Legal reforms ‘shift power dynamic’ over data control

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

Bahamian technology providers said legal reforms debated by the House of Assembly “shift the power dynamics for control of data” as they backed the move to “move with the times”.

Keith Roye II, Plato Alpha Design’s chief operating officer, told Tribune Business that three changes “stick out to me” with the proposed overhaul of the 22 year-old Data Protection Act including the “expanded rights” provided to Bahamian citizens over how companies manage, handle and secure their personal data.

Noting that the Data Protection Bill means “compliance is no longer optional; it’s mandatory” for businesses such as his own, which manage and process data on behalf of third parties, he added that the legislation also provides “future proofing for innovation” by seeking to “anticipate emerging technologies” such as artificial intelligence (AI), biometrics and cloud computing.

Mr Roye, telling this newspaper that such a framework is “critical” for digital-based businesses and The Bahamas’ long-standing ambitions to become a technology hub, said: “A couple of things stick out to me. The first thing that sticks out is that data collectors and data processors, businesses that collect and process data like ourselves, will be required to register with the Data Protection Commissioner.

“All companies that collect data or process data for other companies must register. For data breach offences, you incur fines of up to $50,000 or three years in prison. Compliance is no longer optional; it’s mandatory across the board. This is in line with international best practices.”

The Plato Alpha chief then added: “The second thing I noticed is that there are more expanded individual rights for citizens. The prior Act from 2003 does not give residents many rights on how their data is managed. 

“Now, with this new modern Act, residents have stronger rights over the management of their data, having it corrected or erased if it is not needed. It kind of shifts the power dynamic for control of data.” Mr Roye added that the Bill’s “technology forward framework” is also “critical” for companies such as his and any ambitions The Bahamas may have to attract overseas digital firms.

“The third thing I noticed is this new Bill anticipates emerging technologies,” he told Tribune Business. “Fintech (financial technology), digital assets, AI, biometrics, cloud computing. It’s pretty much future-proofing for innovation, which is critical for businesses like ourselves building Triblock, which is an AI-powered tool in some instances. 

“It’s the registration process, expanded rights for residents and a more technology-focused framework for The Bahamas. It’s more in line with international standards across the board. I’m glad we are shifting with the times, and being more in tune with global data protection policies.

“It means we have to do our part as a company processing and managing data with regard to securing it, and it definitely gives our residents more rights with their data and how it’s being managed.” Triblock is Plato Alpha’s human resources and payment management platform.

Kwasi Thompson, the Opposition’s finance spokesman, used yesterday’s House of Assembly debate to call for The Bahamas to establish its own Internet Exchange Point (IXP) as a means to lower cost, improve connectivity and enhance the security associated with local e-mail communications.

He argued this would be more secure than the present system where Bahamian-to-Bahamian e-mail communications are routed through the US before arriving at the intended recipient in this nation. “If we have our own Internet Exchange Point, e-mails would not go outside the country; they would go directly to Bahamians,” Mr Thompson argued.

“The Bahamas would benefit greatly from establishing its own Internet Exchange Point. URCA produced a document that envisioned creating a new Internet Exchange Point for The Bahamas. It would lower Internet costs, provide faster Internet connectivity and offer greater security by remaining here in The Bahamas.”

An Internet Exchange Point is a physical location through which Internet infrastructure companies, such as Internet Service Providers (ISPs), CDNs, web enterprises, communication service providers, cloud and SaaS providers connect to exchange Internet traffic.

Speaking subsequently to Tribune Business, Mr Thompson said: “We believe an Internet Exchange Point would reduce the cost. In other Caribbean jurisdictions that did this, the cost of providing Internet services also went down. We think this would be the best way of doing it for security reasons.

“We believe it would be safer if electronic communications remain in the country rather than go through the US, which means they are exposed to US actors and so on, and the US government. It’s safer to have it remain here in The Bahamas.”

Establishing a Bahamian Internet Exchange Point was among the suggestions made by a committee that was formed under the Minnis administration to examine what was required to transform Grand Bahama into a technology hub that could attract local and international investors. However, little to no progress appears to have been made in developing this project.

“The last I heard about it was in 2020 when URCA had produced a document detailing what was needed to be done for this to happen,” Mr Thompson said. “This was in anticipation of us proceeding in that direction. We have heard nothing further from 2020, and still today the Government has not made any progress in terms of making this happen.”

Wayde Watson, the Ministry of Economic Affairs parliamentary secretary, and who headed the Government’s digital transformation unit prior to being elected to Parliament, moved “to allay the fears of the Bahamian people” in response to Mr Thompson’s presentation by asserting that “there’s no such thing as 100 percent data sovereignty”.

He reassured that the Government’s e-mail and electronic communications with Bahamians were fully secure, adding: “The data and systems that we use in government are encrypted in such a way that we have tools in place to ensure that data is properly secure. We’ve made sure our data is encrypted.”

Mr Watson also pointed out that “Rome is not built in a day” after Mr Thompson voiced misgivings over whether the Government will dedicate the financial and human resources to properly execute on, and implement, the Data Protection Bill once it is passed by the House of Assembly.

Citing the seemingly-meagre resources provided in the 2025-2026 Budget for implementation of the Independent Commission of Investigations and Ombudsman’s Office, the east Grand Bahama MP argued that the Data Protection Bill “must be more than just words on the table”.

Mr Watson replied: “We have a phased approach to implementation. I want him [Mr Thompson] to be cognisant that Rome was not built in a day, and we will do our best to implement this Data Protection Bill so that it remains on course and gets done.”

Log in to comment