographically and
socially marginalized. Approximately sixty percent (60%) of the Fund was kept as cash. Currently,
18 Fox Business, Holding Too Much Cash vs. Investing Could Hurt Your Bottom Line, accessed on February 4, 2019: https://www.foxbusiness.com/personal-finance/holding-too-much-cash-vs-investing-could-hurt-your-bottom-line
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the Telecommunications Act does not provide for Investment of the money held in the Fund.
Provisions for risk-free investments have been included in the proposed amendments to the
Telecommunications Act.
Recommendation:
i. The TATT should write to Parliament setting out the nature and value of the risk-free
investments it would make if the proposed amendments to the Telecommunications Act
are approved and estimates of the expected returns on investment by September 02, 2019.
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Concluding Remarks
The TATT has an important leadership role in ensuring that technological opportunities are taken
advantage of to the benefit of the social and economic development of our country. Some of the
TATT’s challenges in playing this key role are internal, while others are caused by factors outside
of its control. The TATT is hindered by the slow pace of the necessary legislative changes because
of which it has insufficient room to manoeuvre in enforcing service provider compliance or even
getting some of its projects off the ground. This results in service deficiencies for consumers,
whose interests are thus not protected.
The TATT is encouraged to devise strategies to ensure that service providers act ethically and bear
their share of the financial burden associated with the provision of universal service.
The Committee is of the view that the TATT requires continued support from the Ministry of
Public Administration in order to secure the legislative amendments needed to strengthen its
position relative to service provider breaches.
The Committee encourages the TATT to actively engage with CARICOM counterparts to achieve
the harmonization of the telecommunications landscape through the implementation of the Single
ICT Space to the benefit of consumers, businesses and governments across the region.
The TATT is further encouraged to prioritize the effective functioning of its newly strengthened
Internal Audit Department, spectrum allocation and management, the streamlining of its project
management systems and pursuing the reduction of its accounts receivable.
Education in the STEM subjects (science, technology, engineering and mathematics) is a crucial
factor underpinning the development of a country’s capacity to harness the potential offered by
ICT to become more efficient and competitive. As such, the Committee notes the work done by
the TATT in the field of education and training and actively advises that it continue and step up
such initiatives so that innovation can be promoted to secure the continuing development of the
sector.
The TATT must take a more enlightened view of its role and it must be careful not to allow itself
to be used or to yield to the temptation to act as an instrument of repression. The enlightened role
of the TATT involves perpetually leveraging technology and relationships to enhance value to the
citizens of Trinidad and Tobago and of the wider region in an age of information and knowledge,
through continually improving opportunities for users.
Freedom of speech, freedom of information, accessibility of information and freedom to
communicate are important concepts. The same goes for privacy rights and the rights of others.
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Corporate power and monopolistic arrangements must not make the citizen weak and vulnerable.
Competition forces service delivery to be more efficient.
The TATT Board and the TATT organization would do well to keep these things constantly in
mind as they go about their business as regulator of industry, enhancer of community, societal and
economic well-being and guarantor of citizens’ rights and freedom.
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This Committee respectfully submits this Report for the consideration of the Parliament.
Sgd. Sgd.
Dr. Bhoendradatt Tewarie Mr. Taharqa Obika
Chairman Vice - Chairman
Sgd. Sgd.
Mrs. Ayanna Webster-Roy Mr Randall Mitchell
Member Member
Sgd. Sgd.
Mr. Adrian Leonce Mrs. Paula Gopee-Scoon
Member Member
Sgd. Sgd.
Dr. Lester Henry Mrs. Charrise Seepersad
Member Member
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Appendix I Witnesses
At the meeting held on December 12, 2018, the witnesses attending on behalf of the
Telecommunications Authority of Trinidad and Tobago, the Ministry of Public Administration and
Auditor General’s Department were:
Telecommunications Authority of Trinidad and Tobago (TATT)
Mr. Gilbert Peterson - Chairman, Board of Directors
Dr. John Prince - Chief Executive Officer
Ms. Cynthia Reddock-Downes - Executive Officer – Finance and
Accounting
Mr. Karel Douglas - Manager – Legal and Enforcement
Mr. Kirk Sookram - Executive Officer – Technology and
Engineering
Ministry of Public Administration
Ms. Joan Mendez - Permanent Secretary
Mr. Claudelle McKellar - Deputy Permanent Secretary
Ms. Abigail Bynoe - Policy, Strategy and Monitoring
Director
Auditor General’s Department (AGD)
Mr. Shiva Sinanan - Assistant Auditor General
Mr. Desmond Noel - Audit Director
Ms. Florence Dialsingh - Audit Senior
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APPENDIX II
Minutes of Meeting
THE PUBLIC ACCOUNTS COMMITTEE –
FOURTH SESSION, ELEVENTH PARLIAMENT
MINUTES OF THE TWENTY- NINTH MEETING HELD ON WEDNESDAY, DECEMBER 12, 2018 AT
10:05 A.M.
IN THE ARNOLD THOMASOS (EAST) MEETING ROOM, LEVEL 6, AND IN THE J. HAMILTON
MAURICE ROOM, MEZZANINE FLOOR, OFFICE OF THE PARLIAMENT, TOWER D, THE PORT OF
SPAIN INTERNATIONAL WATERFRONT CENTRE, 1A WRIGHTSON ROAD, PORT-OF-SPAIN.
Present were:
Dr. Bhoendradatt Tewarie - Chairman
Mr. Taharqa Obika - Vice - Chairman
Dr. Lester Henry - Member
Mrs. Paula Gopee-Scoon - Member
Miss. Charrise Seepersad - Member
Ms. Hema Bhagaloo - Assistant Secretary to the Committee
Mr. Darien Buckmire - Graduate Research Assistant
Mr. Justin Jarrette - Graduate Research Assistant
Excused were:
Mrs. Ayanna Webster-Roy - Member
Mr. Randall Mitchell - Member
Mr. Adrian Leonce - Member
COMMENCEMENT
1.1 At 10:05 a.m. the Chairman called the meeting to order and welcomed those present. Mr.
Randall Mitchell, Mrs. Ayanna Webster-Roy and Mr. Adrian Leonce, were excused from
the Meeting.
INTRODUCTION OF THE NEW COMMITTEE MEMBER
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2.1 The Chairman announced that Miss. Charrise Seepersad replaced Ms. Melissa
Ramkissoon with effect from November 27, 2018.
2.2 The Chairman welcomed the new member to the Committee and thanked the former
Member for her service.
THE EXAMINATION OF THE MINUTES OF THE TWENTY-EIGHTH MEETING
3.1 The Committee examined the Minutes of the Twenty-Eighth (28th) Meeting held on
Wednesday June 27, 2018.
3.2 There being no omissions or corrections, the Minutes were confirmed on a motion moved
by Mr. Taharqa Obika and seconded by Dr. Lester Henry.
MATTERS ARISING FROM THE MINUTES OF THE TWENTY- EIGHTH MEETING
4.1 With reference to item 4.1, the Chairman informed the Members that the Seventeenth
and Eighteenth Reports of the Committee were laid in the House of Representatives and
Senate on July 3 and July 2, 2018, respectively.
4.2 With reference to item 6.5, the Chairman informed the Members that a letter was sent
to the Chaguaramas Development Authority (CDA) on June 28 and July 5, 2018 requesting
additional information. The responses to the additional information were received by the
Secretariat on August 31, 2018 and used to draft the Committee’s Nineteenth Report.
CONSIDERATION OF WORK SCHEDULE AND COMMITTEE CALENDAR FOR THE FOURTH SESSION,
ELEVENTH PARLIAMENT
5.1 The Chairman invited the Members to review the proposed work schedule and calendar
for the Fourth Session of the Eleventh Parliament prepared by the Secretariat and
approved by the Chairman, Dr. Bhoendradatt Tewarie.
5.2 The Committee agreed to the following Work Programme for the Fourth Session of the
Eleventh Parliament:
1. Telecommunications Authority of Trinidad and Tobago (TATT);
2. The National Agricultural Marketing and Development Corporation (NAMDEVCO);
3. National Carnival Commission (NCC);
4. Port Authority of Trinidad and Tobago (PATT);
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5. National Lotteries Control Board (NLCB);
6. National Library and Information System Authority (NALIS);
7. Environmental Management Authority (EMA);
8. Inquiry into the ICT Findings of the 2017 AGD Report (Ministry of Public Administration and
Ministry of Planning and Development);
9. Follow up with:
i. Water and Sewerage Authority;
ii. Trinidad and Tobago Electricity Commission;
iii. Airport Authority of Trinidad and Tobago;
iv. Chaguaramas Development Authority;
v. Trinidad and Tobago Bureau of Standards; and
vi. Public Transportation Service Corporation.
