Due to expected changes to the Electronic Communications Act and the implementation of the Consumer Protection Act, proposed regulations governing how telecommunications operators are allowed to handle equipment subsidies have been put on hold.

The Independent Communications Authority of SA (Icasa) has been trying to implement regulations to force operators to disclose to their customers exactly how much they still owe on a cellphone or modem.

The regulations would also have allowed customers to choose the length of their contracts, from six months to a maximum of two years.

The first iteration of the regulations surfaced three years ago. However, they were heavily criticised by operators and Icasa pulled the draft after Vodacom threatened legal action.

Late in 2009, the authority quietly published a code of conduct that was expected to accomplish the same thing as the regulations.

At the time, analysts said that the code of conduct was a soft-handed approach and many believed it would not be as easily enforceable as fully fledged regulations. However, Icasa said the code would hold the same legal sway as regulations.

Now Icasa says many of the stipulations listed in the code of conduct will no longer be needed as many of them are covered in terms of the Consumer Protection Act, which comes into force next Friday.

It also says the department of communications plans to change the Electronic Communications Act to give it more power to enforce its plans around the subsidisation of equipment. — Candice Jones, TechCentral