WORLD TRADE GATS/SC/39/Suppl.2
11April 1997
ORGANIZATION(97-1400)
Trade inServices
HONG KONG
Schedule ofSpecific Commitments
Supplement 2
(This isauthentic inEnglish only)
_______________
Thistextsupplements theentries relating totheTelecommunication services section contained
onpage11ofdocument GATS/SC/39.GATS/SC/39/Suppl.2
Page2HONG KONG -SCHEDULE OFSPECIFIC COMMITMENTS
Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional Commitments
COMMUNICATIONS
SERVICES
2.C. Telecommunications
Services
I. Local services
(a) Voice services
(b) Packet-switched data
transmission services
(c) Circuit-switched data
transmission services
(f) Facsimile services
(g) Private leased circuit
services
(o) Others
Mobile services
-mobile radio
telephone services
including Cellular and
Personal
Communications
Services
-mobile dataservices
-radio paging services(1) None
(2) None
(3) None other thanthefollowing:
-Chubb Electronics (HK) Ltdhas
theexclusive right forproviding a
firealarm transmission system for
relaying firealarm signals between
FireServices Department
(government) andpublic buildings;
-Four licences forlocal fixed
network services were issued in
1995. New licences willnotbe
considered before June 1998.
Whether more licences willbe
issued thereafter issubject to
review in1998.
(4) Unbound except forintra-corporate
transfer ofgeneral managers, senior
managers andspecialists assetoutin
theAttachment toGATS/SC/39.(1) None
(2) None
(3) None
(4) UnboundAdditional commitments on
regulatory principles (Details
atAnnex)GATS/SC/39/Suppl.2
Page3Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional Commitments
II. International services
(a) Voice services (resale
based only)
(b) Packet-switched data
transmission services
(resale based only)
(c) Circuit-switched data
transmission services
(resale based only)
(f) Facsimile services (resale
based only)
(o) Others
-Callback services or
alternative calling
procedures (resale
based only)(1) None other than:
-Public external telephone service1is
notallowed;
-Forself-provision ofexternal
satellite circuits, connection tothe
public-switched telephone network
(PSTN) attheHong Kong endmay
berestricted;
-Forvirtual private network service,
connection tothePSTN atthe
Hong Kong endmayberestricted;
-Formobile satellite service,
gateway station formobile satellite
traffic isnotallowed.
(2) None(1) None
(2) None
1"External telephone services" onlyinclude person toperson voice communications withplaces outside Hong Kong.GATS/SC/39/Suppl.2
Page4Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional Commitments
-Selfprovision of
external satellite
circuits
foracompany ifthe
messages originated
from orreceived at
theHong Kong end
areintended forthe
company, itsholding,
subsidiary or
affiliated companies;
or
foranorganization if
themessages
originated from or
received attheHong
Kong endare
intended forthe
common business or
activities ofthe
organization(3) None other than:
-Public external telephone service1is
notallowed;
-Forself-provision ofexternal
satellite circuits, connection tothe
PSTN attheHong Kong endmay
berestricted;
-Forvirtual private network service,
connection tothePSTN atthe
Hong Kong endmayberestricted;
-Formobile satellite service,
gateway station formobile satellite
traffic isnotallowed.
(4) Unbound except forintra-corporate
transfer ofgeneral managers, senior
managers andspecialists assetoutin
theAttachment toGATS/SC/39.(3) None
(4) Unbound
-Virtual private
network service
(resale based only)
-Mobile satellite
service
1"External telephone services" onlyinclude person toperson voice communications withplaces outside Hong Kong.GATS/SC/39/Suppl.2
Page5
Annex
Additional Commitments onRegulatory Principles
Scope
Thefollowing aredefinitions andprinciples ontheregulatory framework forbasictelecommunications
services.
Definitions
Users mean service consumers andservice suppliers.
Essential facilities mean facilities ofapublic telecommunications transport network orservice that
(a) areexclusively orpredominantly provided byasingle orlimited number ofsuppliers;
and
(b) cannot feasibly beeconomically ortechnically substituted inorder toprovide aservice.