10. Auditor General Report 2018;
11. Inquiry into Revenue Collection (Ministry of Energy and Energy Industries and Ministry of
Finance);
12. Heritage and Stabilization Fund;
13. National Insurance Board of Trinidad and Tobago;
14. Sports and Cultural Fund; and
15. The College of Science, Technology and Applied Arts of Trinidad and Tobago (COSTAATT).
CONSIDERATION OF REPORTS
6.1 The Committee adopted the Nineteenth and Twenty-First Reports on the examination of
the Audited Financial Statements of the Chaguanas Borough Corporation for the years
2008 to 2011 and the Audited Financial Statements of the Chaguaramas Development
Authority for the years 2008 to 2014, respectively and agreed to the following:
The Reports be presented at the next Sitting of the House of Representatives and
Senate; and
Dr. Bhoendradatt Tewarie and Mr. Taharqa Obika will present the Reports in the
House of Representative and Senate, respectively.
CONSIDERATION OF MINISTERIAL RESPONSES
7.1 The Chairman informed the Members that the following Ministerial Responses were
submitted to the Committee:
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The Response to the Eighteenth Report of the PAC with specific reference to the
Airports Authority of Trinidad and Tobago.
The Responses were from:
- Service Commissions Department; and
- Ministry of Works and Transport.
The Response to the Seventeenth Report of the PAC with specific reference to the
Trinidad and Tobago Bureau of Standard.
The Responses were from:
- Ministry of the Attorney General and Legal Affairs;
- Ministry of Health; and
- Ministry of Trade and Industry.
The Response to the Sixteenth Report of the PAC with specific reference to the
Trinidad and Tobago Electricity Commission.
The Responses were from:
- Ministry of Finance; and
- Ministry of Public Utilities.
The Ministerial Response from the Ministry of Public Utilities to the Fifteenth
Report of the PAC with specific reference to the Water and Sewerage Authority
of Trinidad and Tobago.
PRE-HEARING DISCUSSION RE: TELECOMMUNICATIONS AUTHORITY OF TRINIDAD AND
TOBAGO (TATT)
8.1 The Committee agreed on the focus of the meeting which was the concerns raised in the
Audited Financial Statements of the Telecommunications Authority of Trinidad and
Tobago for the years 2010 to 2016.
8.2 The Members discussed the issues of concern and the general approach for the Public
Hearing.
8.3 There being no further business for discussion in camera, the Chairman suspended the
meeting at 10:36 a.m.
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EXAMINATION OF THE TELECOMMUNICATIONS AUTHORITY OF TRINIDAD AND TOBAGO (TATT)
9.1 The Chairman called the public meeting to order at 10:44 a.m.
9.2 The Chairman welcomed officials from the Auditor General’s Department (AGD), the
Ministry of Public Administration, the Telecommunications Authority of Trinidad and
Tobago, members of the media and the public to the Twenty- Ninth (29th) meeting with
the PAC and introductions were exchanged.
9.3 The following officials joined the meeting:
Telecommunications Authority of Trinidad and Tobago (TATT)
Mr. Gilbert Peterson - Chairman, Board of Directors
Dr. John Prince - Chief Executive Officer
Ms. Cynthia Reddock-Downes - Executive Officer – Finance and
Accounting
Mr. Karel Douglas - Manager – Legal and Enforcement
Mr. Kirk Sookram - Executive Officer – Technology and
Engineering
Ministry of Public Administration
Ms. Joan Mendez - Permanent Secretary
Mr. Claudelle McKellar - Deputy Permanent Secretary
Ms. Abigail Bynoe - Policy, Strategy and Monitoring
Director
Auditor General’s Department (AGD)
Mr. Shiva Sinanan - Assistant Auditor General
Mr. Desmond Noel - Audit Director
Ms. Florence Dialsingh - Audit Senior
6.4 Key Topics Discussed:
1. The financial status of the TATT.
2. The working relationship between the Ministry of Public Administration and the TATT.
3. The opening up and exponential growth of the Trinidad and Tobago telecoms market from
2004 onwards.
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4. The TATT’s international commitments in terms of fair competition as well as promotion
and protection of consumer interests under the General Agreement on Trade in Services
(GATS) 1995 of the World Trade Organization (WTO).
5. The granting of licences and concessions.
6. The development of 4G LTE technology.
7. The difficulty of securing authorization for the TATT to allow for the use of the 700 MHz
spectrum by service providers.
8. The TATT’s contributions to the Consolidated Fund.
9. The TATT’s responsibility to ensure that service providers offer services to the highest
possible standard allowed by technology.
10. The self-financing nature and the non-receipt of government subventions of the TATT.
11. The challenges of the internal audit department.
12. The reason for the untimely submission of internal audit reports.
13. The role of external auditors (KPMG).
14. The challenges in providing services in rural areas as well as Tobago and the measures in
place to rectify such.
15. The need for an enforcement mechanism to ensure compliance from service providers in
breach of their concessions.
16. The need for legislative amendments to facilitate the TATT’s enforcement activities.
17. The need for rules and regulations governing access to the Universal Service Fund.
18. The establishment of a Universal Service Fund for uneconomic areas to ensure service
provision.
19. The two (2) Digital Divide Surveys conducted by the TATT to assess access gaps and to
inform use of the Universal Service Fund to fund projects aimed at geographical and social
service access gaps.
20. The provision of free WIFI in certain public areas such as libraries, hospitals and transport
hubs.
21. The provision of universal service access to marginalized locations;
22. The status of the TATT‘s accounts receivable.
23. The telecommunications industry’s contribution to the GDP of Trinidad and Tobago.
24. The punitive versus persuasive approaches to regulation in the telecommunications
sector.
25. The opportunities in place to export Trinidad and Tobago telecommunications
productions.
26. The high proportion of the TATT’s assets being held as cash.
27. The TATT’s collaboration with the University of the West Indies (UWI) and University of
Trinidad and Tobago (UTT) in the form of bursaries and the potential for greater work
with educational institutions on STEM education.
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28. The need for a National ICT plan.
29. The hurdles encountered in implementing the CSME single ICT space.
Please see the attached verbatim notes for the detailed oral submission by the witnesses.
9.5 The Committee agreed to send additional questions to the TATT for written submission.
[Please see Appendix 1]
9.6 The Chairman thanked the representatives from the Auditor General’s Department,
Ministry of Public Administration, the TATT, members of the media, the public and the
Members of the Committee for their attendance.
ADJOURNMENT
10.1 The adjournment was taken at 12:20 p.m.
We certify that these Minutes are true and correct.
CHAIRMAN SECRETARY
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December 12, 2018 December 12, 2018
VERBATIM NOTES OF THE TWENTY-SIXTH MEETING OF THE PUBLIC ACCOUNTS COMMITTEE
HELD IN THE J. HAMILTON MAURICE ROOM, MEZZANINE FLOOR (IN PUBLIC) TOWER D, THE
PORT OF SPAIN INTERNATIONAL WATERFRONT CENTRE, 1A WRIGHTSON ROAD, PORT OF
SPAIN, ON WEDNESDAY, DECEMBER 12, 2018, AT 10.45 A.M.
PRESENT
Dr. Bhoendradatt Tewarie Chairman
Mr. Taharqa Obika Vice Chairman
Dr. Lester Henry Member
Mrs. Paula Gopee-Scoon Member
Mrs. Charrise Seepersad Member
Ms. Keiba Jacob Secretary
Ms. Hema Bhagaloo Assistant Secretary
Mr. Darien Buckmire Graduate Research Assistant
Mr. Justin Jarrette Graduate Research Assistant
ABSENT
Mr. Adrian Leonce Member
Mrs. Ayanna Webster-Roy Member
Mr. Randall Mitchell Member
AUDITOR GENERAL’S DEPARTMENT
Mr. Shiva Sinanan Asst. Auditor General
Mr. Desmond Noel Audit Director
Ms. Florence Dialsingh Audit Senior
MINISTRY OF PUBLIC ADMINISTRATION
Ms. Joan Mendez Permanent Secretary
Mr. Claudelle McKellar Deputy Permanent Secretary
Ms. Abigail Bynoe Policy, Strategy and Monitoring
Director
TELECOMMUNICATIONS AUTHORITY OF TRINIDAD AND TOBAGO (TATT)
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Mr. Gilbert Peterson Chairman, Board of Directors
Dr. John Prince Chief Executive Officer
Ms. Cynthia Reddock-Downes Executive Officer – Finance and
Accounting
Mr. Karel Douglas Manager – Legal and Enforcement
Mr. Kirk Sookram Executive Officer – Technology and
Engineering
Mr. Chairman: Good morning everyone. I want to welcome officials from the Auditor General’s
Department, who are here with us today together with the members of this team from the Public
Accounts Committee. And, we will introduce members in a moment.
I also wish to welcome the members of the Ministry of Public Administration, which is the
oversight Ministry for the Telecommunications Authority of Trinidad and Tobago. I want to
welcome members of the Telecommunications Authority of Trinidad and Tobago and, of course,
members of the media and members of the public who are present.
My name is Bhoendradatt Tewarie. I am the Chair of the Public Accounts Committee and
the purpose of this meeting of the Public Accounts Committee is to examine the audited financial
statements of the Telecommunications Authority of Trinidad and Tobago (TATT) and we are
covering here the years 2010 to 2016.
