We oppose treating the telecommunications sector as a means to impose indirect tax on Lebanon’s residents. We instead call for and work towards a sector that provides essential services and serves as a cornerstone of economic development and freedom of expression. To this day, successive governments and ministers of telecommunications have approached the sector as a cash cow, prioritizing personal gains while burdening the population under the harshest conditions, including the economic crisis, the COVID-19 pandemic, as well as the recent war and its aftermath.
The telecommunications sector has suffered from years of mismanagement, where responsibility is passed around without accountability. Meanwhile, efforts are focused on dubious deals lacking oversight and transparency mechanisms and without any regard to official monitoring bodies, such as the Court of Audit, the Public Procurement Authority, and public opinion, including the press, civil society organizations, and experts. For example, the Court of Audit documented that the telecommunications sector generated around $17 billion in revenue between 2010 and 2020. Of this amount, $11 billion was transferred to the public treasury, while $6 billion was allocated for operational and capital expenses – funds that were largely funneled into the pockets of privileged individuals. In recent years, numerous attempts have been made to introduce new services, many of which were blocked by official and unofficial regulatory bodies. This has resulted in a stagnation of the sector’s development.
This manifesto aims to offer a fresh approach for the future by engaging in collective dialogue about the telecommunications sector in Lebanon, which we believe is a fundamental pillar for social and economic development. This vision can only be realized through a modern telecommunications law and sound governance that promotes transparency, accountability, innovation, and digital security. The manifesto outlines some perspectives and ideas that could form part of the Ministry of Telecommunications’ new strategy and action plan, and we stand ready to offer our support and assistance if needed.
Legislation and Regulations
Telecommunications Law No. 431/2002: The sector cannot be developed without a contemporary telecommunications law that keeps pace with the rapid global developments. Updating Law No. 431, enacted approximately 23 years ago but never fully implemented, is critical to creating a transformative legislative foundation for the telecommunications industry in Lebanon.
Telecommunications Regulatory Authority (TRA): The TRA must be activated and granted the necessary independence to play a pivotal role in the sector’s development and oversight for the benefit of society and users.
Governance of the Telecommunications Sector in Lebanon: Establishing a robust governance framework, particularly for the mobile sector, is essential. This will clarify responsibilities among stakeholders managing these companies and strengthen principles of transparency, openness, equity, and accountability.
Productivity of Telecom Operators: Sound productivity foundations will enhance the expertise of workers in the telecommunications sector and create new job opportunities for young people.
Planning and Development
Five-Year Plan: Develop a five-year plan to advance the sector, including network upgrades to ensure consistent quality across all Lebanese territories. The plan should also focus on enhancing services, particularly digital ones, and prioritize innovation as a strategic pillar to support the growth of small and medium enterprises (SMEs) and startups.
Investment Environment: Cultivating a favorable investment environment and fostering partnerships with the private sector will allow various productive sectors to leverage modern telecom networks, developing the market, promoting rapid growth, and expanding the national economy, particularly in the digital domain.
Collaboration with the Private Sector: Maintaining and developing essential services within the operational capabilities of companies and regulatory bodies is crucial, as it is a key factor in determining the market value of state-owned telecom companies. Public-private partnerships for delivering telecom network services must prioritize meeting the needs of users based on societal, market, and economic considerations.
Access to Telecommunications Services and Community Empowerment
Pricing: Setting fixed prices for telecommunications service in line with residents’ purchasing power is crucial for ensuring equitable access to telecom networks across all segments of society. Providing tailored plans and packages can empower individuals to develop their professional expertise, skills, and experiences, thereby facilitating productive communication with the global digital landscape and contributing to the growth and development of the local digital economy.
Financial Inclusion: The telecommunications sector should play a key role in advancing financial inclusion in Lebanon.
Billing System Reform: Reforms to the billing system should include usage-based pricing (per second rather than per minute) and extending the validity of prepaid lines to at least three months as an initial phase. These basic measures will increase network usage and enable low-income individuals to benefit from essential services.
Remote Work: Offering internet packages and services tailored to the needs of remote workers can enhance flexibility, reduce migration, and increase income, thereby contributing to a higher gross domestic product (GDP).
Privacy and Personal Data: Lebanon’s legal and technical framework for protecting data and privacy remains weak and ineffective. Law No. 81/2018 on Electronic Transactions and Personal Data must be implemented and updated, and a comprehensive privacy law should be enacted to align with rapid advancements in the digital world.
This manifesto serves as a roadmap for developing Lebanon’s telecommunications sector and positioning it on the global stage as a hub for innovation and digital development in the region and beyond.
This manifesto was prepared by: Wassim Mansour, Telecommunication Expert and Former General Manager of Touch Operator, and Mohamed Najem, Executive Director of SMEX.
