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[Thai Economics Library | Archives| Currency Crisis 2007| Entrepreneurs]
February 02, 2009

ICTministry

ICT ministry, a rudderless ship adrift
Competent minister needed

By Jon Fernquest

CAT buildingA computer specialist as ICT minister would be the natural choice, right? 

Shouldn't a minister be competent enough to deal with specialised issues and technicalities in their ministry?

Isn't this always possible?

Unfortunately, democracy is a very imperfect mechanism.

Compromises are made to form a coalition government after elections.

Including some utterly incompetent and corrupt ministers is usually the price paid to form the coalition.  

Smaller political parties can emerge out of nowhere and still be absolutely essential in forming coalitions

Elected officials have recently been declared ineligible to hold office by courts after election rule violations.

The wives and family members of the disqualified politicians were chosen to serve in their place, even if they do not have the skill set to perform the job. 

The result is sometimes perplexing.

Like the current ICT minister in today's article, Ranongrak Suwanchawee, who had a long successful career in nursing but no solid background in ICT, the ministry she guides.      

A democratically elected MP might distribute favours in their local constituency and yet be clueless when it comes to policy of national importance. 

This is perhaps the moral of today's story.

(Photo on right of CAT headquarters on the Chaophraya River)

competent - able to do a job correctly, efficiently, and effectively
specialised - specially trained in a particular narrow area of knowledge
technicalities - small details (that require specialised knowledge)
compromises - giving up some things you want to make other people happy and reach an agreement
a coalition - groups joined together to form a larger group
a coalition government -
a government created by joining the elected representatives from several political parties
utterly incompetent - really, really do not know what they are doing
forming coalitions - gathering together the members of the coalition
declared ineligible - officially said that they could not be considered for the position 
hold office - be a government official for a period of time
disqualified - found to be not qualified (was qualified in the past, no longer qualified)
perplexing - confusing (makes you think a lot about why this is true)
Ranongrak Suwanchawee - the current ICT minister, former nurse (See background)
solid background - has a lot of experience in the past in this area or field
distribute favours -  give people things or services that they want or need to make them happy
constituency -  the local group of people who elect an MP to parliament
clueless - not know what they are doing
the moral of a story - the lesson a story gives the reader

Here is the article in full:


TELECOMMUNICATIONS

STILL ON HOLD

Telecom industry awaits direction while ICT minister's attention is occupied elsewhere
By: Komsan Tortermvasana
2/02/2009

Hopes were high when the government of Prime Minister Abhisit Vejjajiva delivered its policy statement to the Parliament on Dec 30 and ministers began to announce their goals.

But when it came time for Ranongrak Suwanchawee to set the direction for telecommunications policy, she declared that her first priority would be censorship of the internet.

She told top officials of the Information and Communication Technology (ICT) ministry that their duty was to ferret out and block websites that officials believe carry insults to the monarchy.

Not a word about any broad strategy for technological development, regulatory and concession reform, multi-billion-baht investment or other issues of strategic importance to Thailand's ICT industry.

ICT - Information and Communications Technologies, the topic of computer-based information systems, particularly software applications and computer hardware (See Wikipedia)
Ranongrak Suwanchawee - the current ICT minister (See background)
telecommunications - telephone and other forms of long-distance electronic communication 
a rudder - the small board used to steer a boat, in back of the boat
a rudderless ship -
a ship without a rudder, that cannot be steered
adrift -
moving without direction
delivered its policy statement -
when the head of a newly elected government gives a speech about what they hope to achieve
censorship of the internet - officially examine content on web pages and cut out what the government does not like
content - the writing, pictures, video, and other media in an article or writing
ferret out - look for things difficult to find
block websites - prevent the public from viewing websites
a broad strategy - the overall way things work, not looking at the details
a concession - permission from the government to run a business (here telecommunications) 
reform - improve

Appointment to high office, a time to take a rest?

"Don't ask me much," the former nurse told journalists on her first day in office.

"Often press conference will leave me with nothing to say. I don't have any special policy, but would like all agencies under the ministry to continue working as usual.

She pledged to hold another news conference after making the rounds of all the agencies under her care, including the state telecom enterprises TOT and CAT Telecom.

Reform of CAT and TOT cannot wait

A month has passed and there's been no sign of the minister dropping by TOT or CAT for a chat.

The two state telecoms are in failing financial health as they attempt to wean themselves off fat concession revenues and leverage their potential strengths and nationwide reach to become more competitive businesses.

Certainly the nearly four years of political drift have also not helped their financial or strategic condition.

a press conference - a meeting held to report official company or government information to reporters and the media
dropping by for a chat -
visit someone to talk with them (informally, leisurely, not planned, almost accidentally)
TOT - a Thai state-owned telecommunications company. Originally established in 1954 and corporatized in 2002, TOT used to be known as the Telephone Organization of Thailand and TOT Corporation Public Company Limited. TOT's main line of business is fixed line telephony, although it has several other businesses, including mobile telephony. (See Wikipedia)
CAT Telecom - CAT Telecom Public Company Limited is the Thai state-owned telecommunications company that owns Thailand’s international telecommunications infrastructure including its international gateways, satellite and submarine cable networks connections. Until recently, CAT had a monopoly on international telephony and CDMA mobile telephony. CAT partners with sister state-enterprise TOT to provide a GSM mobile service and with Hutchison to provide a CDMA mobile service. Corporatized in July 2003, CAT Telecom used to be known as the Communications Authority of Thailand (See Wikipedia)
wean off of X -  slowly and gradually stop someone from doing something (like slowing stopping a baby getting milk from his or her mother)
a concession - official permission from the government to do a business
fat concession revenues -
large income from giving official government permission to do a business
leverage - a small force producing great results (See  glossary)
leverage potential strengths - use the strengths you have, for greatest benefit (in the best possible way they can be used)

CAT still has no clear direction, admitted one executive, citing several megaprojects that it needs to implement even as business opportunities slip away.