We as a committee are desirous of hearing the challenges being faced by the key
stakeholders at the Telecommunications Authority of Trinidad and Tobago in an attempt to
determine some of the possible solutions to these challenges. So we will ask questions, and
engage you on some of the issues that have come before us. And the whole purpose of this is to
help TATT improve its delivery of services in an efficient, effective and economic manner.
This meeting is being held in public and is being broadcast live on the Parliament’s
Channel 11 and Radio 105.5 FM and the Parliament’s YouTube Channel, ParlView. Viewers and
listeners can therefore send their comments related to today’s topic via email,
[email protected]. They can send it through Facebook, facebook.com/ttparliament and,
of course on Twitter @ttparliament.
And I going to ask the members of this Committee, the Public Accounts Committee,
starting with Sen. Henry, if they would introduce themselves.
[Introductions made]
Mr. Chairman: Thank you very much, and I would also ask the members of the Auditor General’s
Department if they would introduce themselves.
[Introductions made]
Mr. Chairman: Okay, and members here present from the Ministry of Public Administration and
TATT, I shall be grateful if you would introduce yourselves so that the public and ourselves will
be familiar with the people who are before us. Permanent Secretary.
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[Introductions made]
Mr. Chairman: Good morning, again to all you. Thank you for coming, we are very happy that
you are here. We have some questions for you based on the various reports that we have
received and thank you for the responses to the initial questions that were sent.
I wonder if the Permanent Secretary—do you have a statement to make before? Yes.
Okay.
Ms. Mendez: Thank you, Chair. Good day to all members and members of my executive team.
I am pleased to attend this meeting this morning along with the executive team of the
Telecommunications Authority. The Ministry of Public Administration’s mandate includes
responsibility for national ICT. Within this area the Ministry has oversight for the statutory body,
the Telecommunications Authority of Trinidad and Tobago, which was established in 2004, and
who are the regulators of the telecommunications and broadcasting sectors in Trinidad and
Tobago.
The Ministry’s oversight is primarily aligned to the Telecommunications Act and, of
course, the Ministry observes all relevant policy and regulations including the Exchequer and
Audit Act in carrying out its oversight responsibility. Thank you.
Mr. Chairman: I noticed that members of the board are not here. And I just wanted to ask if it
was a decision that the management would come—the CEO and the members of the
management.
Dr. Prince: Chairman, I wish I could answer you that question definitively. But to be honest with
you, Chairman, any answer I give you would not be an answer because, Chairman, I do not know.
Mr. Chairman: Okay, I appreciate your straightforwardness. Do you have a statement to make
as a CEO?
Dr. Prince: Yes.
Mr. Chairman: Okay.
Dr. Prince: I will be making a statement from my head, notwithstanding a brain surgery a few
months ago. But the doctor said I am okay, so. Chairman, the Telecommunications Authority of
Trinidad and Tobago was born in 2004, to be precise, the 1st of June2004. And anybody who was
an adult or alive at that time, knew at that time, we had a market which was a monopoly.
Anybody would remember that market.
Chairman, you may recall, fixed line, one provider. Mobile, one provider. Internet, one
provider, right? Even FM broadcasters, we did not have many providers at that time. So the
objectives of the setting up of the Telecommunications Authority which, Chairman, is a statutory
body, the objective was to open the market.
We became one of the early subscribers to the WTO to the GATS, and saying that we are
committed to open the market in Trinidad and Tobago. Early we were among the first 60
members around the world that signed on to the GATS, which is the General Agreement on Tariff
in Services—
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Mr. Chairman: What year was that?
Dr. Prince: That was around ’96. We signed on to the GATS and promised that we were going to
open the market. And let me just say a little bit about the GATS. Chairman, it is a very precise
piece of legislation. If we do not do what the GATS prescribe, they can take action against any
product that we have. Any other action they can take.
So we signed on and we said that we were going to open the market. We held discussions
with TSTT then. TSTT had a monopoly until 2009 and TSTT agreed that, you know, they are going
to participate in the opening of the market. And the market became open in 2004.
So, the basic objectives of the Act were: establishing conditions for an open market
including conditions for fair competition because we had to have that. Facilitating the other
development of a telecommunication system that served to safeguard, and enrich, and
strengthen the national, social, cultural and economic well-being of society.
And, Chairman, this one here is one that is bothering us even now. Because we are even
getting calls. They say—promoting and protecting the interest of consumers.
So, we have been asked, given what is happening now, is the Authority protecting the
interest of consumers? You know, we are looking at it, Chairman. We are looking at it very, very,
very closely and we are not jumping to action. As the old folks say, “measure twice, cut once”.
Right? So, we want to really, really look at this thing before we take any action or before we
decide not to take any action.
One of the other tenets of the Act was to promote universal access to service to all
persons in Trinidad and Tobago. Chairman, and this is where the Government needs to come in,
because what we are supposed to do is to get service providers to provide telecommunications
service in the most rural areas of Trinidad and Tobago in the same manner that it is provided in
Port of Spain. Right? That has been a challenge, Chairman. It has been really, really, really a
challenge.
Then they gave us the responsibility to regulate the broadcasting services of Trinidad and
Tobago. Since the passage of the Act, the industry has grown exponentially. We moved from
one mobile provider to two mobile providers and hoping soon to move to three mobile providers.
We have five fixed line providers in Trinidad and Tobago, which is one of the best kept secrets.
It is no longer TSTT and Flow, we have five of them. We have ten internet providers in Trinidad
and Tobago. Six free-to-air television broadcasters we have now. We have ten broadcasters via
cable and another ten via cable and satellite and, Chairman, this data may interest you. We have
37 FM radio stations, 37 FM radio stations.
So—and that is a challenge for us to regulate 37 FM stations, because Chairman, you
know, we are talk show, talk show, talk show, talk show, talk show. Right? So we have to listen
to those 37 stations all day to make sure that they remain within the licence that they sign
because telecommunication—the other two things. If you are only using spectrum, you only
need a licence, but once you are providing service to the public you need a concession also. So
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therefore—but while the Authority is authorized by the Act to grant licences. Cabinet is the entity
that grants concession.
Chairman, you asked about our challenges. We face a mountain of a challenge right now
in that we have not been able to get authorization to give out the 700 spectrum which is to do
4G LTE. So we are even falling behind countries of the Caribbean. We are falling behind countries
of the Caribbean by not giving that spectrum. I am sure you all—you have your phones. If you
have the 3G and somebody sends you a video, you take a little while, a minute or more to pull
down this video. 4G LTE, you would have pulled down that video immediately.
It also, by not getting that authorization to give out that spectrum, it also ties our hands
in terms of making money to send to the Consolidated Fund. You know, we have been sending
money to the Consolidated Fund. Last year we sent 14million. This year, come January,
Chairman, we are pleased to announce we are going to send $37 million to the Consolidated
Fund. And we feel if we get to do 4G LTE, the following year, we could send $50 million to the
Consolidated Fund, to the people of Trinidad and Tobago. This is what we feel in terms of that.
So something has to be done to give us authorization to use the 700 spectrum to grant
service providers, so that, you know, what we feel I must say, Chairman? We have a fear the
one of those service providers would take us before the WTO because it is stated in the GATS, if
you have spectrum and the service provider wants spectrum, we are obliged to provide the
spectrum or else we put the entire country in jeopardy. Because they could take—you know,
for anything that they can do to take us. So that is our biggest challenge at the moment
Chairman.
Mr. Chairman: I thank you for your statement and we will ask some questions now. I will begin
by asking some general questions and then I will go around the table and members of the
Committee will ask questions.
But before I do so I want to say that I am disappointed that the board is not represented
here today. We cannot be a Public Accounts Committee and have the Permanent Secretary of a
Ministry come before the Public Accounts Committee to basically exercise her jurisdiction over
the state entity, in this particular case TATT, as the Ministry in charge, and then have the
management, when the board is the institution between the Ministry and the institution.
The board is appointed there for a purpose and they have jurisdictional authority over
this institution. The management and staff work for the institution and the governance of the
institution is the responsibility of the board. And I am very disappointed that the board is not
here present and I feel that they should be here. Often a good board will come, represent
themselves properly and have management support them. And that is the standard I expect
from these state entities. So, I simply register that and I proceed.
Mrs. Gopee-Scoon: Chairman, may I just intervene, I do believe that there might be a new board
or perhaps their letters of instrument may not have been granted as yet. I do not know as yet. I
do not know for sure. I know there is some transition with the board. Can anybody confirm?
39 | P a g e
The PS perhaps?
Dr. Prince: There is certainly a new board, and they have already taken office.
Mr. Chairman: Yes, they have, because I read the documents and the list of the board members
are there. So, I would expect that they would carry out their duties and even if they are new. I
mean we are a reasonable institution here, and we conduct our business very fairly, very
democratically, and very openly. And if the chairman of the board had come and indicated, “Look
we are new and there may be some questions we will not be able to give you full answers for”
we would understand and appreciate that. That is not a problem. But you cannot send off your
management and you stay home.
