ESIS Extension / Albania / IS Promotional Activities / Update Memo 3

During the last quarter (October - December 1999), because of some unexpected changes in the Albanian government, the focus of developing information society has been slightly diverted. In October 1999, Albania has undergone two partial elections of two main leading parties, the Socialist Party and the Democratic Party. All the people were interested in the elections’ results. From these elections, the Chairman of Democratic Party, Mr. S. Berisha was reelected while Mr. F. Nano of the Socialist Party was elected, after his resignation from this post a year ago. Under these conditions, the Prime Minister, Mr. Majko, who lost in the election for the Chairman of the Socialist Party, resigned from his post of Prime Minister. His action resulted in the election of a new government in November 1999, in which Mr. I. Meta, former deputy Prime Minister in Majko Cabinet, was elected the Prime Minister.

However, the non-governmental institutions have continued their work in their fields of interest. Notably, December 1999 was full of activities, both for governmental and non-governmental structures, such as organization of seminars, exhibitions, fairs, national conference, inauguration of the new telecomm branch, and so on.

2.1 The Internet Program of the SOROS Foundation (Open Society for Albania), in cooperation with INIMA and the Polytechnic University of Tirana, organized during 12-14 December 1999 the third national conference on "@net-internet and technologies of the end of the century". The conference was attended by IT professionals, public administrators, professors, and industrialists. The aim of this conference was to discuss the current situation of the internet system in Albania, as well as to come into some recommendations and concrete plans for the future. Mr. V.Spahiu, member of the TRE board, domain administrator in Albania and the member of the ESIS Project steering committee, in his speech, made also a short presentation of the ESIS project in order to attract as many IS projects as possible.

2.2 The AMC, the only operator in Mobile phony in Albania has launched 20-day period of reducing mobile phone prices, from December 6 to December 28, in order to increase the number of subscribers. It will of course facilitate the development of communication system all over the country. AMC, being a monopoly company in Albania, has charged very high prices for mobile phones. So, only the richest people are able to pay for mobile phones. It was an opportunity for others to buy mobile phones with cheaper prices.

2.3 The development of Albtelecom strategy for the development of telephony through an optic fiber out of Albania. It is important to mention the new agreement of Albtelecom with Montenegro Telecom in August 1999 for the project of optic fiber transmission in a distance of 16 km from Shkodra to Murriqan. In December the Albtelecom finished the work for extending the cable up to the Yugoslavia border. It is expected to be made the same thing with the Macedonia Telecom during 2001. This will facilitate the communication with other countries and will decrease the costs of services.

2.4 In December 29, 1999 the extension of the existing telecom central, which will double the capacity of transit telephonic central for urban and interurban links, was inaugurated. Participants in that event include the President, and Prime Minister, up to General Director of Albtelecom, IT professionals, and other experts. Through this project, the cooperation channels increased by 20.000, substantially improving the telephony service, as well as developing the new central, according to the telecom development strategy. The extension of the main central capacity creates the possibilities for interconnections in the liberalized market, as well as the possibilities for cooperating with the mobile phone company, AMC.

2.5 The objectives of "Alba Post", as well as the up to date achievements in 1999, were announced in a press release in Tirana on December 15, 1999. Alba Post is the only postal company in Albania, which is trying to have access in new postal services, as well as to improve the existing ones. During 1999 it has concluded the reconstruction of the Post buildings in many districts of Albania, as well as has started the process of computerizing the services there. The main objectives of Alba Post are to computerize the postal services in general, especially the EMS, facing the competition and market liberalization, as well as establishing a Post Bank. It will be able to extend the electronic transfers, as well as will improve the quality of existing services.

Since July 1999 it has been published an open invitation of expression for participation in the AMC privatization process through an open bid. After six months the Ministry of Public Economy and Privatization with the consultant of IMI Italian company published the 5 possible companies which are competing to buy the AMC. They are: "Turcell"; "Mobil Austria" "Telecom Italia"; "Telenor International" and "Panapfon Greece". They are expected to come in Albania and make a "due to intelligence" analysis. During March 2000 the privatization of AMC is expected to be concluded.

Please note that this report has been prepared under the sole responsibility of the ESIS II contractors.
It does not necessarily reflect the views of the Commission, nor does the Commission accept responsibility for the accuracy or completeness of information contained herein.
The ESIS Team of contractors welcomes any additional information or corrections.