The telecom executive noted that by tradition, when a new government takes office, the old board is replaced or certain directors removed so that the people in charge would speak the same language as the government.

But in the absence of clear instructions from the latest minister, endorsement of budgets or significant decision-making is impossible, he said.

implement - put a plan into action
business opportunities - situations where a successful business can be built and a profit made
X slips away - X is lost
by tradition - what people have done in the past
in charge - the people controlling a situation, the people who have the authority to make decisions, the managers 
so that the people in charge would speak the same language as the government - so that the lower level decision makers are working together with the government on its policy
in the absence of clear instructions - if they are told what to do in a simple way
endorsement - official approval (See glossary)
endorsement of budgets - officially approve the budget

TOT and CAT: Big agencies with many employees that appear to do nothing...

CAT now is without a president as the last one resigned over an alleged conflict of interest. Important strategic decisions are on hold, such as the nationwide CDMA network and an upgrade to 3G service, and as many as 10 other ventures.

CAT has already sold 42% share in Thai Mobile to TOT to handle the 3G service but has rejected a proposal to give up its right to the 3G frequency on 1900 MHz.

This has frustrated TOT, which has to waste at least six months to comply with the various regulations of the National Telecommunications Commission.

TOT wanted Thai Mobile to become a network provider so that it could lease the 3G network to mobile operators to operate prior to NTC granting 3G licences on a new frequency.

A source said that a stronger and more engaged ICT minister would have addressed issues such as this, co-ordinating with the Finance Ministry, as a major shareholder, to order CAT to abdicate its right so that TOT could start the 3G project immediately. "But this has not been seen yet and no action has been taken by the new ICT minister."

alleged - claimed but not yet proven
conflict of interest -
when your personal interests conflict with your duty to the public in your job
on hold - delayed, waiting
decisions are on hold -
decisions are delayed and waiting to be made  
CDMA  - a mobile phone communications protocol widely used in the United States, higher capacity than GSM and better for multimedia (See Wikipedia on Code division multiple access (CDMA))
3G - third generation mobile phone,  the next level of mobile phone services beyond the current second generation (2G), supports broadband internet, supports greater numbers of voice and data customers especially in urban areas (See Wikipedia on 3G)
comply with regulations - follow the rules
National Telecommunications Commission (NTC) - the first independent state telecommunications regulator in Thailand, regulates all telecommunications services, formulates a master plan, sets criteria and categories of telecommunications services, permits and regulates the use of spectrum for telecommunications services and grants licenses to telecommunications operators (See website and policy)
engaged - actively involved in what you are doing
a more engaged ICT minister -
an ICT minister who is actively involved in what he or she is doing
abdicate its right - give up its right, no longer asking for something that is legally yours

TOT also faces uncertainties about the future of its board, thus delaying its decision on three megaprojects: the IP Core network worth 4.7 billion baht, the one-million-port broadband project worth 3.6 billion baht, and the 3G project worth 29 billion baht.

3G is highly significant to the financial future of TOT, but it has run into various political storms and now needs a powerful minister to press TOT's case in the new government.

Private mobile operators - AIS, DTAC and True Move - are all prepared to start offering 3G services, and hope that delays by TOT will not be prolonged.

Another challenge for the government is the amended frequency management bill, which will combine the NTC and the National Broadcasting Commission to a single national regulator called the National Broadcasting and Telecommunications Commission.

The amendment was submitted to Parliament during the previous government but was criticised for a lack of public participation. The former ICT minister withdrew the bill for review.The bill is now pending submission to Parliament by the new minister.

IP (Internet Protocol) -  the computer network technology that makes the internet possible (See Wikipedia)
IP address - an address or location on the internet, the IP system of naming locations on the internet
core - central, the most important part 
one-million-port broadband network - a high-speed internet with 1 million entry points
run into various political storms - politics caused big problems...
prolonged delays - waiting a very long time, even longer than expected 
amended frequency management bill - the law on managing frequencies that was changed
National Telecommunications Commission (NTC)  - the independent government agency that makes policy and regulations for telephones in Thailand
National Broadcasting Commission (NBC) - the independent government agency that makes policy and regulations for television and radio broadcasts in Thailand
National Broadcasting and Telecommunications Commission (NBTC) - the future government agency that will combine NTC and NBC
criticised for a lack of public participation - they it was bad that the public could not look at the suggested law and give their opinion
withdrew the bill for review - the law was being looked at by parliament but now is not
pending submission to Parliament - waiting to be given to parliament for debate and passage into law

(Source: Bangkok Post, business, 02-02-09, TELECOMMUNICATIONS STILL ON HOLD, Komsan Tortermvasana, 2/02/2009, link)

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