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THE changes to the Government's telecommunications policy should lower the cost of doing business, improve communication and open up new possibilities for entrepreneurs and job creation.

This is the view of the Cape Town Regional Chamber of Commerce and Industry which has long campaigned against high Telkom prices for local calls and other services. "We are confident that the new regulations will be a boost for the call centre industry and many new jobs will be created," said Mr Louis Steenkamp, President of the Chamber.

The Cape Town time zone is close to that of the European countries and this gives the country a decided advantage over competitors like India. In addition South Africans have the required language skills and relatively neutral accents.

In countries where voice communication has been permitted on the internet, the cost of calls has come down and many have introduced free local calls. This could happen in South Africa, too, as real competition comes into the telecommunications sector.
In South Africa Telkom prices and other restrictions have been a barrier to electronic communication and, as a result, the infrastructure has been underused. "Opening up the telecommunications industry will inevitably lead to innovation and there will be new and productive uses of the various networks. This should generate more business for Telkom as it begins lowering prices," Mr Steenkamp said.

The result would be more cost-effective communication for business and this should enhance competitiveness in the global economy.