Telco law amendments to include independent dispute resolution framework
TODAY file photo
SINGAPORE — If you are tearing your hair out over incorrect bills sent out by your phone company, or constantly frustrated over service failures, there may soon be another avenue for you to turn to resolve gripes against telcos.
The setting up of an independent dispute resolution framework for the telecommunication and media industries is among the proposed amendments to the Telecommunications Act (TA) that the Ministry of Communications and Information (MCI) has put up for public consultation.
Other proposed amendments include requiring property owners to make rooftop space available rent-free for telecommunication providers to deploy infrastructure. The maximum compoundable fine for offences, such as cable cuts and unlicensed sale of telecom equipment, will also be increased to S$10,000 — up from the present S$5,000.
Under the proposed changes to the TA and the Media Development Authority of Singapore (MDA) Act, the Infocomm Development Authority (IDA) and MDA will be allowed to appoint independent bodies to direct specific telcos or media service providers to participate in the scheme.
The Alternative Dispute Resolution (ADR) scheme — meant to be cheaper and quicker than lodging a complaint with the Small Claims Tribunal — will cover complaints that are contractual and individualised in nature. These include billing issues, dissatisfaction over customer care or service levels, and requests for compensation.
The IDA receives more than 300 such complaints each year, and the figure has remained stable for the last three years.
Last year, the MDA received about 40 complaints relating to pay-TV.
Currently, consumers can seek recourse from the authorities or ADR channels such as the Consumers Association of Singapore (Case).
Case handled 168 complaints involving the telco sector last year, down from 261 in 2014 and 257 in 2013.
In these situations, Case may help consumers draft letters or approach service providers on their behalf.
However, the authorities can neither dictate the remedies and corrective actions that service providers must offer to consumers, nor enforce their implementation.
For a start, the proposed scheme will be available to residential or individual retail customers, but it may be expanded to include businesses.
“Business end-users generally have greater bargaining power and hence, most disputes would be resolved amicably between the affected business end-users and the relevant service providers,” said the MCI on Friday.
Each successful mediation will lead to a binding agreement between the consumers and service providers. Otherwise, the consumer can take the case to the courts or the Small Claims Tribunal.
Case executive director Seah Seng Choon said the ADR platform will “put some urgency” on the telcos to resolve their disputes with consumers readily, before a third party steps in.
However, if parties reach a deadlock during the process of direct negotiation, consumers should be given the right to initiate a mediation session at any approved dispute resolution centre immediately, he said.
“Consumer confidence will be enhanced as they know that they could seek assistance through a mediation centre in which the telcos will be required to participate. Currently, mediation is voluntary and in many cases, telcos refuse to participate in mediation. Consumers will then have to find some other time-consuming and costly way to resolve their disputes with the telcos,” said Mr Seah.
For the scheme to take off, he said there should be a timeline set for telcos to participate in mediation, in order that an agreement can be reached promptly.
Mr Clement Teo, principal analyst at market research firm Ovum, said the scheme should be the “main channel” through which disputes are resolved through legal means.
“There must be a clear commitment from all parties, including the regulators, to protect the consumers’ rights,” he added.
StarHub subscriber Adeline Ng said the scheme will push the telcos to respond to complaints more promptly. The 50-year-old administrative executive said she had encountered spotty network conditions for the past one year.
Singtel user Yew Wei Hong, 24, said a dedicated platform is helpful, but felt more should also be done to make all the terms explicit at the time parties enter into a contract, to prevent future disputes.
ADR practices are common in communications sectors overseas, such as in the United Kingdom, Hong Kong and Australia. A similar scheme has also been put in place for the financial industry here, to handle disputes between consumers and financial institutions, such as banks and insurance companies, for claims of up to specified amounts.
Industry practitioners and the public can now offer their feedback on the proposed amendments until noon on Aug 24.
