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NT reluctant to return frequency

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KATHMANDU, Jan 12: Nepal Telecom has showed its reluctance to return 2.4 Mhz frequency as demanded by to Nepal Telecommunication Authority (NTA), the telecommunications regulator.



Speaking at a press meet on Tuesday, NT Spokesperson Surendra Thike said the frequency demanded by NTA is necessary for NT´s quality service. “We are not in a position to return the frequency,” he added. [break]



NTA had recently asked NT to return 4.2 Mhz frequency within three months and other temporary frequencies within a year.



“Since we didn´t get any response to our letter, we have decided not to let NT use 2.4 mhz frequency,” NTA Spokesperson Kailash Prasad Neupane told myrepublica.com.



Last week, NTA board had decided to provide the 4.2 Mhz frequency to newcomer Smart Telecom.



According to a source at NTA, NT has been insisting to keep the frequency for extending mobile subscriber base to 10.1 million. Currently NT is using 45 Mhz frequencies, including both temporary and permanent ones.







“Even if the NT operates has 10.1 million subscribers, it will just 64 percent of its frequencies,” a high level source at NTA told myrepublica.com, “In that condition also, NT needs only around 28.8 Mhz frequency.”



NT is enjoying more frequencies than other telecom operators in India and Pakistan. Telecom operators in India use 15 frequencies in average, while operators at Pakistan use 13.6 frequencies.



“NT is holding double the frequency than it actually needs,” the source added.



In the press meet, NT also informed that it is planning to expand its fast speed internet service - ADSL - to all 75 districts and targeting the total customer base of 7 million by the end of this fiscal year. Currently, NT has been providing ADSL service in only 24 districts.



NT is also planning to increase dividend to its shareholders. However, the proposed dividend is yet to be approved by the government. Last year, NT had provided 25 percent cash dividend to its shareholders.


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