July 2000

Algeria Update Memo

The following memo outlines new developments in the past three months and the state of on-going developments.

1. Introduction and Summary

The information society in the country has been developing slowly for the last few years. There are eighteen Internet Service Providers (two years ago, there was only one ISP); and there is an expected liberalisation of the telecommunications sector (which is the backbone of the information society (IS) and which is still under state monopoly). The various players of the IS are aware of the urgent need of new measures, bills and regulation regarding the development of the IS. The fast technological, social and economical changes are fostering the need to undertake a new reform in this sector.

2. Information Society Policy

2.1. Historical Overview and General Legislation

The historical overview of setting the necessary infrastructures that take part in the information society development deals mainly with telecommunication and information regulations. They can be represented chronologically by these following orders, laws and quoted decrees:

Deregulation 
concerning the 
telephone service 
providers

• The order n° 75-89 of December 3, 1975 defines the code of post and telecommunications: the first part of it presents legislative aspects and the second part deals with regulation.
• Decree n°83-71 of January 8, 1983 which sets the attributions of the Post and Telecommunication Ministry.
• Decree n° 83-73 of January 8, 1983 establishes the number and functions of the technical counsellors assigned to the Ministry of Post & Telecommunications.
• Decree n° 85-06 of March 16, 1985 deals with the creation of the Research Center on Scientific and Technical Information or CERIST supplier of the Internet services.
• The law n° 90-07 of the 3rd April 1990 on the information field.
• Ministerial decree n° 98-82 of February 25, 1998 dealing with the creation of the Center of Studies and Research on telecommunication or ‘CERT ' within the administration of Post and Telecommunications.
• Ministerial decree n° 98-256 completing the order n°75-89 of December 3, 1975 on the code of Post & Telecommunications.
• Ministerial decree n°98-257 of August 25, 1998 defining conditions and appropriate modes for setting and operating Internet services.

Only people of Algerian nationality are allowed to assure Internet services for commercial purposes. The applications must be addressed to the Minister of Telecommunications setting out details about proposed services and mode of access. A technical study will specify the architecture, facilities, software, partners as well as modes of connection. The users of foreign provider services are submitted to these same conditions. The license of exploitation is given for indeterminate period (Art. 4, 5 and 8 of the ministerial decree n° 98-257 of August 25, 1998 defining conditions and appropriate modes for using and operating Internet services).

The Ministry of Post and Telecommunications defines the development policy of the sector of telecommunications and proposes all relative codification and regulation. As regards planning, it is in charge of studying necessary measures to develop new orientations on the national policies thus in order to implement new techniques on the subject (Art. 5, 8 and 9 of the decree n° 83-71 of January 8, 1983 which defines attributions of the P&T Ministry).

The Ministry follows and controls the activity of the private companies exercising in the sector, proposes technical regulation of security, participates in the establishment of security standards and promotes the standardisation of products of the sector (Art. 13, 14 and 17 of the decree n° 83-71 of January 8, 1983 fixing assignments of the P&T Ministry).

No installation of telecommunication can be established without the Ministry of Post and Telecommunication agreement; the establishment of links outside of the state network is subordinated to the previous authorisation (Art. 39 and 40 of the P&T code, legislative part).

The radio-electric stations that are out of the administration scope may take part in public telecommunication services (Art. 475 of the P&T code, regulation part).

2.2. Umbrella Policies and National IS Strategy

2.2.1 Liberalisation

In spite of the state monopoly over the telecommunication sector, the decree n°98-326 of October, 13^th 1998 more or less opened the way for privatisation through the creation of "multi-service kiosks", i.e. private business premises, managed by private operators and equipped with telephone and fax sets supplying public telephony services. The communications are taxed to users according to the tariffs applicable to the public post offices and are charged to the kiosk managers according to the subscription tariffs.

Liberalisation status

Infrastructures

Monopoly

2.2.2 Licensing

A permanent inter-ministerial commission has been set up and is in charge of examining licence demands and of formulating recommendations in matter of service development and in other matters related to this subject. A representative of the Minister of Telecommunications heads the Commission (Art. 15 and 16 of the ministerial decree n° 98-257 of August 25, 1998 defining conditions and appropriate modes for using and operating Internet services).

2.2.3 Quality of Service

The RELEA (Algerian network of laboratories of tests and analysis of Quality) was created by the decree 96-355 of October, 19^th 1996. This institution has in charge all works of study, search and consultation in order to protect, inform the consumers and improve the products quality. It is composed of many laboratories commanded by different ministries amongst which the ministry of Posts and Telecommunications which can consult the RELEA for telecom issues.

