1
Decision No. 37/2008
Rules for importing, exporting, re-exporting
and usage of Encryption Systems and Equipment
Pursuant to the Telecommunications Regulatory Act issued by the Royal Decree No.
30/2002 and;
The Executive Regulation of the Act referred to, issued by the Ministerial Decision
No. 10/2007 and;
The approval of the Authority dated 12.12.2007 and;
Based on the exigencies of the public interest;
It is resolved:
Article 1: The annexed rules shall be enforced in importing, exporting, re-
exporting and usage of encryption systems and equipment.
Article 2: All legal provisions contravening this Decision or conflicting with its
provisions shall be repealed.
Article 3: This Decision shall be published in the Gazette and shall become
operative from the date following its publication.
Mohammed Bin Nasser Al-Khasibi
Chairman of Telecommunications Regulatory Authority
Issued on: 15 Rabi Al Aw’wal 1429 H
Corresponding to: 23 march 2008
2
Rules for importing, exporting, re-exporting
and use of Encryption Systems and Equipment
Chapter One
Definitions and General Provisions
Article 1: Words and expressions set forth in this Resolution shall have the same
meaning as in the Telecommunications Regulatory Act referred to, and the following
words and expressions shall bear the meaning ascribed to them unless the context
requires otherwise:
Encryption: A process whereby a plain text, a textual document or an electronic
message is transformed into unknown or scattered symbols that are impossible to
read or identify without decrypting them back to their original form.
Dealing in Encryption Systems or Equipment: Import, export, re-export, waiver,
manufacturing, lease and trading in Encryption Systems or Equipment.
Encryption Key: A sequence of characters and numbers used by an encryption
algorithm to encrypt plain text into cipher text and vice versa.
Encryption System: An organized assembly of tools, programs, processes,
operations or equipment designed to perform encryption or decryption.
PGP: Stands for Pretty Good Privacy. An encryption system that provides a high
level of confidentiality.
SSL: Stands for Secure Sockets Layer. A commonly- used protocol for managing the
security of a message transmission over the Internet.
Article 2: Personal usage of any cryptographic software (such as PGP) or hardware
is not allowed. Usage of SSL is an exception.
Article 3: Provisions stated in the attached Tables A, B & C shall be applicable in
respect of fees and fines regarding dealing and usage of encryption systems or
equipment.
3
Chapter Two
Rules for dealing in encryption systems or equipment
Article 4: Dealing in encryption systems or equipment shall only be permitted after
obtaining the Authority’s approval.
Article 5: The following shall be required to obtain the Authority’s approval to
deal in encryption systems or equipment:
A. Registration with the Authority to deal in encryption systems or equipment.
B. Submission of a statement showing type and specifications of all encryption
systems or equipment intended to deal in.
C. A sample of the encryption system or equipment intended to deal in, whenever
requested by the Authority. Where samples are submitted, the Authority may
retain them in whole or in part if the work interest so requires.
D. Information as requested by the Authority regarding the dealing user.
The Authority must obtain the approval of the parties concerned prior to
issuing its approval.
Article 6: Dealers in encryption systems or equipment shall annually renew their
registration with the Authority.
Article 7: Dealers in encryption systems or equipment shall be prohibited from
using such systems or equipment.
4
Chapter Three
Rules for using encryption systems and equipment
Article 8: The following shall be required to obtain a license to use encryption
systems or equipment:
A. Completion of all the details contained in the form designed for this purpose.
B. Provision of the information requested by the Authority in respect of the dealer
who supplied the user with the system or the equipment.
The Authority must obtain the approval of the parties concerned prior to
issuing the license.
Article 9: The Authority may scrutinize and inspect the encryption systems or
equipment before licensing their usage, and it may - whenever necessary- retain a
sample and obtain the key.
Article 10: Duration of the license shall be for two years. The licensee shall renew
the license one month before its expiry. Failure to renew the license will render the
license revoked. The licensee shall notify the Authority if he intends not to renew the
license.
Article 11: Provisions of Articles 8 & 12 of this resolution shall apply with regard to
renewal or amendment of the license.
5
Chapter Four
Time frame to decide on requests for approvals and licenses
Article 12: Without prejudice to the provisions of Article 22 of the
Telecommunications Regulatory Act referred to, the Authority shall decide on
requests to deal in encryption systems or equipment or licensing their usage within 90
(ninety) days from the application date. Rejection of the application shall be
substantiated and if no reply to the application was given within the said period, this
shall be regarded as an implied rejection.
Fees and fines regarding dealing
in and usage of encryption systems and equipment
Table (A)
Annual registration and renewal fees for companies
and establishments dealing in encryption systems and equipment
Company Grade Registration Fee (R.O) Renewal Fee (R.O)
International 160 160
Excellent grade 150 70
1st
Grade 60 30
2nd
grade 35 20
3rd
Grade 20 15
4th
Grade 10 10
Under formation 10 As per Grade
Amendment Fee 10 As per Grade
6
Table (B)
Fines collected from dealers in encryption systems or equipment
S. No. Reason for Fine Value of Fine
1 Dealing in encryption systems or equipment
before registration with the Authority
Three times the
registration fee
2
Delay in renewing the registration
A grace period is granted
for 2 months, followed by
a fine at 10% of the
renewal fee for each
month of delay. Any part
of a month is considered
as a full month.
