DOI: 10.14457/tu.the.2014.144
title: The proposed legal framework for liberalization of Thai postal service

description: ABSTRACTThis research aimed to explore the legal evolution concerning the postal regulation in Thailand, factors affecting the change, and legal limitations, as well as relevant laws of postal regulation in Thailand comparing to those in overseas.  Postal related laws in Thailand were compared against those in selected countries including UK, USA, SWEDEN and JAPAN.  Trends in the operation of postal business in overseas was examined.  The investigation and analysis focused on legal problems on postal regulation; type, power and duty, and composition of Thai postal commission; concepts and theories of the establishment of independent agency; including recommendations for appropriate postal business regulation and model.  Documentary study was conducted on relevant statutes in the forms of act, royal decree, announcements of various ministries and departments, including research, books, texts, articles, study reports, statistics, theses, documents of other forms, the internet and other data sources.  Results revealed that the establishment of postal business was generally aimed at providing public services, maintaining security of state, peace and order as well as social morality.  Originally, postal business was set up as a government agency, i.e. a ministry or a department. However, this form of postal business had created a delay in operation, overlapping procedures, and the lack of business flow.  Thailand had adopted this form in the beginning under the state operation by the Post and Telegraph Department under the Postal Act. Later in 1997, the Communication Authority of Thailand was established as a state enterprise, and assigned to provide service of all operating segments as well as postal services from the Post and Telegraph Department. The Post and Telegraph Department was later on responsible for formulating policy and plan.  In 1997, the government had developed the master plan for postal development and the National Economic and Social Development Plan, introducing the transformation of state enterprise into private company.  Accordingly, the Communication authority of Thailand was separated into 2 companies, i.e. CAT Telecom Public Company Limited and Thailand Post Public Company Limited.  Up until now, the government have focused on the development of and regulating the telecommunication business. However, there is no independent agency to regulate and oversee the postal operation. Rather, there is only the Postal Commission.  At present, postal business is found to be under control of the state authority.  With the increase in advanced technologies, e–commerce business and electronic post, this has resulted in the decline of the letter delivery business. On the other hand, certain demand in some postal business such as logistic has created certain competition such as the transport business. Moreover, there is a need to reduce the government workload. As a result, there is a need to revise the laws that will enable free trade, allow independent operation, and promote fair competition. Postal business is thus affected by such legal revision.  The author can conclude that there are 2 important problems, i.e. economic problem and legal structure problem. The comparison of postal development in overseas indicated that the history of postal establishment and development in most of the foreign countries under study was similar to that of Thailand, however those countries tend to develop and direct towards liberalization.  The key issues of postal development is to reduce state monopoly, establish independent agency as regulating agency separated from service operator, set up licensing system allowing for private operators, provide criteria for regulating  service quality, and specify the qualification of postal commission in their knowledge and expertise on postal operation that will benefit postal business development. Based on the analysis result, recommendations were provided.  In order to support smooth postal business operation, promote neutrality, reduce power overlapping, and to encourage the private sector’s engagement in postal service competition, Thailand Post and the government should reorganize regulating agency as an independent agency and revise the authority of the postal commission, including its structure and qualification of commission members to facilitate the effectiveness of postal operation.  In doing this, the power and duty of independent agency can be identified in similar to those of foreign countries. The power of service operator with legal benefit should be reduced, i.e. Thailand Post, the sole operator.  Legal framework should be redefined to reduce the monopoly in postal business and stimulate the liberalization.