Pena Nieto Proposes Reform of Telecommunications

Pena Nieto Proposes Reform of Telecommunications

Mexico’s government on Tuesday announced a reform initiative in telecommunications which includes the creation of two television channels and removes the government power to grant or revoke the concessions in broadcasting and telecommunications.

The reform to be submitted to Congress also foresees the creation of the Federal Institute of Telecommunications, which will assume the functions of the Federal Telecommunications Commission (Cofetel) and the Federal Competition Commission (Cofeco).

“The reform presents challenges for companies in the sector, and will also opens new opportunities, but to do so will have to invest and innovate, improve their rates, and improve the quality of their services,” said President Enrique Peña Nieto.

On the initiative, the Minister of Communications and Transport, Gerardo Ruiz Esparza explained that school reform is not the federal executive body authorized to grant and revoke concessions radio broadcasting and telecommunications.

Ruiz also said that the reform will create special courts in antitrust, telecommunications and broadcasting.

“Congress shall establish special criminal penalties under this initiative that severely punish monopolistic practices and undue concentration phenomena,” he said.

The reform also increases the participation of foreign direct investment in telecommunications and satellite TV from 49 to 100 percent , as well as 0-49 percent in radio broadcasting.

Pena Nieto stressed the initiative and said that it will expand the rights of Mexicans, guarantees freedom of expression and media, shall specify the right of free access to information and establish access to information and communication technologies including broadband service.

“(Reform) seeks to ensure universal coverage, the goal is for television services, radio, telephone and data nationwide reach, rural youth have the same rights as young people of all cities to connect to the Internet, to access information and connect with the world,” he said.

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  • Wally

    It’s a little unclear to me how this will guarantee freedom of media and expression or provide universal coverage for all Mexican citizens, but these goals are worthy ones. Antitrust legislation is one way to pursue these goals, but it seems rather indirect. Anyway, I hope this does accomplish some of the lofty goals stated!

  • Taylor

    I don’t understand why the government has to get involved with ANY telecommunications. It has too much control anyway. Kind of ridiculous.