2.2.4 Interconnection

Individuals or companies can exploit telecommunication lines or networks intended for special transmissions regarding a convention specifying the goal, the object and the length of concession (Art. 390 of the code of Post and Telecommunication: regulation part).

2.3. Government and Administration (national, regional, local)

The Algerian Parliament is bicameral: there are the National People’s Assembly (APN) and the Council of the Nation (second chamber). The fundamental function of the Parliament is to vote laws and bills entered by the members of parliament. In addition it controls all the actions of the executive, that is, the President, the Prime Minister and the members of the government. In fact, the first step towards privatisation goes back to the year 1988 when a new Constitution was drafted, following political and economical unrest, along with new legislation in the years to come. At regional and local levels, however, the Wilaya stands at the head of smaller areas ('Daira' and 'Commune').

2.4. Telecommunications and Internet

2.4.1 Telecommunications:

Since 1975, the telecommunication sector has been under the monopoly of the Ministry of Post and Telecommunications (PTT). By Telecommunication, one means: all transmission, broadcast or signs reception, signals, writings, pictures, voices or information of all nature, by wire, optic, radio-electricity or other electromagnetic system (Art. 1 and 38 of the Post and Telecommunication code, orders n° 75-89 of December 3, 1975, legislative part).

The Ministry of Post and Telecommunications is in charge of promoting and co-ordinating a program of research in matter of telecommunication (Art. 18 of the decree n° 83-71 of January 8, 1983 with assignments of the Post and Telecommunication Ministry).

The telephonic, telegraphic, pneumatic lines or signals of "private interest" may be constructed for the exclusive needs of the license-holder (Art. 375 of the Post and Telecommunication code regulation part).

The leased lines may be constructed and defined as follows: The leased line can be used to join two or several premises for the exploitation of data services. It can be used for conversation exchange, signals relating to interests of data services. The leased lines are subdivided in normal telegraphic and telephonic ones and in leased links to particular features. The linkage of the leased lines to the general network is intended, exclusively, to data services (Art. 1, 2 and 3 of the modifying ministerial decree n° 98-256 articles 359, 360 and 369 of the Post and Telecommunication code, regulation part).

Following the privatisation program launched two years ago, different sectors are to be liberalised soon. The telecommunication sector is expected to undergo important changes and a project law is underway to reform the present code of P&T opening the field to private companies.

The TDA (Tele-Diffusion of Algeria), created by the decree n°91-98 of April, 20^th 1991, exclusively ensures the diffusion and the transmission of the programs of the sound broadcasting and television in Algeria and towards foreign countries.

It also works out the technical plans of frequencies distribution in the allocated band frequencies according to conventions 
and specialised international conferences as well as to the decisions of the Information High Council.

2.4.2 Internet

The Internet entered the national arena in 1991 by the Algerian Association of the UNIX users. In 1993, the CERIST (a public research centre), via Dial Up, became the unique Internet service provider in the country. In 1995, even still limited, a possible access for a larger public was introduced. In 1998 the government decided to open the competition between other providers and approved their activities under the ministerial decree n# 98-257. In 1999, Internet exploitation was opened to private operators. By March 2000, there were 18 ISPs including EEPAD, GECOS, Ornet, BMG International, Imitiage technologies, Djazair.com, Icosnet, TDA, Procom International, Info Net, Compas, Microcom, Servnet, CETIC, WONT

In the beginning of June 2000, during the council of ministers, the discussions about more flexibility in both telecommunication and Internet sectors were high on the agenda. The President emphasised the urgent reforms along with technological development in these sectors for a better economic situation.

2.5. Education and Research

Two years ago, the Ministry of Higher Education and Scientific Research legislated the bill n# 98-11 on scientific research and technological development. The major aims of this bill are to define the basic principals for the promotion of the scientific research and the technological development as well as the measures and the means to be set for more actual actions. The bill has indeed as prior targets:

• To reinforce the scientific and technological background in the country
• To put together the necessary means for the development of scientific research
• To develop national information and telecommunication systems as well as information and computing technologies, and communication strategies.

2.6. Healthcare

Health Documentation National Agency (ANDS) is a public company under the leadership of the Ministry of Health, was created on the 14^th October 1995 by the decree n#95-319. It offers a wide range of services and publications that deal with populations and health. It has also an online access to its database which lists the available publications of different editors in addition to an access to some medical encyclopaedias and offers the possibility of subscription. As far as the IS is concerned, the ANDS is involved in many projects. For instance, the network that gathers together a lot of medical/health institutions such as hospitals and health administrations.

2.7. Competition

Even though state monopoly is overwhelming, competition is more or less open between the Internet service providers, in particular, as stated below.