Anyway, the first—I want to ask you two big questions. One is about finance and the
other one is about jurisdiction. I will ask you the jurisdictional issue first, which is that I read your
mandate and it is pretty comprehensive and when you yourself, Dr. Prince, outlined the
responsibilities of the institution, you talked about the fact that one of your responsibilities is to
make sure that the consumer is well served. And does that mean therefore—and I think from
what I read, I understand it to be so, but I would like you to clear it up for the public. Does that
mean that TATT has a responsibility to ensure that the service providers of any of the services
under your jurisdiction, and that were mean telecommunications as well for TSTT and for Digicel
that that service is provided at the topmost possible quality that technology would allow for
consumers of Trinidad and Tobago?
Dr. Prince: Chairman, my direct answer is yes.
Mr. Chairman: Okay. So I would ask a question that really has to do with consumer interest. If
you drive along the Butler highway, you would find that your telephone, if you—well, I have a
Bmobile telephone so, I find that I am not able to make a call because the Wi-Fi or some—
whatever is necessary for me to make my phone call, is not allowing my phone call to go through.
Secondly, I would find that I am driving and I am talking to somebody, the call would drop. Now
this used to happen some time ago. I thought the matter was fairly well corrected because we
had decent service from both entities, and it is happening now again. Are you in a position to
explain why it is that we have these frequent dropped calls and this inability to make a phone call
outdoors in the public space?
Dr. Prince: Chairman you should not have the frequent dropped calls, because cellular go from
cell tower to cell tower.
Mr. Chairman: That is what I understand.
Dr. Prince: Right, so therefore when you are leaving a cell tower, the other cell tower should pick
up the call.
Mr. Chairman: Pick it up. Yes. But, what is the issue then, why is that happening? You know
that that is happening?
Dr. Prince: I know that that is happening.
Mr. Chairman: What is the issue?
40 | P a g e
Dr. Prince: The issue is the service provider is not providing the service properly. It all resides
with the service provider. It has nothing to do with the consumer.
Mr. Chairman: What authority do you have to insist that the service provider provides the quality
that is expected by you and by the consumer? Do you have any authority with regard to that?
Dr. Prince: Yes we do.
Mr. Chairman: What is it?
Dr. Prince: The concession we give you, it states in there the kind of service you should provide.
So, we do have authority.
Mr. Chairman: But if you were to tell TSTT, for instance, that we are having problems with the
service to consumers, this is nature of the problem that we are having. What allows you to ensure
that the service provider corrects the situation and does what is required?
Dr. Prince: Chairman, Parliament. To give us the right to sanction them so and so as is done in a
lot of developed countries.
Mr. Chairman: You do not have sanction powers now, is that correct?
Dr. Prince: No, we do not. We do not and they know.
Mr. Chairman: Okay, part of the authority you require as a jurisdictional authority over these
matters would be the ability to impose sanctions if service standards are not met.
Dr. Prince: Chairman, they tell us clearly and precisely “You cannot do us anything”.
Mr. Chairman: All right. So that is one issue. The second issue I want to deal with is the finance,
and I thought your answers were clear on the other question. Can you—based on the
information here and based on the information you provided in terms of moneys being directed
towards the Consolidated Fund, could you explain to the public at large, what is the financial
state of your institution? And I will have a couple of follow-up questions for you.
Ms. Reddock-Downes: The Authority, if I may Chair, is considered a going concern. We have an
obligation under the Telecommunications Act, Chap. 47:31 to ensure that any surpluses that arise
at the end of each financial year are directed to the Consolidated Fund. As such the Authority is
self-financing. We collect fees from concessions and licences and we ensure that our expenditure
is maintained within the budget provisions that we have available. But in all instances we are
self-financing. So we are not to draw on the Consolidated Fund or we do not also have
subventions as well.
Mr. Chairman: It is a going concern and you are providing profits to the Treasury, to the
Consolidated Fund. And basically you said that you can actually make more money if you are
given the kind of permissions that you need, in order to—the authorizations for the 700
spectrum. So that is good. The follow-up question I have, is that you had some problems with—
from our point of view based on the information that we have seen with internal audit and
problems in terms of engaging the Auditor General.
11.15 a.m.
Mr. Chairman: You have done pretty well because you have brought the accounts up to date;
41 | P a g e
the Auditor General has seen your accounts up to 2016. So we find that good and promising. But
we did not get the internal audit report until this morning, and we had asked for a number of—
Ms. Seepersad: This one is 2014.
Mr. Chairman: This one is 2014?
Ms. Seepersad: It is more a status.
Mr. Chairman: It is more of a status, yes. We did not get something until—there seems to be,
within the organization, a problem of managing the audit function and some, perhaps,
controversial issues around the management of that function so that the taxpayer and the
Government, representing the State, can get, what you might call proper accounting from TATT,
and be satisfied that all is well. Can you tell me a little bit about that and what is the challenge?
What is the problem and how can we solve it?
Ms. Reddock-Downes: Thank you, Chair. The Internal Audit Department of the Authority
commenced operations at the same time as the Authority started back in 2004/5, and we have
had a Manager, Internal Audit, for a number of years. In, around 2013 the board at the time
decided that they wanted a little more work done and some knowledge transfer to the Internal
Audit Department, and we went through a process of recruiting a firm to assist the Internal Audit
Department with their work. The firm at the time was KPMG. So we entered into a co-auditing
arrangement back in around 2013, with KPMG for a number of years to ensure that we had the
skills in the Internal Audit Department to get the work done and to ensure that the internal audit
activity was done at the standard that was required. So I would say that our board and our staff,
our employees, you can certainly rely on the information that you have before you, because we
had both KPMG at that time and for a number of years, plus the work of the Internal Audit
Department. We also had the Auditor General doing work during that time as well. So the
combination of all of those ensures that the financial statements and the financial information
before you is one that is at the required standard.
Mr. Chairman: Okay. If I understand you, you are saying as of now, if I understand you correctly,
as of now you feel that whatever deficiencies you have been able to manage and you are really
at a situation where there are no corrective measures to be taken, you feel that the institution is
okay in terms of its accounting practices and its internal auditing functions. Did I understand you
correctly?
Ms. Reddock-Downes: Yes.
Mr. Chairman: Okay. I wonder if I can ask the Auditor General’s representatives here to say
something.
Mr. Sinanan: Good day, Chairman. The Auditor General’s last report was in 2012; ’10, ’11, ’12;
2013—2016 were done by private auditors. We are currently finalizing the 2017 and 2018
accounts. Now, there is a little interpretation issue with the Act, because section 57 talks about
the accounts being public accounts and section 2 might have said we can authorize a private
auditor to do the audit, but section 3 talks about being public accounts again. And the Auditor
42 | P a g e
General, Mrs. Ottley, Mr. Ali, the interpretation was that we keep the accounts because the
public accounts are not generally contracted out. That is why we kept the TATT accounts on our
portfolio, trying to bring them up to date as best we could. Now, we hope to report in the 2017
and 2018 by the end of this year, this month, and the 2013 accounts by the end of next year
January. Now, we are trying to manage a 50 per cent deficit in staff and auditors at our
department and keeping these accounts up to date. Other clients, we have been able to maybe
subcontract at private firms, but because of the interpretation of section 57(1) and (3) we did not
see it wise or fit to give it out. With regard to the opinions on the current status of the accounts,
we have management letters that were issued on the 10th, 11th, 12th; I believe they came to the
Committee. The management letters for ’17 were issued last year December. We recently got
the financial statements with signatories to process them, and the 2018 management letter will
be issued by—within this week. So we still say there might not be major issues, but there are still
concerns that the Auditor General has.
Mr. Chairman: Okay. But you are saying by January of next year they will be up to date in terms
of audited accounts for all outstanding accounts up to 2018? Is that what you are saying?
Mr. Sinanan: By next year the 2018 accounts will be audited by the Auditor General, and ’17.
The 2013—2016 would not have been audited by us, and we would be looking at them again.
Mr. Chairman: Okay.
Mr. Sinanan: Because the way the Act is phrased we would not want to put any committee of
Parliament in a jeopardy because it is strange that—this is the only statutory board that has that
claim that these accounts are public accounts.
Mr. Chairman: Okay. All right, I understand you. I appreciate. I will open the floor now to other
members. I will start with you, Mrs. Gopee-Scoon.
Mrs. Gopee-Scoon: Thank you very much, Chair. Now, members, whenever I am looking at an
organization there are five Ps that I tend to be guided by, and that is the clear purpose of the
company, the product that they deliver, the procurement projects and the people; and I will start
with the people. Now, the Chairman spoke about call dropping, et cetera, and so on. I just want
to direct my questions specifically to the people of the rural areas. Many of the people—there
are still people in this country who are not benefiting from telecommunication services in terms
of Internet and mobile connectivity. Could you speak to that for me? Where are the gaps and
what is the intention? What are the projects? Why are the service providers still not providing
to particular areas, as I said, the gaps and what you intend to do about it? Is there a mandate
when you provided the initial contracts to provide to all of Trinidad and Tobago?
