The Uganda Communications Commission (UCC) has cooled its interest in taking control of the Uganda country code, .ug.

The country code is registered to and controlled by Charles Musisi, an Internet entrepreneur who has managed Uganda domain names over the past 12 years.

"There is no immediate intention of claiming that domain name," Patrick Mwesigwa, UCC's technical manager, said in an interview.

This represents a reversal by UCC, considering that the powerful regulator made its intentions of taking over the domain name known in 2006 in a local media report.

"We think the regulator should be in charge of administration of the domain names to make them cheaper and to achieve universal access of the Internet in the country," UCC's Corporate Affairs Manager Fred Otunnu was quoted as saying then.

According to current estimates, there are slightly more than 50,000 Ugandans who regularly use the Internet and at least 100,000 who have e-mail accounts. Records show that Uganda is the largest registry in East Africa and the third-largest on the continent, with 4,000 .ug registered domain names

At the time that UCC wanted to take control of the registry, IT experts warned against the move, saying the regulator would be meddling in an area outside of its mandate.

Domain name administration has been successful in places with private sector administration, such as Australia, Canada and Kenya. However, in countries such as Nigeria, governments have bought domain names from private administrators in the public interest.

Musisi created the .ug domain name in 1995 under Uganda Online, now under Computer Frontiers International (CFI), prior to UCC's formation in 1997. Musisi says he owns the registry but is holding it in trust.

Despite the stability and reliability of Uganda's domain, affordability is still a major complaint. Musisi charges US$30 per year for new registration or $60 for 2 years, and renewals are $30, $55, $80, $100 and $120 for successive years. There is an educational discount under the ac.ug and sc.ug second-level sub-domain categories, at a rate of $12.50 per year.

Musisi got the Uganda domain name from the U.S.-based Internet Assigned Numbers Authority (IANA), which works on a first-come, first-served basis and is responsible for the overall coordination and management of the Domain Name System.

The IDG News Service is a Network World affiliate.