Telecom reduces tariffs
12 September 2008
After following BICMA’s asymmetric regulation from February till August, Bhutan Telecom (BT) has this week been allowed to reduce the tariffs on broadband and fixed line international charges.
Earlier, BT wanted to introduce new packages and reduce its tariff. It put up a proposal to BICMA in May for post-paid and pre-paid, fixed line international tariff, Closed User Group (CUG) and Charo Charo, but only a few of them like off-net fixed line calling, CUG and Charo Charo were approved.
“We will announce the reducd rates a little later but we can assure that there will be a substantial reduction,” said Tandi Wangchuk, General Manager of B-Mobile. While BT might be relieved with the approval, it might have cost them dearly. A good chunk of customers were lost when the asymmetric regulation came into force.
Earlier, Kinley T. Wangchuk, director of BICMA, said, “B-Mobile is in a better position as it has wider network coverage as the first service provider.
After the asymmetric period is over, the customers will subscribe to whoever provides better services,” Tandi Wangchuk said that, during the asymmetric period, BICMA could have explored different aspects like geographical coverage control or value additional services or even in limiting the registration of new customers instead of concentrating on one aspect of not having to revise their tariff.
“This rule was applied in April but we received the notification only in May. There was no thorough discussion with the stakeholders and no feedback was taken,” said the GM. “It has just been one way and I feel this has been due to procedural lapses.”
On the competition, the GM said BT had limitations like having social obligations while pursuing commercial interests. He said there was the social obligation of reaching the rural areas.
“From our point of view, we see it as a healthy competition because when there is competition we can perform better, and we acknowledge that it is the cornerstone of success and what should be put into place in order to perform even better,” said Tandi Wangchuk, adding that they were not there to destroy Tashi Cell.
By Tashi Wangmo
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Loading ...Zakar for Friday September 10 2010
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It is good news for customers. When there is competition the customers get better services at lower rate. Till the upcoming of Tashi Cell, B-Mobile has taken advantage and it charged very high for B-mobile users. Now we know that B-mobile is facing a tough competition from Tashi cell. It is really good for the customers.
Wel done Tashi cell.
This is exactly why I have pretty much lost all hope of Bhutan having an efficient government that benefits the people. We have a country with a population that is not enough to fill a small size city in India or China, yet we have this huge bureaucracy which could easily rival countries with ten times the population. We have created all these organization such as BICMA, GNH commission, and the DHI who don’t contribute anything meaningful but have to have their say in approving every proposal. They are staffed with people who have to get paid and who need get their 40% raise every few years just like all the other government employees.
Do you guys ever wonder why in spite of the record tourism royalties collected by the government and the huge amounts of additional revenues generated by new hydro project, they are still proposing to tax vehicle purchases 100%? It’s because the these enlightened souls in the government keep creating these new organizations and staff them with their cronies and those cronies have to be paid. I sometimes feel a huge sense of relief that I am not working in Bhutan because I would hate to have all my hard earned taxed all the time so that the government could create and fund these organizations that don’t do anything but stand in the way of efficient development.
Thank god, thank Tashi cell, we as a citizen of Bhutan faced a serious monopoly from Bhutan Telecommunication until Tashi cell was introduced in the country.
I hope that the healthy competition would remain as healthy as it is. We were very much tired of such monopoly and I couldn’t think of, when Bhutan Telecommunication charges so high just for single connection(like 600/- per connection) and that also used to have only 6 months validity!!!!!!!
what rural obligation is Tandin wangchuk talking about? Give Tashi backbone network built by the Japan government grant on payment basis (the only reason Tashi does not provide services in other places is because BT does not lease backbone network.
Give backbone to Tashi and let it do the social service obligations you are talking about.
Sir,why not your good company look further to cover the B-Mobile network by establishing the tower,so that your company can retain good customers and increase the customer too.I request your company to established one tower in Jomotsangkha under S/Jongkhar Dzongkhag because the people of that place are using the Indian Mobile and i think indirectly the defeciet of our Nation is depleting,so in order to halt i think this is one step where we can do.So plz kindly look into this consideration.Even the people of that place will be benefited and connected with rest of the Bhutanese People.
We will defininately construct the tower at Jomotshankha for providing services it our social obligation no matter how much it cost to the BT.
It is nice to hear that Bhutan telecom is relieved from BICMA’s asymmetric regulation from February till August. Now i think there would be more healthy competition between the two service providers. In a way the customers should be benefitted.