Dr. Prince: Minister, what you said there, we had a problem, for example, in Tobago in terms of
access to telecommunication services. We need an audit to find out the gaps, and we engaged
the current providers to ensure that the services are provided where we found that the services
were in want. Because, Minister, if you look at the concession of these service providers, when
you have a national licence it means that eh, to provide services to the entire Trinidad and
43 | P a g e
Tobago. It does not mean providing services to Port of Spain. So therefore, like I said before, our
problem is what is our, let me use the word, big stick, to ensure that they do it. And knowing
that we do not have that kind of enforcement mechanism, they tell us, straight to our face, “Well,
you cannot do anything. We know we have breached our concessions, but what can TATT do?”
And to be honest with you, TATT can do sweet little but have a meeting with them, tell them,
look, “You are doing this”; have a meeting, they promised us “We were going to do it”, and of
course they do not. And that is the kind of catch-22 situation we are in.
Mrs. Gopee-Scoon: Let me just ask you again, so Tobago is the only location that is not provided?
What about the southernmost, they are not provided?
Dr. Prince: No, I have Trinidad. We have places in Trinidad where we get complaints that they
do not get service. So we apply the same method. We apply the same method of moral suasion,
and maybe moral suasion would work with the Central Bank but it is not working with
telecommunication providers, because the Central Bank may have, you know, things they can do,
but we do not. Parliament never gave us.
Mrs. Gopee-Scoon: But surely the contract must provide for breach?
Mr. Sookram: Chairman, if I may, and through you?
Mr. Chairman: Go ahead.
Mr. Sookram: To speak to the treatment of these access gaps that you have in terms of the
provision of telecommunication services, whilst the telecommunication providers are allowed—
well, afforded to provide service nationally, in some areas it is uneconomic to provide those
services. And the legislation, the Act, makes provision for what is called a Universal Service Fund,
which can be used by the Authority to ensure that service is provided in those uneconomic areas.
To this extent what the Authority has done, and this was over the last—the period in question,
2010—2016, we have done two digital divide surveys. This is to identify the locations both within
Trinidad and Tobago where you have deficiencies in terms of access to telecommunication
services. And with those surveys completed, we have information that we can use in terms of
using the Universal Service Fund, and for this fund we had our Regulations to allow us to
implement the fund approved in 2015.
Since then what we have done was to identify projects that would be suitable to service
those access gaps, as well as service marginalized persons. For example, one of the projects that
we are pursuing is to provide assistive technologies to persons with disabilities although this is
not a geographical access gap but it is a geographical social gap. Another project we are doing,
and this in collaboration with the Ministry, is to provide Wi-Fi, free Wi-Fi in certain public spaces,
for example, national libraries, public waiting areas, in hospitals, as well as transport hubs. And
a third initiative that we are planning right now is to look at pilot projects where we can have
universal service, which is primarily, today, both voice services, as well as broadband Internet
access provided to marginalized villages or locations in Trinidad and Tobago. For example, in
south you have that area by Morne Diablo, which is deep south, and you also have in central
44 | P a g e
Trinidad, this is in the Tamana range area, a village called Brasso Venado that has very limited
connectivity, and it is based on that uneconomic cost to the providers. And this is where we hope
these universal service projects will come in to fill those gaps.
Mrs. Gopee-Scoon: So there is an established fund?
Mr. Sookram: Correct. Yes.
Mrs. Gopee-Scoon: And what is the quantum of that?
Mr. Sookram: Right now that—
Ms. Reddock-Downes: The fund now stands at $120 million.
Mrs. Gopee-Scoon: One hundred and twenty million. So obviously your priority would be to put
in place projects to cure the gaps that have been identified. Where are these projects? What
are these major projects? If you could identify your top three for me: how you are going to
execute these, what are your timelines?—because we really want to give assurances to all of the
people of Trinidad and Tobago that these kinds of services can be made available. So give us
details on the top three and the execution. And I noticed that the project management is really
left to your departments, and when I read there were some gaps in terms of being able to
complete projects on time, and so on, within the scheduled time, and so on, and there was
underspending by the Statutory Authority, by the TATT. So I am concerned that you are leaving
these projects up to the departments. This is what you have said in your answer to some of the
questions. What other—do you have a monitoring and evaluation unit?—because you need to
fix your execution of these projects. But let me take you back to my question. What are the
priority projects to fix these major gaps to, you know, to be able to feed all of the people of
Trinidad and Tobago?
Mr. Sookram: Chair, through you again, the projects that I have identified, which is the assistive
technologies to persons with disabilities, the free Wi-Fi access in public spaces, and we have a
pilot project to close the access gap in specific villages based on the digital divide surveys that we
would have conducted. Those are the three main initiatives that we are undertaking currently.
We have significantly done work in two of the three initiatives. This is the assistive technologies
to persons with disabilities in terms of even in collaboration with the Ministry of Social
Development and Family Services as well in identifying those individuals, and the intention is this
financial period to be in a position to actually implement that project. As you can see, there
needs to be a relationship between us and the institution responsible for identification of these
persons, which is, from our understanding, the Ministry of Social Development and Family
Services. So that project is well underway. In terms of the free Wi-Fi access in public spaces, we
have amendments to the Universal Service Regulations that hopefully should go before
Parliament in this parliamentary period, and that would allow us to implement that initiative as
certain modifications were required to the current Universal Service Regulations in order to
implement this initiative based on the scope of it. And in terms of the final project, this is
something that we are planning to undertake in terms of the planning period, or planning stage
45 | P a g e
for this financial period. So, hopefully, between the next year, year-and-a-half, we will see that
project go towards approval, and then thereafter, implementation.
Mrs. Gopee-Scoon: With regard to the third project, which is to provide a service to particularly
rural areas, which you have identified in your gap analysis, I would like to know, for the sake of
the public, what is the start date and the end date to that particular project? When will you
deliver?
Dr. Prince: Chairman, our chairman, Senior Counsel Gilbert Peterson, has just arrived, and I just
wanted to make a point to both you and Minister Gopee-Scoon. Look at the dichotomy,
Chairman. AT&T breached their constitution. FCC had the authority to charge them US $50
million; South Africa, the same breach, R $25million, right? So you understand, Chairman, when
I told you about our inability, you know, to take, you know, decisive action when there is a breach
of these things. You did not do this, you did not provide service in one of these areas in Rancho,
and these areas. The raw thing is that—and the service providers, they tell us, “What TATT could
do?” Especially—I do not want to call the service provider name, but there is a particular service
provider say, “Boy, alyuh cyah do nothing. Yeah, we know we breach, buh alyuh cyah do
nothing.”
Mr. Chairman: I appreciate it. There are two important issues that you raised that I have taken
note of. One is that you require authority of Cabinet for being able to deliver on the 700
spectrum; that is the first issue. And the second issue I took note of is the fact that you have no
powers of sanction to insist on compliance or to enforce any powers that have to do with
compliance to ensure that the consumers are properly protected and serviced. So I have taken
note of that, and that will be part of our report we would take. I may ask you some more
questions on the issue of this spectrum, but I go on now to—
Mrs. Gopee-Scoon: Chair—
Mr. Chairman: You have a follow-up question?
Mrs. Gopee-Scoon: No. Chair, two. You did not allow me. I did not get an answer to my
question—
Mr. Chairman: Okay.
Mrs. Gopee-Scoon:—from the Technology and Engineering Executive Officer.
Mr. Chairman: I think what you wanted—did you want to identification of the communities? Is
that what you were seeking?
Mrs. Gopee-Scoon: No. I want to know when the project will be started and when the service
will be delivered, and he is prepared to answer. So if you can allow him?
Mr. Chairman: Okay.
Ms. Mendez: Chair, I just will like to clarify an issue regarding the authorization of spectrum, and
that will not require Cabinet authority.
Mr. Chairman: What will it require?
Ms. Mendez: This aspect of concessions. That is what will require Cabinet’s authority, and it is
46 | P a g e
receiving attention of the legal arm of TATT, as well as the Solicitor General’s chamber. Thank
you.
Mrs. Gopee-Scoon: That sounds like the course of action.
Mr. Chairman: Were you saying something?
Mrs. Gopee-Scoon: No, it sounds like the course of action that would be necessary.
Mr. Chairman: Okay.
Ms. Mendez: It is actively being followed at this time.
Mr. Chairman: No, but what is the authority you require to give you freedom to act on the 700
spectrum?
Mr. Peterson SC: Mr. Chairman, good morning, if I could be—
Mr. Chairman: Well, before you go, I want to take the opportunity to welcome you, Chairman,
and I thank you for responding and coming down here. I appreciate it. And since, at the
beginning, I said I was disappointed that the board was not represented. I would give you the
opportunity to say what you wish to say now.
Mr. Peterson SC: And I would be able to assist with the 700 question.
Mr. Chairman: Yes.
