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High data prices could open door for third telecom operator: PM

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The government might have to bring in a third operator if Bhutan Telecom does not reduce data charges. During the Meet the Press session, the Prime Minister said that while the government acknowledges concerns raised by Bhutan Telecom and BICMA, people should not be overcharged. According to the Prime Minister, Bhutan Telecom earns an annual profit of some Nu 2bn, and he indicated that the current data prices are expensive.

During the session, the prime minister said that BICMA and the Competition and Consumer Affairs Authority should ensure that people are not overcharged and have the authority to address the matter.

“If the challenges are significant, I acknowledge that. But at the same time, when there is an immense profit of  Nu 2.3bn a year, and data charges still cannot be reduced for the people, then we need to study the issue carefully. This is BICMA’s responsibility. Telcos say the government cannot intervene, and that is correct, we will not do so. However, BICMA must ensure that customers are not being overcharged. Moreover, the CCAA has also been tasked with protecting consumers. If this does not work for the people and the country, we may have to consider introducing a third operator, which would likely make data cheaper immediately. I hope it does not come to that,” said the Prime Minister.

The prime minister further added that the founder of the Airtel Company has agreed to help bring in a third internet gateway in the country to support telecom operators.

Meanwhile, the industry, commerce and employment minister said that BICMA is doing a costing analysis, which will be completed by next month.

He added that Bhutan Telecom had submitted a revised proposal to reduce data charges. However, the Cabinet did not approve the proposal because it did not fully meet the committed 50 per cent reduction.

It was in March last year when the Prime Minister announced that the cabinet has approved a 50 per cent reduction on data charges.

Sonam Yuden

Edited by Tandin Phuntsho

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