Telkom case against Icasa set for mid-April

Telkom’s court challenge to the telecommunications industry regulator’s spectrum auction will be heard in mid-April, risking yet another delay in opening SA’s airwaves and the rollout of 5G technology. 

The partially state-owned telecom company filed an application earlier this month asking the high court to review and set aside the Independent Communications Authority of SA’s (Icasa’s) plan to issue new spectrum via an auction that had been slated for March, citing a number of flaws in the proposal. 

The invitation to apply (ITA) document, which Icasa finalised in December, sets out how mobile operators will bid for the airwaves through which data is transmitted.

An acting judge president said on Tuesday that Part B of Telkom’s application to review the Icasa’s decision to publish the ITA has been set down for hearing from April 11-14.

“As indicated by parties at the meeting with the Acting Judge President, the regulator, a respondent in this application, would now be expected to carefully consider the prudence of proceeding with the auction, mindful that the outcome of the hearing of Part B of Telkom’s application may have a material impact on the process and outcomes of the auction,” Telkom said. 

Telkom said in late January it had reached an agreement with all the respondents cited in its court action on the need to speed up the hearing for Part B of Telkom’s two-part application, after Telkom agreed to remove Part A of its application from the court roll.

Part A had sought to have the court urgently suspend the ITA while the court deliberates on Part B of the application, which focuses on the merits of Telkom’s arguments against the ITA published on December 10 2021.

Despite having dropped this part of its case, the date of the hearing in April could force Icasa to delay the auction until the case is heard, as the outcome may have implications for the issuance regardless. 

Telkom had proposed that Part B be heard on March 1-4.

Telkom’s court action has been met with fierce opposition from MTN and Vodacom, as well as communications minister Khumbudzo Ntshavheni, who had filed papers to stop the fixed-line operator’s application as fears grew that the legal challenge would ultimately delay the auction. 

“Telkom is pleased with the co-operation from the parties in reaching agreement on expediting the court process to finalise the hearing of the merits of Telkom’s arguments against the ITA and the process leading up to it being issued,” the company said. 

gavazam@businesslive.co.za