Mr. Peterson SC: First of all, let me apologize for not being here. For two reasons I had not been
here. I had a professional commitment that I could not get out of because it was booked. It was
a court fixture that was booked before. And, secondly, I was under the impression that the PS
was summoned from the Ministry, and I had intervened and insisted that some members of TATT
accompany her so that your Committee could be assisted. We did not interpret it in any way that
the board was required to be otherwise we would have been, and no disrespect would have been
intended. Had we recognized the invitation was to the board, I would have been here for sure,
and some members of the board. So, I just want to make that very clear.
Mr. Chairman: And we accept your—
Mr. Peterson SC: And I know the Chairman would not attribute to me that I would not—the
Chairman knows me.
Mr. Chairman: Okay.
Mr. Peterson SC: Secondly, the issue with the spectrum, the 700 spectrum, Mr. Chairman, the
reality is, as the PS was saying, that the Solicitor General’s chamber is involved to some extent.
What it is about is that previously there was an RFP that went out with respect to a third mobile
provider, and lumped with that RFP was an assignment of 700 spectrum, and because of the plan
that existed at the material time, only two providers were catered for in the 700 spectrum. If
there is, and it is being considered, that if there is a change of spectrum plan, then there would
be sufficient 700 spectrum for all players. The issue that the Solicitor General would be attending
to now would be whether in the currency of that RFP being out there, whether we can proceed
to award 700 to three players when previously the invitation on the RFP had envisaged two
players; and that is the issue. So once that is clarified legally, and we are given the all-clear legally,
47 | P a g e
then that 700 would be expeditiously dealt with.
Mr. Chairman: So the issue is really a legal stumbling block?
Mr. Peterson SC: It is really a legal stumbling block because of what had gone out historically
with the RFP that is in limbo, so to speak, at this point with respect to whether—where we can
move.
Mr. Chairman: Okay, appreciated. Understood.
Mr. Peterson SC: On my way here I was listening to the channel, and I also would like to say
something about the underserved areas.
Mr. Chairman: Yes.
Mr. Peterson SC: I know that there was an immediate focus on Tobago, but there are other areas
that are underserved, but the issue and the reality is, is a matter of economies of scale. Although
concessions may be given to providers, it may be uneconomical when one tries to roll out service
in particular areas. And tied into that would be our Universal Service Fund, which is quite
substantial. And you may be aware, I am not sure, through the legislative agenda that we need
regulations and rules with respect to accessing the Universal Service Fund, which is intended to
assist in providing service to underserved areas, and that is being attended to. Those regulations
have been drafted and sent forward, so we hope in quick order that areas that will not be
economically viable for the providers to traverse because of the economies of scale that the
Universal Service Fund could assist the providers in providing services in those underserved
areas.
Mr. Chairman: Okay. So let me understand you so that listeners and viewers understand, which
is that you have a fund but you need clear rules and regulations to be able to tap those funds for
the purposes of developing underserved areas.
Mr. Peterson SC: Yes. We need amendments to those rules to access those funds. The fund is
quite substantial and we need to access it in order to best provide service to underserved areas.
Mr. Chairman: Understood.
Mr. Peterson SC: Yeah.
Mr. Chairman: Okay. You still have a question?
Mrs. Gopee-Scoon: No, that answers my—yeah, that partially answers my question, but I went
on to ask about the project management within the organization just to ensure, yes, if the fund
becomes available the legislative action that is required is taken; I am concerned with the
scheduling of contracts, and so on that their system is just via departments. So I wanted to know
whether or not there is a monitoring and evaluation unit, and also—just generally that is my
concern. And I think member Sookram is about to respond.
Mr. Chairman: Yeah. Okay. Could we conclude this part? Go ahead.
Mr. Sookram: Chair, through you, and to be concise, we have started the planning work on that
third universal service project already. That has been identified as a key deliverable for the
Authority under our performance management framework. So that has oversight, not just by the
48 | P a g e
department responsible but also the senior management team, as well as the board of the
Authority, who we report to in terms of our performance towards our key deliverables and who
monitors our performance towards those key deliverables twice a year, mid-year, mid financial
year, and then, of course, at the end of the financial year. And this year we have carded for this
key deliverable to complete the planning process, which will spell out the entire process and the
associated schedules and time frames that will be applicable for the planning, the identification
of locations, the procurement in terms of contracting service providers, and then, thereafter, the
implementation by those said service providers, and use of the fund.
Mrs. Gopee-Scoon: Right. So you do not have a delivery date as yet, but you are—all of those—
Mr. Sookram: Yeah. And we are in the planning stages for that third project.
Mrs. Gopee-Scoon: Right. Thank you.
Mr. Sookram: Welcome.
Mr. Chairman: Sen. Seepersad.
Ms. Seepersad: I was looking at your KPMG report and one of the things that struck me was the
number of areas that they noted that you were at risk. We are talking about IT, financial
management, accounts receivable, governance and strategic management, and I was wondering
two things. What is TATT doing to deal with these areas? And at this time, how do you measure
your rate of return on your investments and to ensure that you are getting value for the money
spent by the organization?
Ms. Reddock-Downes: Thank you. The KPMG report was intended to identify the key areas that
could potentially have risk in an organization, and certainly in any organization the areas of
highest risk would be the areas that deal with the financial management of the organization. So
that report was meant to be a guide to us to identify the areas that we need to concentrate on
to ensure that we mitigated our risk. And certainly that report assisted us in making sure that
the elements of risk that were identified at that point were dealt with within the various
departments.
In terms of the Authority’s work in risk management, we have continued to do that, and,
as we identified in the report, each department is required to identify their risks, and that work
is done together with the Internal Audit Department, and once the risks have been identified,
there is a requirement to have a plan in place to deal with those risks.
Ms. Seepersad: And so reports are done to the board monthly or quarterly, depending on your
reporting structure and is dealt with at the board level?
12.15 p.m.
Ms. Reddock-Downes: Risk reporting is normally dealt with at the audit committee which would
then report to the Board.
Ms. Seepersad: I just have one follow-up question. I was looking at your accounts receivable,
because it is all well and good to have a lot of income, but what is being done to manage your
accounts receivable, are you taking legal action, et cetera? There is a cost to having bad debts,
49 | P a g e
because you would have provided some sort of service and not received the income that is due
to you.
Ms. Reddock-Downes: Within the Authority we take the management of accounts receivable
very seriously. In fact, as identified in the response to members, we actually have what we call
and “Arrears Committee”, which is a committee that includes persons from different parts of the
organization, all who contribute to the work that is required. That group meets every two
months, and we track all the income that is required that is meant to be coming into the Authority
that has not yet been received.
In addition to that, we do monthly reports and we do updates to the Board every time
they meet. And so we have a report that goes to the Board every time they meet that identifies
the major arrears, what work we have been doing and what the intention is. If we have specific
cases that we want the Board to deal with, those cases are dealt with as well. In fact, we have
been able to bring our receivables down from the levels that they were before. In fact we are
reporting fairly substantial reductions in the current financial year.
In the instances which appears or operators are delinquent, we take action as you know.
We take action against them. We have had one major case in court against a television provider
some years ago, and we also take action against current operators as well. So that once the
Authority takes action we have had results coming as a result of that. So we do take our arrears
very seriously.
Mr. Obika: Thank you, Chairman. I welcome the Chairman of the Board. I have a few questions
regarding the financial aspects of the operation of the Telecommunications Authority of Trinidad
and Tobago. I just want to make one comment to solicit a response to start, with regard to an
annual report, albeit not before this Parliament so I cannot say which year, but it indicated that
TT $5.6 billion is the size of the contribution to GDP of the telecommunication and broadcasting
sector. This is a report of the Telecommunications Authority, albeit an audited financial
statement, but this has to do with a market survey that you all conducted, which is about 3.8 per
cent of GDP of Trinidad and Tobago at that time.
Is it that you all have put forward any policy proposals, given the many protestations of
Dr. Prince who is well lettered in economics? Any proposals to advance the issues and challenges
you all have, regarding getting more teeth and so on, given the size of the sector that you all
oversee?
Mr. Peterson SC: Thank you very much member for the question. There are amendments that
are presently being drafted. Some of them have been drafted and already forwarded to find its
way into Parliament to give us more teeth, because as a regulator we need teeth. But you know
that the modern approach in many jurisdictions with respect to regulating, particularly the
telecommunications sector, is whether you use the strong arm police type approach or whether
you use the more persuasive approach.
We are seeking to get teeth in the amendments, but how we implement that regulation
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or the power we would then have under the amendments, we will probably like to adopt the
more international approach of some persuasion, but at the same time reserving your power and
your rights to be more draconian if you need to be.
Mr. Obika: I want to ask a follow-up question regarding this, but I guess it may be better directed
at Dr. Prince. In Trinidad and Tobago, based on the report, you had about 13 per cent of the
usage, I think, in terms of the income generated in the sectors is from pay TV operations. Have
you all looked at the opportunity to export, or do you all regulate in any way productions that
are done here that are exported overseas? For example, we are familiar with the Nigerian
Nollywood, Indian Bollywood, Hollywood. Do you all in any way regulate and contribute to
export of the telecom and broadcasting sector?
