However, the President of ED submitted a motion to withdraw the Policy Letter after a provisional decision was published by Jersey’s regulator (JCRA), in which it said it was minded not to approve the acquisition.
A final decision has not been published yet.
“In view of this, and having reflected carefully on the matter, the Committee is aware that further discussions are ongoing between the merging parties and the JCRA,” said Deputy Neil Inder. “The outcome of these discussions is not known but there is a possibility of a revised application being submitted.”
“In view of this and to avoid wasted debate, if the merging parties decide to no longer pursue the transaction, the Committee concluded that it would be prudent to defer the States consideration of this matter. This is why we have submitted the motion to withdraw this policy letter for the time being.”
Pictured: President of Economic Development, Deputy Neil Inder.
He went on to say the situation leads neatly on to a wider discussion about whether Guernsey really needs two regulators.
“One thing I would add, however, is that if there was a single Channel Islands regulator – as there was for many years, until 2019 – then we wouldn’t be in this position, and we would not have regulated entities once again having to go through two regulatory processes in respect of the same matter.
“So, just as we are being asked to accept that our markets are not big enough for three telcos, we must also note that our markets are not big enough for two regulators.
“With that in mind, in the second half of this year the Committee will review the role and remit of the regulator and the opportunity to revert to a Channel Island regulatory model.”
During general debate on the motion Deputy De Lisle decided to vent his disapproval with the Policy Letter itself, despite being told repeatedly that his comment should relate specifically to the motion to withdraw.
“I support the Policy Letter being withdrawn with haste, and I wouldn’t like to see it come back again in any format,” he said.
“Dealing outside the law is inviting monopoly powers and immediately questions the seriousness of intent and opens the department to criticism of pandering to the corporations.
“I emphatically support the withdrawal and hope that’s the end of it.”
35 deputies voted to withdraw the Policy Letter, with only Deputy Peter Roffey voting against the motion. Deputy Al Brouard abstained, because he doesn’t like the idea of Guernsey pandering to the Jersey regulator.
Deputy Simon Fairclough did not vote and deputies Jonathan Le Tocq and Lester Queripel were absent.
Deputy Inder said he was fairly certain that his Committee will be back with a new Policy Letter later this year, after a final decision has been made by the JCRA.