2.8. Copyright, intellectual property rights

• A national office of authors rights (ONDA) has been created by ordinance n°73-46 of July, 25^th 1973 which registers Algerian intellectual works and ensures the protection of the moral and material interests of intellectual works producers.
• The ordinance n°97-10 of March, 6^th 1997 relative to the Copyright is to protect scientific and technical research works as well as software and other computing programs.
• INAPI (National institute for industrial property) created in February 21^st 1998 by the decree n° 98-68 works out the national policy on industrial property and ensures the protection of moral rights of inventors.

2.9. Privacy, data protection, consumer protection

The law 303 of the penal code (see Art. 47 and 48 of the Post and Telecommunication code: legislative part) punishes all violation of secret correspondence trusted to the service of telecommunication.

The confidence of conversations through shared lines is assured (Art. 311 of the Post and Telecommunication code: regulation part).

The Internet provider is submitted to some duties. He must keep confidential the private life information of his subscribers and submit all project of use of any encryption systems. He must assume the responsibility of the content of the Web sites and data servers that he develops and that he hosts. He must assure a constant watch of the accessible server content to his subscribers (Art. 14 of the ministerial decree n° 98-257 of August 25, 1998 defining conditions and appropriate modes for using and operating Internet services).

2.10. Security

The distribution of broadcast and radio-electric frequency use is submitted to the authorisation of the Information High Council (Art. 56 of the law n° 90-07, 3 April 1990 relative to information).

2.11. Freedom of expression and information

The Information High Council is an independent authority of regulation which is in charge of specifying appropriate modes in order to establish freedom of expression and information rights. It stays up the diffusion and the distribution of the written, spoken, and audio-visual information through the country.

The access to information is free. The media public sector ensures an equal access to the free opinion and expression. The edition of all periodic publication is free (Art. 2, 3, 10, 14 and 53 of the law n 90-07, 3 April 1990 related to information).

On January 1999, the first private information agency (Algerian Information Agency) has been created in addition to the sole public one (Algerian Press Service: APS).

2.12.Others

2.12.1 Tariffs policy

2.12.1.1 Conventional Telephony:

The Minister of Post and Telecommunication, after talks, proceeds to the establishment of the tariff and regulation policy. (Art. 10 of the decree n° 83-71 of January 8, 1983, defining attributions of the Post and Telecommunication Ministry).

The inter-city calls of newspapers and press agencies are of a special tariff. The royalties for usage right can be reduced favouring public service (Art. 18, 28, 32, 300 and 381 of the Post and Telecommunication code: regulation part). The maintenance inclusive royalties of private lines are fore payable. Some royalties asked by townships for using facilities due to the contractors (Art. 423 and 419 of the Post and Telecommunication code: regulation part).

2.12.1.2 Mobile telephony:

Access tariffs to the public mobile radiotelephonic services are fixed by the decree n° 98-327 of October, 13^th 1998. On the other hand the tariffs of access to the GSM represent in fact twice the tariffs of the NMT system. This factor is not in favour of a massive use of the new GSM system.

2.12.1.3 Internet services:

Following the deregulation concerning ISP (decree n° 99-257 of August 25^th 1998) private providers were granted agreements from the Ministry of Posts and Telecommunications for the exploitation of Internet services. This has led to a decrease in tariffs of connection.

2.12.1.4 Media:

An audio-visual production (public) company will be created by the year 2000 according to the daily national newspaper 'Le Jeune Indepandent' n# 393 of 17^th August 1999. This company will be open to public and private capitals. It will take in charge the production of audio-visual programs inherited from three former audio-visual companies: ENPA, ANAF, CAAIC.

3. Institutions and Organisations in charge of IS regulation

3.1. Ministries

The order n° 75-89 of December 30, 1975 creates the code of Posts and Telecommunications. The Decree n° 83-71 of 8 January 1983 sets the assignments of the Ministry of Posts and Telecommunications. The latter assures the implementation, in a concerted setting, of the national policies in matter of telecommunication and looks after their application. The Ministry is in charge of preparing studies and necessary measures for the application of the monopoly in matter of telecommunications. It is in charge, as well, of the realisation and the coherent use of different radio-electric networks (Art. 1 to 4 of the decree n° 83-71 of January 8, 1983 which sets the assignments of the P&T Ministry).

Under the Minister's authority, attended by a "General Secretary", the central administration includes a general inspection, five general directorates of which the general directorate of telecommunication and an agency accountant of the budget. The general direction of telecommunication is in charge of managing telecommunication monopoly, looking after its respect and proposing general policies on the subject. It is, as well, in charge of developing and managing general network according to specific technical standardisation that it establishes. It is in charge of the research in the matter.

