Government is hopeful of reaching a new agreement with telecommunications giant Cable and Wireless.

Government has been negotiating with the company over international phone rates and regulation of the industry and Telecommunications Minister Sen. E.T.

(Bob) Richards said he was hopeful a deal would be thrashed out soon.

He was speaking as the Government introduced the Cable and Wireless Act 1998 to the House of Assembly this week.

The Act, which is a housekeeping exercise, is part of an as-yet incomplete agreement with the company.

It gives legal effect to the present Cable and Wireless licence, which was issued in 1985 -- before the Telecommunications Act came in.

"TeleBermuda International Ltd.'s licence was issued under the terms of the Telecommunications Act 1986, '' he said.

"In order to do the same with C&W, with the object of making the playing field scrupulously level, we have to repeal the Cable and Wireless Act and issue a new licence under the Telecommunications Act 1986.'' GOVERNMENT GVT