Distribution of HK telephone cards allowed in Guangdong province under CEPA
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     The Office of the Telecommunications Authority (OFTA), the Ministry of Industry and Information Technology (MIIT) and the Guangdong Communications Administration (GCA) signed a memorandum of understanding (MoU) on the Mainland and Hong Kong Closer Economic Partnership Arrangement (CEPA) in Beijing on September 21 to allow Hong Kong Service Suppliers (HKSS) to distribute fixed/mobile telephone cards in  Guangdong province (for use in Hong Kong only).

     "We are pleased to see the implementation of the liberalisation measure which will take effect from October 1.  We believe the measure will help local service providers expand their business into the Mainland and better serve their customers there," the spokesman for OFTA said today (September 23).

     "Under the MoU, HKSS will have to notify separately GCA and OFTA to distribute telephone cards in Guangdong province, after they acquire the HKSS certificate from the Trade and Industry Department of the Hong Kong Special Administrative Region (HKSAR) Government. They may operate on their own or appoint agents in the Guangdong province to distribute the telephone cards," the spokesman said.

     "All the telephone cards to be distributed will be stored-value telephone cards or SIM cards issued by local fixed and mobile operators. These cards can be used to make local and external calls in Hong Kong only," he said.  

     "Interested parties may refer to the relevant guidelines issued by OFTA and GCA. The documents have been posted on OFTA website (http://www.ofta.gov.hk/en/report-paper-guide/guidance-notes/gn_200911.pdf and http://www.ofta.gov.hk/en/tips/cepa_guide.pdf) today," the spokesman said.

Background:

     The HKSAR Government and the Central People's Government agreed on May 9 on further services liberalisation and trade co-operation under the CEPA. Under Supplement VI to the CEPA, HKSS will be allowed to distribute in Guangdong province the fixed/mobile telephone cards which are for use in Hong Kong (excluding mobile satellite phone service). The distribution of fixed/mobile telephone cards in Guangdong province will be on trial for two years. During the trial period, Hong Kong and Mainland authorities will keep in view the implementation and conduct reviews before taking a decision on extending such liberalisation measure beyond the trial period.

Ends/Wednesday, September 23, 2009
Issued at HKT 19:15

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