The general direction of telecommunication includes four directions dealing respectively with studies, transmissions, the commutation and the exploitation (Art.1, 8, 9 setting organisation of the central administration of the telecommunication Ministry).

The Minister of Post and Telecommunication is endowed with four technical councillors dealing with consultations, technical studies and specific tasks. Their domains of intervention are the economic and financial study relations, the links with international organisms, the studies on legislation, regulation, legal analysis, the preventive security questions and the specific questions in matter of telecommunication (decree n° 83-73 of January 8, 1983 setting the number and functions of the technical councilors for the Ministry of Post and Telecommunication).

The "CERT" a Research Centre on Telecommunications, has been created in 1998 (Ministerial decree n° 98-82 of February 25, 1998 related to the creation of a research Centre on telecommunication "CERT") and placed under the authority of the Post and Telecommunication Minister. The missions of the Centre are programs of studies and researches for the modernisation of the telecommunication national network, by introducing new technology, conceiving prototypes of equipment and material and setting new methods of development. It updates the validity of technologies in conformity to the national and international norms.

3.2. National regulatory authorities

As already mentioned (see paragraph 2.3) the Algerian Parliament is bicameral: there are the National People’s Assembly (APN) and the Council of the Nation (second chamber).

3.3. Office for the protection of economic competition

As far as protection is concerned, the ordinance n° 95-06 of January, 25^th 1995 defines the arrangement and the promotion of a free competition as well as the laws of its protection. It is applied to the production and distribution of services including those of public persons and associations. It is also applied to all contacts, agreements or conventions which aim is the carrying out of production and-or distribution activities and ownership. This ordinance stipulates the creation of a council in charge of the promotion and the protection of competition. This council plays also an advisory role (Art. 19).

3.4. Consultative councils

The decree n° 96-106 created the Privatisation Council in March, 11^th 1996. This council is in charge of elaborating the privatisation program in addition to its advisory role. Though the telecommunication sector was not concerned by privatisation until 1998, the ongoing changes in that sector are paving the way to this council to interfere in its regulatory aspects.

The Audio-visual National Council (CNAV), created by the decree n° 90-218 of July, 21^st 1990, is an advisory council which proposes to the Prime Minister legislative and regulatory texts and projects that might rule all the activities related to audio-visual production, broadcasting, distribution and exploitation.

The TDA (Algeria Broadcasting), created by the decree n°91-98 of April, 20^th 1991, which role is to ensures the diffusion and the transmission of the programs of the sound broadcasting and television in Algeria and towards foreign countries, also plays a consultative role in the participation in:

• The setting up of the state industrial policy concerning the audio-visual communication techniques,
• The elaboration of the state policy concerning diffusion, manufacturing, distribution and installation of audio-visual communication services.

3.5. Bodies in charge of RTD policy

• The DCR (Research Co-ordination Directorate) is the official body in charge of the co-ordination of the research at a national level. It launches the calls for proposals and validates the different national research programs.
• CERIST, created under the decree n# 85-56 of March 16^th, 1985, is a public research centre. In the decree it is clearly stipulated that in addition to its role in the development of a national scientific and technical information system, the CERIST is allowed to study and propose the regulatory measures for the development of the scientific and technical information. It is also endowed with the right to propose the appropriate measures to ensure a balanced dissemination and flow of the scientific and technical information nation-wide.

4. International relationships and agreements

• A Radio-electric Service is in charge of the relations with the international committee of registration of the UIT frequencies (Art. 11 of the decree n° 83-72 of January 8, 1983 dealing with organisation of the central administration of the Ministry of Post and Telecommunications).

• A convention dealing with the creation of the satellite telecommunication Arab organisation (ARABSAT) was ratified on February, 17^th 1987 by the decree n° 87-46. This convention is in fact the outcome of a common will of Arab countries for the creation of an Arab telecommunication network by satellite and using a satellite at the service of many sectors like communication, information, culture and teaching.
• August, 9^th 1998 was the date of the signature of a draft agreement by the ministries of finances and posts and telecommunications respectively and dealing with the creation of an inter-banking network which will offer to the Algerian banking community a specific and rapid network where the transactions are secured. The posts and telecommunications administration is to provide the necessary infrastructures of the project, and eight regional centres, which serve 43 other centres, are scattered over different regions to cover all the country.

5. Standards

The IANOR is the official institution in charge of standardisation created by the decree n° 98-69 of February 21st 1998. It undertakes and ensures the elaboration and development of Algerian standards, the adoption of trade marks with conformity to the Algerian standards and labels of quality, and it delivers the authorisations to use the trade marks and labels and control their use within the framework of the legislation in force. It is also charged to apply the agreements and international conventions concerning standardisation for which Algeria is adherent.