The independent regulatory body: a new regulatory institution in the privatised telecommunications industry (the case of Indonesia).
,J
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-- : = ':-.--: .i:rnei that provides an authoritative saurce of information
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.;
r J- -:- _ _::rative research
r' : :. _::.eration patterns: R&D
:
= =: :-al strategic alliances
".- - --- . ::: t3i:ons of technology
n - : ::::.- ::ed nsks
visit www. inderscience.com
:= t"'')e Editorial Board
Prof. Elie Geisler
lllinois lnstitute of Technology,
USA
Prof. Luke Georghiou
University of Manchester,
UK
Prof. P.K. Jain
lndian lnstrtute of Technology,
lndia
Dr. Sylvia Mercado Kierkegaard
lnlernational Association of IT Lawyers,
Denmark
Dr. Anatole F. Krattiger
Cornell University,
USA
Dr. Vimal Kumar
:'','a-agement,
Ministry of Science and Technology,
lndia
Ms. Dan Liang
UNIDO, VIC,
Austria
Dr. Tapan Munroe
Munroe Consuliing. lnc,
USA
Bela L. Musits
High Peaks Venture Partners,
'.'
:lagement lnstitute,
USA
Prof. Lynn K. Mytelka
France
:l
Prof. Robert Premus
Wright-State University Rike Hall,
USA
--
:._r,-:,-..
Prof. John Van Maanen
MIT,
USA
=
r
e!'er
'-- lremische
vi
Technologie (lCT),
Prof. John M. Vernon
Duke Universrty,
USA
sit www. inderscience.com
:-
-r,
-
.., Iran-sI'er and Commercialisation
(...
http;//www.inderscience.com/browse/index.php?journallD=29&yea...
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lnternational Journal of
Technology Transfer and
Commercial isation (IJTTC)
irr ii*li;,:ir.
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it;-:
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.'r,., i 1".:rr.!!jj :r,,.ri,:i-i:r
r
VolumeT-lesuel -2908
Spe*iallssue on LeSatr Sap Analy*ls,
Phohias and Ye*hno Leaps
Gtxst €ditor. $ylvia M. Kierkegaard
Table of Contents
Pages
1
14
-
Title and authors
llgjryg}tishes *n the pond: a
wake-un callfor China in the
context of manaqernent of
qqrreleq.gtIlY!s,
ShaliniKesar
DOI: 1 0. 1 504/l JTTC. 2008. 01 8799
a nqw-feggigbrv Lnstitution in the
rvat i;e d_&
lesotli$ U-o]qC$o ryS
uutts!rySLs_qaq,e--ff "$gsre€ti]
Atip Latifulhayat
DOI: 10 1504i1JTTC.2008 018800
34
"
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20'10 Vol.9 lt&:. 4
> 201C Vol.$ No. 3
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Ar4,
inr. J. Technology Transfer and Commercialisation, VoL7, No, 1, 2008
l5
The independent regulatory body: a new regulatory
institution in the privatised telecommunications
industry (the case of lndonesia)
Atip Latifulhayat
Padjadjaran University Law School
Bandung, Indonesia
E-mail: [email protected]
Abstraet: Privatisation has led to the reorganisatioa
of the
governrnent
institutions involved in the telecornmunications sector. More specifically, it has
moved the telecommunications structure from governmenfbased supply to
markerbased supply. One of the important consequences of this is that the
govemment's involvement in the sector has focused more on its role as a
policymaker. The govemment's involvement in detailed management of the
telecommunications operation may create negative impacts in the competitive
market. The establishment of an independent regulatory body has been
essential in changing the regulatory mechanism from a political to a
professional orientation.
Keywords: telecornmunications; independent; privatisation; regulation;
Indonesia.
Reference to this paper should be made as follows: Latifirlhayat, A. (2008)
'The independent regulatory body: a new regulatory irnstitution in the privatised
telecommunications industry (the case of Indonesia)', Int- J. Technology
Transfer and Commercialisation, Vol. 7, No. 1, pp,15-33.
Biographical notes: Atip Latiftrlhayar
is a
Lecturer
at the
Padjadjaran
Univeisity Law Schftrl, B:indung, lndonesia.
