IVOR POWELL, Johannesburg | Friday 11.00am.
THE controversial third cellular licensing process was thrown into jeopardy this week as embattled councillors from the South African Telecommunications Regulatory Authority failed to reach a consensus to rubber-stamp its earlier decision to recommend the Cell C consortium.
In this week’s meetings, two of the five councillors who earlier reached a “unanimous” decision to recommend the Saudi-backed consortium for the lucrative licence expressed serious reservations with both the procedures leading to the decision and the reasons for the award.
Only three councillors held firm. Meanwhile, as the temperature around the cellular licensing process continues to rise, the Mail & Guardian has learned that Minister of Posts, Telecommunications and Broadcasting Ivy Matsepe-Casaburri called on Wednesday for urgent clarification of a series of questions around the Satra decision.
Her request could lead to a delay in the announcing of the winner of the licence, scheduled to be made on Friday. Matsepe-Casaburri is required by the Broadcasting Act to make the final appointment on the basis of Satra’s recommendation. As minister she will also be held accountable in the case of possible court actions contesting the award.
The M&G understands the scandal surrounding the licensing process was raised in the Cabinet this week as having a deleterious effect on foreign in- vestment. This followed a meeting between Matsepe-Casaburri and President Thabo Mbeki, during which the minister was enjoined to sort the matter out as cleanly and quickly as possible. The meeting followed the submission to Mbeki and Matsepe-Casaburri of a National Intelligence Agency report on the probity of the licensing process.
The report, commissioned at top level in the National Intelligence Agency, is reportedly critical of both the process and the basis on which the decision to recommend Cell C was made.
Satra sources confirmed the Satra council itself split this week when two councillors registered reservations about the Cell C decision. The council was meeting to review its provisional recommendation in the light of submissions made by disappointed bidders, and on the basis of possible legal action that could result. The second-guessing this week comes amid mounting controversy over Satra’s choice of Cell C for the licence – against the advice of external consultants employed, as well as from Satra’s own expert staff committees.