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The Politics of Regulation

The Politics of Regulation

Institutions and Regulatory Reforms for the Age of Governance

The CRC Series on Competition, Regulation and Development

Edited by Jacint Jordana and David Levi-Faur

This book suggests that the scope and breadth of regulatory reforms since the mid-1980s and particularly during the 1990s, are so striking that they necessitate a reappraisal of current approaches to the study of the politics of regulation. The authors call for the adoption of different and fresh perspectives to examine this area.

Chapter 11: Divergent Convergence: Structures and Functions of National Regulatory Authorities in the Telecommunications Sector

Marc Tenbu_cken and Volker Schneider

Subjects: politics and public policy, public policy, regulation and governance, social policy and sociology, economics of social policy


Marc Tenbücken and Volker Schneider1 1. INTRODUCTION Starting with developments in the USA at the end of the 1970s, the wave of liberalization and privatization spread globally to the telecommunications sector of almost all nations one by one. The pressures evoked by the phenomenon of globalization forced different states to carry out extensive institutional reforms to position themselves favourably to face growing international competition (Berger and Dore, 1996; Hall, 1992; Strange, 1996). At the beginning of the twenty-first century formerly closed markets are now opened for private contractors, state monopolies have been dismantled, and public telecommunications companies have been partially or completely privatized. However, parallel to liberalization and privatization developments, we detect a global trend towards ‘reregulation’ (Vogel, 1996).2 In the course of the paradigmatic change from the positive to the regulative state, most countries have established national regulatory authorities (NRAs). These are equipped with their own regulatory responsibilities, resources and, in organizational terms, are detached from ministries and thus not subject to the direct influence of politicians or government officials (Doern and Wilks, 1996; Gilardi, 2002; Levy and Spiller, 1996; Majone, 1997; Thatcher, 2002a, 2002b, among others). The main task of the NRAs is to control the market power of the former state monopolists and provide for fair competition in the liberalized infrastructural sectors. Thus far, in over 100 countries NRAs have taken responsibility for the regulation of the telecommunications sector (cf. LeviFaur, 2003, 23). This entails, for example, various tasks concerning interconnection disputes, unbundling of the...

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