Government's licensing of new telecommunication carriers without the proper regulations in place is wrong, an Opposition MP said last night.

Shadow Technology Minister Walter Lister added that Cable & Wireless had served Bermuda well as a monopoly and this should be considered before competitors were introduced.

Mr. Lister said the Progressive Labour Party was concerned at Technology Minister John Barritt's approach to introducing competition to the telecommunications arena.

"The licensing of telecommunication carriers in the absence of new regulations is incorrect, and in our view is not in the best long-term interest of telecommunications in Bermuda.'' Mr. Barritt said: "That's a view one can take but in our view it was important for Bermuda to move off.'' He said this action showed players entering the industry that Government was serious about making it competitive.

Mr. Lister said legislation was brought to the Parliament "which was found to be flawed'' and new legislation was promised for the upcoming Parliamentary session.

"A PLP Minister of Telecommunications would respect the Act of Parliament under which the industry operates -- until legislative changes are made.

Mr. Barritt responded: "You have to take what the Opposition say with a large grain of salt. They voted for the amendments to the Act in the House of Assembly and then fought tooth and nail against it in the Senate.'' They defeated the changes on one minor amendment, he noted.

Mr. Lister said Cable & Wireless had served the Island well -- as had the Bermuda Telephone Company -- and this had "placed Bermuda in position to boast of the sophistication of its telecommunications''.

"The introduction of competition should take into consideration the foundation laid by the two monopolies.'' Government had never denied this, said Mr. Barritt.

"We are grateful to them for ensuring that Bermuda has always had the very best of telecommunications facilities here.'' Mr. Lister stressed that the PLP supports competition in telecommunications.

However introducing it was a "complex'' matter.

"The Minister must handle the issue in a timely and careful manner recognising the far reaching effects on Bermuda.'' "We warn the Minister that this is not the time for threats or draconian action.'' Barritt slammed Mr. Barritt said he "categorically denied'' making any threats or taking any draconian action.

Instead Government had "been at pains'' to avoid these over the past three years during which it had worked toward a competitive environment through negotiation and cooperation with the players involved.