mainlogo2.jpg (11011 bytes)

E C O N O M Y  

logo1.jpg (7522 bytes)

tkphead2.jpg (5702 bytes)
  Kathmandu Monday January 14, 2002 Magh 01,  2058.


Govt slashes frequency, renewal fees
Pvt sector welcomes the move

Post Report

KATHMANDU, Jan 13 : The government has fixed and reduced the licence and renewal fees for frequency bandwidth, ending the confusion and controversy that shrouded the Ministry of Information and Communications. And the private sector has welcomed the move.

The government making amendments to the Radio Communications Act 2049, has fixed the licence fee for frequency with a bandwidth of 64 kilobytes per second (KBPS) at Rs 15,000 and a renewal fee of Rs 1,000 annually.

According to the new provision, every additional 64 KBPS of bandwidth would be charged additional Rs 1,000 now onwards. The changes in the existing law were made after publishing a notice on the gazette on December 24, 2001.

Prabhakar Adhikari, Joint Secretary at the Ministry of Information and Communications said that the new provision would facilitate the frequency bandwidth users as it has scaled down the licence and renewal fees and made the structure very clear.

"The ministry has reduced the licence and renewal fees for frequency users, which will greatly facilitate the users. Furthermore, it has also made the provision clear," said Adhikari.

However, the provision will be applicable to those operators, which have acquired such licence from the Nepal Telecommunications Authority (NTA), subjected to approval by the High Level Radio Frequency Policy Determination Committee, chaired by the Minister for Information and Communic-ations, he added.

Some internet service providers (ISPs) and very small aperture terminal (VSAT) users have been using various frequency bandwidth for the past four or five years and have been paying the licence and annual charges on an ad hoc basis.

Prior to this, the Act had a provision of charging frequency licence and renewal fees for voice communication only. The present amendment to the Act encompasses the frequency licence and renewal fees for data communication as well.

Previously, the government used to charge Rs 30,000 for frequency licence fee and half of the amount as renewal fee for any frequency users irrespective of the capacity of their bandwidth on an ad hoc basis.

The private sector has welcomed the move of the government as a good step forward in the charging of fees to such licencees.

Allen Tuladhar, CEO of the Unlimited Numedia, an ISP, says, "It is a straight forward and positive decision of the government. And it is better to have a concrete law like this. It has slashed down charges proportionally".

It will not only ease the payment of their licence and renewal fees of the operators but also ease the assessment of their operation cost, he added.

The confusion and controversy regarding the charges of frequency and renewal fees had soured the relations between the ISPs and the Ministry in the past. Almost every year both the parties fought for settling the rates.

Shishir Kumar Singh, Chief Administrative Manager with the e-net, an another ISP, is also happy with the government’s decision on the charges.

"Though late, the government has taken a good step. The new provision would better the relationships between the Ministry and the frequency licencees as it ends the bureaucratic hassles. The Ministry has done a good job. It reduces the fees of the small ISPs," says Singh.

Such laws have to be in place in time. It is especially necessary in the field of information technology (IT), in which new technologies emerge almost every couple of months, he added.


Other Stories


|Headline| |Editorial| |Local| |Feature| |Sport| |Letter| |Past|


Send your comments and letters to the editor at kanti@kpost.mos.com.np
2002 © Mercantile Communications Pvt. Ltd. P.O. Box 876, Durbar Marg, Kathmandu, NEPAL. Tel : 977 1 220 773, 243566, Fax: 977 1 225 407. Reproduction in any form is prohibited without prior permission. No part of the articles which appear in the internet version on The Kathmandu Post may be reproduced without the permission of Mercantile Communications Pvt. Ltd. For reprinting rights, please write to US. Send us your feedback: CONTACT US  ABOUT US  HOME TOP

ADVERTISE WITH US