Table (C)
Usage Fees of encryption systems and equipment
Fees (R.O) Remarks
Application/ Amendment Fees 50 Non-refundable
Issue/ Amendment Fees 20
Payable after approval of
competent authorities
Renewal Fees 20 Payable upon application

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37/2008 Rules for importing, exporting

  • 1. 1 Decision No. 37/2008 Rules for importing, exporting, re-exporting and usage of Encryption Systems and Equipment Pursuant to the Telecommunications Regulatory Act issued by the Royal Decree No. 30/2002 and; The Executive Regulation of the Act referred to, issued by the Ministerial Decision No. 10/2007 and; The approval of the Authority dated 12.12.2007 and; Based on the exigencies of the public interest; It is resolved: Article 1: The annexed rules shall be enforced in importing, exporting, re- exporting and usage of encryption systems and equipment. Article 2: All legal provisions contravening this Decision or conflicting with its provisions shall be repealed. Article 3: This Decision shall be published in the Gazette and shall become operative from the date following its publication. Mohammed Bin Nasser Al-Khasibi Chairman of Telecommunications Regulatory Authority Issued on: 15 Rabi Al Aw’wal 1429 H Corresponding to: 23 march 2008
  • 2. 2 Rules for importing, exporting, re-exporting and use of Encryption Systems and Equipment Chapter One Definitions and General Provisions Article 1: Words and expressions set forth in this Resolution shall have the same meaning as in the Telecommunications Regulatory Act referred to, and the following words and expressions shall bear the meaning ascribed to them unless the context requires otherwise: Encryption: A process whereby a plain text, a textual document or an electronic message is transformed into unknown or scattered symbols that are impossible to read or identify without decrypting them back to their original form. Dealing in Encryption Systems or Equipment: Import, export, re-export, waiver, manufacturing, lease and trading in Encryption Systems or Equipment. Encryption Key: A sequence of characters and numbers used by an encryption algorithm to encrypt plain text into cipher text and vice versa. Encryption System: An organized assembly of tools, programs, processes, operations or equipment designed to perform encryption or decryption. PGP: Stands for Pretty Good Privacy. An encryption system that provides a high level of confidentiality. SSL: Stands for Secure Sockets Layer. A commonly- used protocol for managing the security of a message transmission over the Internet. Article 2: Personal usage of any cryptographic software (such as PGP) or hardware is not allowed. Usage of SSL is an exception. Article 3: Provisions stated in the attached Tables A, B & C shall be applicable in respect of fees and fines regarding dealing and usage of encryption systems or equipment.
  • 3. 3 Chapter Two Rules for dealing in encryption systems or equipment Article 4: Dealing in encryption systems or equipment shall only be permitted after obtaining the Authority’s approval. Article 5: The following shall be required to obtain the Authority’s approval to deal in encryption systems or equipment: A. Registration with the Authority to deal in encryption systems or equipment. B. Submission of a statement showing type and specifications of all encryption systems or equipment intended to deal in. C. A sample of the encryption system or equipment intended to deal in, whenever requested by the Authority. Where samples are submitted, the Authority may retain them in whole or in part if the work interest so requires. D. Information as requested by the Authority regarding the dealing user. The Authority must obtain the approval of the parties concerned prior to issuing its approval. Article 6: Dealers in encryption systems or equipment shall annually renew their registration with the Authority. Article 7: Dealers in encryption systems or equipment shall be prohibited from using such systems or equipment.
  • 4. 4 Chapter Three Rules for using encryption systems and equipment Article 8: The following shall be required to obtain a license to use encryption systems or equipment: A. Completion of all the details contained in the form designed for this purpose. B. Provision of the information requested by the Authority in respect of the dealer who supplied the user with the system or the equipment. The Authority must obtain the approval of the parties concerned prior to issuing the license. Article 9: The Authority may scrutinize and inspect the encryption systems or equipment before licensing their usage, and it may - whenever necessary- retain a sample and obtain the key. Article 10: Duration of the license shall be for two years. The licensee shall renew the license one month before its expiry. Failure to renew the license will render the license revoked. The licensee shall notify the Authority if he intends not to renew the license. Article 11: Provisions of Articles 8 & 12 of this resolution shall apply with regard to renewal or amendment of the license.
  • 5. 5 Chapter Four Time frame to decide on requests for approvals and licenses Article 12: Without prejudice to the provisions of Article 22 of the Telecommunications Regulatory Act referred to, the Authority shall decide on requests to deal in encryption systems or equipment or licensing their usage within 90 (ninety) days from the application date. Rejection of the application shall be substantiated and if no reply to the application was given within the said period, this shall be regarded as an implied rejection. Fees and fines regarding dealing in and usage of encryption systems and equipment Table (A) Annual registration and renewal fees for companies and establishments dealing in encryption systems and equipment Company Grade Registration Fee (R.O) Renewal Fee (R.O) International 160 160 Excellent grade 150 70 1st Grade 60 30 2nd grade 35 20 3rd Grade 20 15 4th Grade 10 10 Under formation 10 As per Grade Amendment Fee 10 As per Grade
  • 6. 6 Table (B) Fines collected from dealers in encryption systems or equipment S. No. Reason for Fine Value of Fine 1 Dealing in encryption systems or equipment before registration with the Authority Three times the registration fee 2 Delay in renewing the registration A grace period is granted for 2 months, followed by a fine at 10% of the renewal fee for each month of delay. Any part of a month is considered as a full month. Table (C) Usage Fees of encryption systems and equipment Fees (R.O) Remarks Application/ Amendment Fees 50 Non-refundable Issue/ Amendment Fees 20 Payable after approval of competent authorities Renewal Fees 20 Payable upon application