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Mobile data charges to drop by 50% starting July

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After much anticipation, mobile data charges will finally become cheaper by 50 per cent starting July this year. According to the GovTech Agency, the reduction will apply exclusively to Bhutan Telecom’s mobile data packages, particularly the most commonly used prepaid plans priced between Nu 99 and 499. However, this reduction will not extend to other services such as home broadband and leased lines at this stage.

It is not yet clear whether the change will involve lowering the price or increasing the volume of data offered in each package.

Bhutan Telecom officials said they have to discuss with the Board on the matter.

BBS contacted TashiCell but they said they have not received any instructions from the government yet.

Preparations are underway to ensure a smooth and timely implementation.

Additionally, Bhutan Telecom has been asked to upgrade and optimise their network to ensure quality so that the reduction in price does not compromise the quality or speed of service.

The initiative is expected to significantly benefit students, low-income families, and individuals who rely heavily on mobile data.

While the price reduction may initially reduce the operator’s revenue, it is anticipated that these losses will be offset by increased data consumption, and improved operational and network efficiency.

To further support telecom operators, the government is also exploring complementary policies, including the promotion of Fibre-to-the-Home (FTTH) technology to provide high-speed internet access and the reduction of international bandwidth costs.

The Bhutan InfoComm and Media Authority, as the regulator, also played a crucial part in reviewing the proposed tariffs, ensuring that they meet regulatory standards and make the tariff reduction both feasible and sustainable.

As the regulator, BICMA’s role is to monitor and ensure that telecom operators comply with regulatory requirements and deliver quality services to consumers.

During the election period, the government pledged to reduce telecom charges, particularly data charges, by 50 per cent or align them with rates in India. Following this pledge, on July 13 last year, the Prime Minister issued an Executive Order instructing the GovTech Agency, BICMA, all telecom operators, and internet service providers to develop a strategy to implement the reduction by August 2024.

Since then, relevant stakeholders have been actively working towards this goal.

The government’s initiative to reduce data charges by 50 per cent marks a significant step towards achieving digital inclusivity and accelerating national digital transformation.

Sonam Yuden

Edited by Tshering Zam

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