21 August 2020

PRESS RELEASE

URCA issues Statement of Results and Final Decision titled “Framework for the Establishment of Internet Exchange Points (“IXPs”) in The Bahamas (ECS 11/2020)

Today, the Utilities Regulation and Competition Authority (“URCA”) issues this Statement of Results and Final Decision on a regulatory framework for the market entry of Internet Exchange Points in The Bahamas. Commonly called an IXP or an IX, an Internet Exchange Point is the technical point, infrastructure or facilities through which Internet Service Providers (“ISPs”) and content distributors/aggregators connect with one another to peer and exchange data traffic. Currently, there are no IXPs in The Bahamas and local ISPs route locally destined data traffic between their networks through an intermediary switching facility in Miami and back.

On 2 May 2019, URCA issued a Consultation on the Framework for the Establishment of Internet Exchange Points in The Bahamas (ECS 27/2019). The Consultation was motivated by the Government’s desire to actively promote the buildout of IXPs in the Commonwealth of The Bahamas. More specifically, the document outlined URCA’s preliminary views on the regulatory steps required to stimulate the introduction of IXP technology in The Bahamas and invited written responses from all interested parties. Through the public consultation process URCA sought to:

• promote public awareness of the contributions IXPs can make to the development of the Internet and digital economy in The Bahamas;
• alert ISPs and other potential users of URCA’s regulatory framework for the entry of IXPs in the Bahamian market; and
• ensure the regulatory framework proposed by URCA is favorable for IXPs to operate successfully in The Bahamas.

In particular, the formation of local IXPs is vital to the development of The Bahamas’ digital space and economy. One of the Government’s priorities, as articulated in the ECS Policy 2020-2023 is to leverage the full potential of the Internet to drive digital entrepreneurship and transformation in the public and private sectors. In particular, the presence of IXPs in The Bahamas would help to catalyse the initiatives that enable the Internet and digital transformation in the ECS Policy 2020-3023. These initiatives include:

• Government’s plan to create a Tech Hub in Grand Bahama and digital transformation in the delivery of essential public services; and
• the buildout of data centres which can facilitate and enhance the development of a smart, connected and sustainable Bahamas.

In this Statement of Results, URCA summarizes and responds to the substantive arguments presented by all respondents.  Publication of this Statement of Results and Final Decision represents the first milestone in laying the foundation for the introduction of IXP technology in The Bahamas. URCA is satisfied that the IXP licensing regime and other measures for promoting an IX buildout in The Bahamas are consistent with the principle of light-touch regulation and the statutory framework of relevant Bahamian law. Further, it provides regulatory certainty for companies seeking to introduce IXPs in The Bahamas.

Copies of the Statement of Results and Final Decision and responses received may be downloaded here

MEDIA CONTACT:

Mavis Johnson-Collie

Corporate and Consumer Relations Manager

Utilities Regulation and Competition Authority

Telephone: (242) 396-5201

Facsimile: (242) 393-0153

Email: mjcollie@urcabahamas.bs Website: www.urcabahamas.bs