Between a rock and a hard place: assessing the application of domestic policy and South Africa's commitments under the WTO'S Basic Telecommunications Agreement

Abstract

South Africa adopted the GATS Basic Agreement on Telecommunications and the regulatory principles in 1998. Obligations undertaken by South Africa mirrored the framework for the gradual telecommunications reform process that was begun in 1996. In the light of two threatened actions for anti-competitive practices in violation of the Agreement, this paper reviews the nature of the commitments undertaken by South Africa and assesses the country's compliance to date. This paper also seeks to explore the tension that arises between domestic policy reforms and international trade aspirations. It is argued that the dynamic produced through this tension affords domestic governments a mechanism with which to balance the seemingly opposing goals of competition and development. It is further argued that the broad regulatory principles, adopted by all signatories and often criticized for lack of precision, facilitate this fine balancing and affords domestic governments an opportunity to advance sovereign concerns while pursuing international trade ideals.