No Merger Can Happen Without PUC’s Written Approval

Belize Telemedia Limited (BTL) is pushing to buy its only real rival, Speednet (SMART). But former PUC chairman John Avery, who ran the regulator for 12½ years, has sounded the alarm: wiping out the lone competitor, he says, goes against the very purpose of Belize’s telecom law. In his words, “eliminating the competition by buying them out” breaks both the spirit and letter of the Act.

His warning landed just as the Prime Minister has shifted from months of silence to publicly framing the deal as a possible lifeline for BTL, though he maintains the usual line: “let the process proceed.” Meanwhile, BTL has already pitched Cabinet and is quietly lobbying business groups, unions and the SSB, raising questions about conflicts and whether the regulator’s being sidelined. One thing is clear: no merger can happen without PUC’s written approval.

What the law actually requires

The Telecommunications Act is straightforward: its mission is to protect consumers through fair pricing and competition. And Section 19(5) is the gatekeeper, no sale, merger, or transfer of control can happen without the PUC’s prior written approval. The Commission can reject any deal that undermines the Act’s objectives.

Avery argues this buyout would do exactly that, kill competition and drag Belize back to the monopoly era “we fought decades to escape.” He even points to the Act’s tough anti‑competition penalties, including sanctions that could jeopardize a license.

The counterargument: the law also plans for imperfect markets

PUC Chairman Dean Molina says the law isn’t blind to reality. Section 26, the tariffs section, recognizes two possible markets: one with a single operator, and one with a dominant operator in a competitive setting. Supporters of the deal say this shows the Act can manage concentration even as it pushes for competition.

He also says Avery’s reliance on Section 42(4) misses the mark. That section deals with anti‑competitive behavior by dominant players, not merger approvals. The only clause that matters for this deal is Section 19(5), and the PUC already knows there’s a proposed agreement on its desk. Nothing has been hidden. The real question is whether approving the merger would violate the Act’s competition goals.

Politics vs. process

Optics complicate everything. The PM appoints the PUC’s commissioners and most of BTL’s board, and his own relatives could benefit from a sale. He maintains he’s keeping hands‑off, but BTL is actively hunting approvals and support from key institutions.

Still, the law leaves no wiggle room: the PUC must block any merger that frustrates the Act’s competition mandate.

Pressure is rising from every direction. Business groups, churches, media and civil society are calling for caution and transparency. Senators want a full valuation and warn that Belize could slip back into a de facto monopoly. BTL insists no final decision has been made and says it will follow the law and the PUC’s ruling.