Dr. Prince: You know, some years ago we had a highly successful television series which had
reached as far as Jamaica. What was the name again, that series?
Mr. Obika: Is it Westwood Park or Calabash Alley?
Dr. Prince: Westwood Park had reached far, but you know what is the hold back? Very talented
actors, good production, but our problem is the cost of local production, the cost of producing
those things. We cannot compete with television stations buying a package from abroad. Our
cost of production, as they say, is a little too high.
Mr. Obika: Thanks for the submission. I want to get to the finances now. I believe a response
from the manager of finance and accounting stated that the size of the universal service fund is
in excess of $120 million/$130 million, which in fact I saw in that report. I cannot say the figure
I saw because again that is not before the Parliament properly. That means that over 60 per cent
of the assets under your management are held as cash based on what I have seen. Is that desired,
or is there something you all plan to change about that? I ask that with regard to the fact that I
have been looking at the organizational structure presented to us, and in finance and
administration I am seeing varying proposals in terms of a 2009 structure, a proposed structure,
and a different proposed structure with no date attached to it. So it begs the question, especially
since we do not have properly before us, finances: What exactly is the current state of the
staffing in the finance and accounts department?
Ms. Reddock-Downes: If I may, Chair, could I start with the first question, which was regarding
how we keep our assets. We are required under the Telecoms Act to maintain the balance in the
Universal Service Fund only for that purpose. So it can only be used for universal service projects
that have been approved by the Board and by the Minister. So that means those funds cannot
be touched until we actually commence using them for those specific projects.
Mr. Obika: Can I interject just before you go to the staffing? But then, you know, and I think you
would agree we me, it goes totally against the grain of any finance professional, which is my
background, to hold funds as cash. Surely there should be some opportunity to advance a
proposal management, if not of the entire fund, but at least of some part of the funds so you get
better returns which could improve your bottom line.
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Ms. Reddock-Downes: Chair, and we certainly at the Authority agree with that, but our Telecoms
Act does not allow us to have investments. As a matter of fact what we try to do, we approach
the Ministry of Finance to see whether we could be able to do maybe perhaps risk-free type
investments, but we have not been able to be successful in that regard. But what we have done
is in the amended Act we have included in there, and once it is approved by Parliament, the ability
to make risk-free investments, and once that is passed then yes we would be able to have the
funds work for us in the way in which proper financial management is expected.
Mr. Obika: I do not think anyone can disagree with that. The second part of the question which
will really be the end of my contribution. What exactly is the state of the staffing? Because once
I do not see financials before me I get worried, and then I have to go and look for it in other
places. Do you have properly staffed chartered accountants? I see there are different positions:
accounting officer, accounting technician, regulatory accountant, manager accounts and finance.
Do you have enough? Are you sufficiently staffed with chartered accountants in the Authority?
Ms. Reddock-Downes: Chair, again, if I may. The Authority has quite a number of chartered
accountants. Within the Accounting Department we have two. In the Procurement Unit we have
one. In the Internal Audit Department we have a further two chartered accountants. So we have
in total perhaps up to five, and some who are also training as well. So in terms of professional
capability and skill the Authority is well resourced in that area.
Dr. Henry: Morning again everyone. I must say that my first comment is that it is quite refreshing
to have an entity here that is not a drain on the Treasury. [Laughter] This is my ninth year in this
Senate, and this is probably the first time that we have had any such entity that is not seeking a
subvention, and so on. So that makes my morning already.
What I would like to find out, in terms of the issues Dr. Prince raised with the ability to
impose sanctions and so on, could we as this Committee get an idea of some of the other issues
that we could take forward and make recommendations in order to help the Authority become
what you think it should be, in terms of having the effectiveness that is required to carry out a
proper mandate?
Mr. Peterson SC: Thank you member. I think the amendments to the legislation will give us
some teeth. We presently do have powers of enforcement but they are a bit tedious, because
we would have to go to court. I think some of the examples Dr. Prince referred to like the FCC,
they can almost, well summarily, almost adjudicate and rule and enforce penalties, but we would
have to take the entities to court so to speak. And that we know, once you put something into
the court system, you—if someone is in breach it is in their interest sometimes that you take
them to court, because they know they can continue whilst you seek to enforce, because it would
be such a protracted process.
So some of the legislative amendments are going to help us with respect to enforcement.
But we also have, which is not something we would like to do or something we would do likely,
if you are in breach of the terms under which we have granted you the privilege to serve and in
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you are in breach of those terms, when time comes up for renewal, the fact that you have been
in breach of previous terms and conditions given to you, is a factor that we think that we can take
into account in determining whether we renew the privilege once more or the licence, as the
case might be.
Dr. Henry: Any other challenges that the Committee should be aware of in general, that the
Authority is facing that they would like to expose or comment on?
Mr. Peterson SC: Members I am being told by my team, regulations, regulations. We know a lot
of those are in the pipeline, a lot of those in fact the Minister has been driving the legislative
process. She has involved me as the Chairman to get the operations part of getting the
regulations done. I have been monitoring the legal department of TATT, I have been pushing
them. In fact they have been complaining about the strain I have put them under. But a lot of
the instruments have been prepared and in, and forwarded to—I am bad with acronyms—I think
CPC, for onward transmission to Parliament to have the amendments done and the regulations
passed. The Broadcast Code, we have drafted all of that and all of those things are in the system.
So we think that once we get those instruments approved we would have an improved Authority
with respect to enforcement and discharging our mandate.
Mr. Chairman: Sen. Taharqa you had a follow-up question?
Mr. Obika: Thanks Chairman. This question I guess could be for either the Chairman or the CEO,
it is regarding the sector that you all oversee. If over roughly TT $6 billion is accounted for in
terms of productivity, do you all have any information—because I did not read that report in its
entirety—on the number of jobs that the sector supports, and also if there is an opportunity for
you all to aid UWI, UTT, COSTAATT, USC in their programme development, and as well whatever
tech/voc facilities we have in Trinidad and Tobago, probably the NEC, in terms of skills
development, curriculum development as well, if those opportunities are available too? So the
number of jobs that you have estimated in the sector, and do you all get an opportunity to help
with national development in education?
Ms. Reddock-Downes: If I may, based on past information, we do not know the exact number
of jobs at this time, but certainly that is information that we agree we could actually start to
collect and make available to you.
Mr. Obika: Just to interject, we would be grateful if you can supply it to the Parliament, because
that would help definitely.
Ms. Reddock-Downes: Then in addition to that you asked about tech/voc and education and
UWI and COSTAATT. What we have done in the past is that we have given out bursaries on
occasion to students of UWI and UTT, particularly in relation to when we did our Girls in ICT Day
projects. So we provided encouragement for women to be involved in the ICT sector, by
providing bursaries. We have done that. In addition to that, we have been doing work to identify
programmes, journalism programmes, communication programmes that the Authority could
support together with the broadcasting sector, and that is currently in the pipeline.
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Mr. Chairman: You wanted to say something Dr. Prince?
Dr. Prince: Yes, Chairman, I just wanted to add something, that there is in the pipeline the
National Statistical Institute of Trinidad and Tobago, and one of the areas early we have for
examination is the contribution of telecommunications to the GDP of Trinidad and Tobago using
the data.
Mr. Chairman: Well this is a critical area. In fact my follow-up questions was about that kind of
thing, so I am glad you raised it. I suspect what you are talking about is how you could arrange
for the CSO to tap that data. Is that correct?
Dr. Prince: Well, it will not be the CSO again.
Mr. Chairman: Yes, the new institute.
Dr. Prince: The new institution. What we can arrange, we are trying to use—if we use what we
call basically “sample data” we know that we are not going to get secondary employment and
secondary contribution. We are not going to get that properly done, because telecommunication
and IT they go into industry. They help the industry to make money, and in other words how do
we account for that. That is something that is, you know, giving us a little bit of headache, how
we will account for that.
Mr. Chairman: Well, I think it is something that you have to help to resolve, because it is really
critical. I am going to use my opportunity for some follow-up questions to engage that. When
we started off the discussion you talked about the importance of GATS and how early we had
gotten into the game with the first 60 countries in the world, et cetera. The whole value of all of
this in relation to GATS is because all business and their capacity to grow and expand, and to
access what the world has to offer in terms of markets and in terms of opportunities, is really
based on our capacity to manage our ICT system and our telecommunications order.
That is why TATT is such a critical organization, because you stand basically, what can I
say, as the mediating power in terms of the telecommunications and ICT capability, in order to
allow for business competitiveness of the country, Trinidad and Tobago.
When I hear what you are saying about the 4G and when I hear what you are saying about
the—when I know what I know about the ICT sector, for instance in the last Auditor General’s
report the governmental system was flagged in terms of ICT deployment, use, connectivity, et
cetera, and both the Ministry of Planning and Development and Ministry of Public Administration
which you head, were flagged as being critical to this process.
Now, you yourself when you started, Dr. Prince, you said, you know, the country is being
left behind. We know what has happened in terms of some of our competitiveness indicators,
whether it is ease of doing business, whether it is the level of competitiveness, whether it is
innovation issues, whether it is ICT deployment and usage. How can you as TATT play a role in
getting the players that are critical to undergird this competitiveness capacity of the country to
play the role they have to play to make that possible?
