Fate of radio spectrum royalty payments unclear

The Senate voted to kill the 2-year exemption from royalty payments for the soon to be auctioned radio spectrum frequency blocks for wireless carriers. However, the Chamber voted 252-143 in a non-party line vote to reject the Senate version and reinstate the exemption. PAN deputy Javier Corral called it “an undue fiscal privilege” for highly profitable telecoms companies at a time when the rest of Mexicans were being asked to pay higher taxes. The Chamber and the Senate must now reconcile their positions. (Universal 11/1)

Storm over telecoms provisions

In a novelty for Mexico, opponents of the tax on Internet services staged a campaign to flood Twitter with tweets opposing the measure, using the tag #internetnecesario. The group got a boost from Senate president Carlos Navarrete (PRD), who endorsed the campaign. (Universal 10/25)

Another provision defers royalty payments by new cell phone operators for two years on new radio frequency spectrum to be auctioned for 3G networks. Purificación Carpinteyro, the former Undersecretary of Communications, called it, “a privilege inserted to address exclusively the interests of Televisa.” Long-term PAN critic of telecoms policy Javier Corral called it “a huge fiscal benefit for the wealthy telecoms owners,” that was negotiated between the Ministry of Finance and PRI Senate leader Manlio Fabio Beltrones to get PRI support for the Internet tax. (Reforma 10/26)

A divided PAN elects Nava as party chief

The PAN national assembly elected former presidential private secretary César Nava as the new party president to serve out the term of Germán Martínez, who resigned after the July 5 elections. Nava was the sole candidate, and the vote was 290 in favor, with 39 against and 19 abstentions. Another 23 assembly members, including Nava opponents Diego Fernández de Cevallos and former President Vicente Fox, did not attend. Three Nava opponents were given seats on the central committee: Ricardo García Cervantes, Héctor Larios, and Humberto Aguilar. In addition, Aguilar and Javier Corral were elected to the “Committee of Reflection” that will analyze the causes for the PAN’s poor performance in the election. (Universal 8/9)