Driving Performance at Peru's Telecommunications Regulator

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As “market referees”, regulators contribute to the delivery of essential public utilities. Their organisational culture, behaviour and governance are important factors in how regulators, and the sectors they oversee, perform. This report uses the OECD Performance Assessment Framework for Economic Regulators (PAFER) to assess both the internal and external governance of Peru's Supervisory Agency for Private Investment in Telecommunications (OSIPTEL). The review acknowledges OSIPTEL's achievements and good practices, analyses the key drivers of its performance, and proposes an integrated reform package to help the regulator prepare for the future.

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Economic regulators should play an important role as impartial referees to guarantee the predictability and certainty of regulatory regimes – crucial features for attracting investment. Their job is inherently a complex one, requiring neutral engagement with a variety of actors, including government, citizens and consumers, and operators. The model of independent economic regulation, based on strong technical capacity, transparency, autonomy and constructive engagement with stakeholders, can help, tackle this complex landscape. Moreover, independent regulators can provide certainty to markets and society during periods of external instability. Regulators need to be correctly equipped, however, to carry out these fundamental tasks and stay abreast of market evolutions.

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