I Introduction
In the classic Posl Telegraph and Telephone (PfT) model of telecommunicatious
supply, state control was carried out through direct ownership in State-Owned Enterprises
(SOEs). More specifically, a sector ministry typically perforrned policy, ownership,
and regulatory functions (the tripartite role) (Colin, 1996). In the last two decades,
however, ttre wisdom of relying on regulated public monopolies for the provision of
telecommunications services was increasingly put into question. The first and arguably
most important reason was that the performance of those operaton proved disappointing.
various studies demonstrated that publicly owfled companies, in general, tended to be
less efficient than private ones, and that telerommunications markets open to competition
tended to perform much better than those which were not (Galal et al., 1994).r
t'opl,right O 2008 lnderscience Entcrprises Ltd
?,
7-i
'.?!
:.*:
mpe of the Journal
-- : = ':-.--: .i:rnei that provides an authoritative saurce of information
*" r . '-: ,, ::;: atd technology transfer and diffusion, as well as
--: - ": .: . - .-: .: a:ed disciplines.
.
r"*
---
-
-
: - -:: :. g,nal papers; review papers;
n -. j
case sfudles; conference
'=: r 1s and news; book reviews and notes. Commentaries on
- -'
-,.r:
::'-- --- _- -: :-J,,shed in IJTTC are encouraged. Authors will have the
. *. - - -, .::::-J io the commentary on their work before the entire treatment
--.r "= -- -: :=- = ssres devoted to important topics in technology transfer and
'" - - - : .:- - :-: related topics, will be published occasionally.
-
-
-:.-:
---: :-:ransfer
:':::--:;gi'transfer
:':- :: ard implementation
- :- .'it--aiogytransfer
- - - : : : -::-.:sintechnologyand
'
1
-l::
:-:':'
- :-:':, r -r,- --
I
Technoloov Tronsfer
o nd Comllierc io I i soti on
-s :itechnology licensing
-
:
:-:repreneurship and
-:':"
-
-
-
rv
'^'^'r
lrYr
investment in
3:C competitiOn
: - - -=-r, ::oiection: rights,
: : - ;i:: crs and agreements
r -" : ,:-: -r cf intellectual property
:. : --: :;. transferand
. " -. 1- :':' rechanismS and
. - -,-'-"?.iransmittingand
l* - .'.--.
::- iransferandconversion
-. :-:_: aiechnologysources
T .- - --, -: -:ra-firm iicensed
ff
www. inderscience-com/ijttc
1r^6 +ransfer
rn university-indusiry-
-:-:-:'
i.
.;
r J- -:- _ _::rative research
r' : :. _::.eration patterns: R&D
:
= =: :-al strategic alliances
".- - --- . ::: t3i:ons of technology
n - : ::::.- ::ed nsks
visit www. inderscience.com
:= t"'')e Editorial Board
Prof. Elie Geisler
lllinois lnstitute of Technology,
USA
Prof. Luke Georghiou
University of Manchester,
UK
Prof. P.K. Jain
lndian lnstrtute of Technology,
lndia
Dr. Sylvia Mercado Kierkegaard
lnlernational Association of IT Lawyers,
Denmark
Dr. Anatole F. Krattiger
Cornell University,
USA
Dr. Vimal Kumar
:'','a-agement,
Ministry of Science and Technology,
lndia
Ms. Dan Liang
UNIDO, VIC,
Austria
Dr. Tapan Munroe
Munroe Consuliing. lnc,
USA
Bela L. Musits
High Peaks Venture Partners,
'.'
:lagement lnstitute,
USA
Prof. Lynn K. Mytelka
France
:l
Prof. Robert Premus
Wright-State University Rike Hall,
USA
--
:._r,-:,-..
Prof. John Van Maanen
MIT,
USA
=
r
e!'er
'-- lremische
vi
Technologie (lCT),
Prof. John M. Vernon
Duke Universrty,
USA
sit www. inderscience.com
:-
-r,
-
.., Iran-sI'er and Commercialisation
(...
http;//www.inderscience.com/browse/index.php?journallD=29&yea...
.,-t'-l*--._
SGIEHCE
PUBLISHEES
'#u6tisfrtig'
i
,,
$".%
q
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L*gitl tr
ffiindssd€rpe.com
r-3:tSi{ERS OF BISTt*,!eUl$HrB AffApE*,qte, ss{frN?lFlc ANn PR*Fr$$lsNAL.,SURf.iAL$
lnternational Journal of
Technology Transfer and
Commercial isation (IJTTC)
irr ii*li;,:ir.