Amajor supplier isasupplier which hastheability tomaterially affect theterms ofparticipation (having
regard toprice andsupply) intherelevant market forbasic telecommunications services asaresult
of:
(a) control overessential facilities; or
(b) useofitsposition inthemarket.
1. Competitive safeguards
1.1 Prevention ofanti-competitive practices intelecommunications
Appropriate measures shallbemaintained forthepurpose ofpreventing suppliers who, alone
ortogether, areamajor supplier from engaging inorcontinuing anti-competitive practices.
1.2 Safeguards
Theanti-competitive practices referred toabove shallinclude inparticular:
(a) engaging inanti-competitive cross-subsidization;
(b) using information obtained from competitors withanti-competitive results; and
(c) notmaking available toother services suppliers onatimely basistechnical information
about essential facilities andcommercially relevant information which arenecessary
forthem toprovide services.
2. Interconnection
2.1 Thissection applies tolinking withsuppliers providing public telecommunications transport
networks orservices inorder toallow theusers ofonesupplier tocommunicate withusers ofanother
supplierandtoaccessservicesprovidedbyanothersupplier,wherespecificcommitmentsareundertaken.GATS/SC/39/Suppl.2
Page6
2.2 Interconnection tobeensured
Interconnection withamajor supplier willbeensured atanytechnically feasible point inthe
network. Such interconnection isprovided:
(a) under non-discriminatory terms, conditions (including technical standards and
specifications) andratesandofaquality nolessfavourable thanthatprovided forits
ownlikeservices orforlikeservices ofnon-affiliated service suppliers orforits
subsidiaries orother affiliates;
(b) inatimely fashion, onterms, conditions (including technical standards and
specifications) andcost-oriented ratesthataretransparent, reasonable, having regard
toeconomic feasibility, andsufficiently unbundled sothatthesupplier neednotpay
fornetwork components orfacilities thatitdoesnotrequire fortheservice tobe
provided; and
(c) upon request, atpoints inaddition tothenetwork termination points offered tothe
majority ofusers, subject tocharges thatreflect thecostofconstruction ofnecessary
additional facilities.
2.3 Public availability oftheprocedures forinterconnection negotiations
Theproceduresapplicableforinterconnectiontoamajorsupplierwillbemadepubliclyavailable.
2.4 Transparency ofinterconnection arrangements
Itisensured thatamajor supplier willmake publicly available either itsinterconnection
agreements orareference interconnection offer.
2.5 Interconnection: dispute settlement
Aservice supplier requesting interconnection withamajor supplier willhaverecourse, either:
(a) atanytime; or
(b) afterareasonable period oftimewhich hasbeenmade publicly known
toanindependent domestic body, which maybearegulator asreferred toinparagraph 5below, to
resolvedisputesregardingappropriateterms,conditionsandratesforinterconnectionwithinareasonable
period oftime, totheextent thatthese havenotbeenestablished previously.
3. Universal service
Hong Kong hastherighttodefine thekindofuniversal service obligation itwishes tomaintain.
Such obligations willnotberegarded asanti-competitive perse,provided theyareadministered in
atransparent, non-discriminatory andcompetitively neutral manner andarenotmore burdensome than
necessary forthekindofuniversal service defined byHong Kong.GATS/SC/39/Suppl.2
Page7
4. Public availability oflicensing criteria
Where alicence isrequired, thefollowing willbemade publicly available:
(a) allthelicensing criteria andtheperiod oftimenormally required toreach adecision
concerning anapplication foralicence; and
(b) theterms andconditions ofindividual licences.
Thereasons forthedenial ofalicence willbemade known totheapplicant upon request.
5. Independent regulators
Theregulator isseparate from, andnotaccountable to,anysupplier ofbasictelecommunications
services. Thedecisions ofandtheprocedures usedbyregulators shallbeimpartial withrespect to
allmarket participants.
6. Allocation anduseofscarce resources
Anyprocedures fortheallocation anduseofscarce resources, including frequencies, numbers
andrightsofway,willbecarriedoutinanobjective,timely,transparentandnon-discriminatorymanner.
Thecurrent stateofallocated frequency bands willbemade publicly available, butdetailed identification
offrequencies allocated forspecific government usesisnotrequired.