Dr. Prince: Chairman, thank you for the question, because I want to remind Sen. Henry that the
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law of competitive advantage does not exist no more. We have now a law of technology
advantage. This thing about competitive advantage, if you have “X” resource, it does not exist
anymore. So, therefore, what we as a regulator have to do is to ensure that we provide enough
spectrum, because UWI—I remember in 2006, UWI said, “We want spectrum to do research,”
right, and they wanted their spectrum to do their research, and we had to give UWI spectrum. If
we held back that, it meant that we were holding back the economy.
Mr. Chairman: Yes, they would not have been able to go into the deep research.
Dr. Prince: Exactly, they would not be able to go into that, because I remember Prof. Julien
coming to us saying, “Listen, you cannot charge us for spectrum to do research in the university
you know, because when we do research it benefits the entire productive sector”, and as you
know Prof. Julien was very, very, very heavy on technology. So therefore we are looking at how
we create. We move competitive advantage from resource to technology, because there are
certain countries who do not have resource. You know what they have? Technology, Chairman,
and they are beating countries that have resource.
Mr. Chairman: I mean, how do we get to the point where we basically release the spectrum
opportunities, leverage it and get to the point where we can have our ICT and
telecommunications system at the level where that technology will allow us to leapfrog in terms
of industry, in terms of capacity of our public service and so on, integration of all of these things,
to the benefit of the consumer and benefit of the markets?
Dr. Prince: Chairman, I look at South East Asia, and they did it, you know, by using a system they
call “STEM”. Their system they call STEM is science, technology, engineering and mathematics,
S-T-E-M. So, therefore, we would have to start working a lot more and a lot closer with the
university—
Mr. Chairman: Well with the system.
Dr. Prince: —to create that kind of system, that kind of integration, okay, because unless,
Chairman, we look outside there and we say we have 20/30 boats to export things, “we in
trouble”.
Mr. Chairman: Okay, I understand. I will ask Sen. Gopee-Scoon to ask maybe the final question.
Mr. Peterson: Mr. Chairman, if I could just add. I think part of the answer to your question is a
national ICT plan, which I understand has been approved recently, probably two or three months
ago, and it is a matter of rolling out and implementing that plan. That ICT plan, together with
natural resources, should be able to take us to the level that Chairman is referring to.
Mr. Chairman: You see the thing about that is you are right, there are many pillars, but the three
key pillars are—the technology pillar is the key, business, Government, tertiary level education
or, in fact, your education system as a whole. And unless you mesh that, unless you integrate
that, you are not going anywhere as a country.
Mrs. Gopee-Scoon: Chairman, a quick one, a quick closing question asking for your comments.
A recent Heads of Government meeting with a focus on the CSME, and one of the major
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objectives being a single ICT space, just some comments from you on that.
Dr. Prince: A single ICT space is a good idea, but we would have problems. A lot of Caricom
countries do not accede to the ICT space given by the ITU; they do their own thing. We are in
Region 2, Caricom and all of them, and the only country that accedes to Region 2 specification is
Trinidad and Tobago. And this is why we can move from one spectrum to jump to the other, to
the other, to the other, to the other. They would have great difficulty in doing that.
Mrs. Gopee-Scoon: That might be so, but it means then that Trinidad and Tobago has a leading
role to play.
Mr. Peterson SC: Member, I agree with that. I was heartened to hear that at the Caricom
meeting recently, because I know for the last two or three years the debate has been that regions,
especially the Caricom region, needs to have one ICT space. I know that there had been a lot of
meetings with the other CTU—I am very bad with acronyms—with respect to achieving that
common ICT space, because they recognize that that is the way forward in order to maximum
the benefit that could be achieved as a region from ICTs. So I know that that is on the agenda
and it is something that has been foremost in discussions in the ICT sector.
Mrs. Gopee-Scoon: Thank you.
Mr. Sookram: If I may add, Chair, through you, one of the key areas in that space that we are
seeking to harmonize throughout the Caribbean is spectrum. In terms of how is spectrum used,
as well as what technologies are considered, and having it harmonized throughout the Caribbean
so when investors are looking to invest in, let us say, telecommunication providers and such,
looking to invest into providing telecom services using spectrum, they can look at the Caribbean
as a unit as opposed to each country individually.
Mrs. Gopee-Scoon: Well we have a superior role to play.
Mr. Chairman: A quick question: When are the regulations likely to come to Parliament?
Ms. Mendez: Actually the Universal Service Regulations are before the LRC at this time, and the
Telecommunications Bill and policy, we are just awaiting a response. It is coming very soon from
TATT, because we have been collaborating, the legal division, the technical division with the
Ministry have been meeting with TATT.
Mr. Chairman: Maybe I should ask the Chairman this: What about the legal issues with regard
to the—
Mr. Peterson SC: The 700issue?
Mr. Chairman: Yes.
Mr. Peterson SC: I was promised an opinion as recently as—well, it was supposed to be this
week. It was promised last week, but I am told I will get it by the end of this week. We have a
board meeting on Monday, if I get that opinion on Friday we should be able to address it on
Monday to have a way forward on that.
12.15 p.m.
Mr. Chairman: All right. Thank you because that gives us, you know, a sort of specific time
56 | P a g e
regions that we can think about. And I want to thank you very much for coming and for being
here. Chairman, I want to thank you for taking the trouble to come down here and to be with
us. And we did, in fact, issue an invitation to the chairman and the members of the board, but
we will move on from that, but I am glad that you—
Mr. Peterson SC: I am sorry, Mr. Chairman, I was not aware that we got a direct invitation.
Mr. Chairman: Okay. But we proceed here now in good faith. There has been some, I think,
useful information provided here for the general public and for us. Sen. Lester Henry mentioned
earlier the fact that, at least, you were in the black, and you were contributing to the
Consolidated Fund which is an important thing. And the documents indicated to us that you have
not been receiving subvention for over a decade which is significant.
Mr. Peterson SC: Mr. Chairman, if I can crave your indulgence. On the wire when I was coming,
I think I heard Dr. Prince say we had contributed $14million last year. I thought that that was an
error because I remember signing a cheque for $30 million or—
Mr. Chairman: Yes.
Mr. Peterson SC: Yes. So that should further hearten Dr. Henry to see that it is double what he
thought it was.
Mr. Chairman: Okay. So, I think that was some good news. I think the problematic issues in
terms of the organization has really been the evolution of the relationship with the Auditor
General and the problems with internal auditing and internal audit reports. If you would pay
some attention to that and try and bring it up to speed, I think that would strengthen the
organization considerably and give us here certainly a lot of comfort. The heartening part of that
is that by January you are going to have your audited accounts up to 2018 well done and
completed and before Parliament; so, I think that that is also good news.
The other issues are the developmental issues having to do with spectrum, having to do
with the powers of enforcement and insistence on compliance by TATT, and basically creating
the conditions in which the country can use technology, leverage technology to be more
competitive. And I do not want to underestimate the value of that last one. I do not think we
have a chance in the world, in this part of the world unless we can leverage that technology, and
you are critical to that process.
And I think that the issues that we have to do with the consumer whether it is the
marginalization of the consumer and bringing them into the net, which you can attend to,
whether it is ensuring the quality of access which we now have a problem with or ensuring the
big-picture issue which is, how does the country really make the grade to becomes extremely
competitive in this very competitive world.
I think TATT has to be a little more conscious of its role in that and help the key
stakeholders, even if one of those stakeholders is the parent Ministry or the Government itself
to appreciate and understand what has to be done to take advantage of the technological
opportunities. Because as you yourself said, we cannot be competitive without this leverage and
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without making the best use of this leverage.
And I just want to say that I have found you in your engagement of the Committee to be
very forthright and straightforward and I appreciate that. And you also gave us information that,
I think, is valuable not just about the development and evolution of TATT, but the state of the
industry although we tended to focus mostly on the telecommunication sector rather than the
others. And you have also given us a little insight into some of the challenges we face as a country
developmentally, competitively by not making some of the decisions that we need to. It is
heartening also that we are going to regulation and legislation to correct some of those things,
so I find that very positive.
So, I want to close basically by thanking the Auditor General’s Department for being
present and for making their contribution. The Ministry of Public Administration, we are very
heartened that you are here and you made your interventions as you thought necessary. And
the Telecommunications Authority of Trinidad and Tobago, we are glad that Dr. Prince was here,
and senior counsel Gilbert Peterson was here also as chairman to elaborate on some of the issues
and to answer some of the questions.
And all of you members of TATT and members of the public administration Ministry we
thank you very much. We also thank the media for being here and for covering today, and we
hope that we will, that you will, as the intermediary as the bridge make sense of some of this
information for the population at large on the things that really matter to them, and we thank
you very much. I thank my members, of course, for always being a good team and a good
Committee as they generally are. Thank you. Meeting is adjourned.
12.20 p.m.: Meeting adjourned.