The independent regulatory body: a new regulatory institution in the privatised telecommunications industry (the case of Indonesia)

Abstract

Privatisation has led to the reorganisation of the government institutions involved in the telecommunications sector. More specifically, it has moved the telecommunications structure from government-based supply to market-based supply. One of the important consequences of this is that the government's involvement in the sector has focused more on its role as a policymaker. The government's involvement in detailed management of the telecommunications operation may create negative impacts in the competitive market. The establishment of an independent regulatory body has been essential in changing the regulatory mechanism from a political to a professional orientation.