! r
it;-:
:lrI
.'r,., i 1".:rr.!!jj :r,,.ri,:i-i:r
r
VolumeT-lesuel -2908
Spe*iallssue on LeSatr Sap Analy*ls,
Phohias and Ye*hno Leaps
Gtxst €ditor. $ylvia M. Kierkegaard
Table of Contents
Pages
1
14
-
Title and authors
llgjryg}tishes *n the pond: a
wake-un callfor China in the
context of manaqernent of
qqrreleq.gtIlY!s,
ShaliniKesar
DOI: 1 0. 1 504/l JTTC. 2008. 01 8799
a nqw-feggigbrv Lnstitution in the
rvat i;e d_&
lesotli$ U-o]qC$o ryS
uutts!rySLs_qaq,e--ff "$gsre€ti]
Atip Latifulhayat
DOI: 10 1504i1JTTC.2008 018800
34
"
a3
20'10 Vol.9 lt&:. 4
> 201C Vol.$ No. 3
) 2010 Vot.$ Nc. 112
> 2CI09 Vol.8 l.lo. 4
>l
2009 Vol.8 l'.1o. 213
2009 Vol.8lS. 1
))
2**S
.
qn -laYtrgrE*c-ry$
-rl,flail.j-'i iC 2t-l0t
11;:1i;1;5
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D*l: i'J
t'.''.; -
, ffi
€B
gep
i! JS, k,-i [ -idyi, : +, : :, t"t
::,j
Farthcoming Papers
Latest TOC
Tercris_q{dsis-s-lLel$qrryi9Sse
!-eqnffj-osiqls
'1.i,
>>
Brovvse Recent bsues:
15-33 T@vbPdv.
nr
> Objectives
> Readership
> Contents
> Subject Coverage
> Editorial Board
> Specific l'lotes for Authors
> Sample issue
i
i
j:*j
. 'r: - .: '.. r - - -'r.ji:.-1 l'i l:a"--: i
X-Y&i": !P,g:-toq! iar autorylqi3;.
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. iA :ti1;: i .t;:' .ateafieilili
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..
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,, -!99
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>>
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"
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{ r,r
t*i,
4
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r/-i.
,
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ff eei4
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IES*e,4lna#mfu'
at^1.
i-"td-iEl
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i;+ {t\t*"|!t..t
4r
ll7l20l19:22
Ar4,
inr. J. Technology Transfer and Commercialisation, VoL7, No, 1, 2008
l5
The independent regulatory body: a new regulatory
institution in the privatised telecommunications
industry (the case of lndonesia)
Atip Latifulhayat
Padjadjaran University Law School
Bandung, Indonesia
E-mail: [email protected]
Abstraet: Privatisation has led to the reorganisatioa
of the
governrnent
institutions involved in the telecornmunications sector. More specifically, it has
moved the telecommunications structure from governmenfbased supply to
markerbased supply. One of the important consequences of this is that the
govemment's involvement in the sector has focused more on its role as a
policymaker. The govemment's involvement in detailed management of the
telecommunications operation may create negative impacts in the competitive
market. The establishment of an independent regulatory body has been
essential in changing the regulatory mechanism from a political to a
professional orientation.
Keywords: telecornmunications; independent; privatisation; regulation;
Indonesia.
Reference to this paper should be made as follows: Latifirlhayat, A. (2008)
'The independent regulatory body: a new regulatory irnstitution in the privatised
telecommunications industry (the case of Indonesia)', Int- J. Technology
Transfer and Commercialisation, Vol. 7, No. 1, pp,15-33.
Biographical notes: Atip Latiftrlhayar
is a
Lecturer
at the
Padjadjaran
Univeisity Law Schftrl, B:indung, lndonesia.
I Introduction
In the classic Posl Telegraph and Telephone (PfT) model of telecommunicatious
supply, state control was carried out through direct ownership in State-Owned Enterprises
(SOEs). More specifically, a sector ministry typically perforrned policy, ownership,
and regulatory functions (the tripartite role) (Colin, 1996). In the last two decades,
however, ttre wisdom of relying on regulated public monopolies for the provision of
telecommunications services was increasingly put into question. The first and arguably
most important reason was that the performance of those operaton proved disappointing.
various studies demonstrated that publicly owfled companies, in general, tended to be
less efficient than private ones, and that telerommunications markets open to competition
tended to perform much better than those which were not (Galal et al., 1994).r
t'opl,right O 2008 lnderscience Entcrprises Ltd