CIAA will look into NTA role in frequency allocation

Tue, Jul 12, 2011 12:00 AM on Others, Others,
KATHMANDU, July 12:
Commission for the Investigation of Abuse of Authority (CIAA) has expressed commitment to continue investigation into frequency and revenue issues and alleged irregularities by Nepal Telecommunication Authority (NTA) even if Public Accounts Committee (PAC) gives NTA a clean chit.

CIAA officials on Monday clarified they are waiting for PAC to submit its report so that CIAA can probe NTA´s alleged irregularities. Secretary of CIAA Bhagawati Kafle said the organisation will continue its probe after the PAC report so as to avoid duplication.

A PAC sub-committee had summoned CIAA officials along with Public Procurement Monitoring Office (PPMO) and NTA officials on Monday. The sub-committee was formed earlier this year to investigate into alleged irregularities in frequency distribution, royalty and VoIP issues.

Lawmakers have also requested CIAA to probe the issues so that the irregularities are set right. Lawmaker Dhanaraj Gurung said, "We are ready to support CIAA in its investigation and the anti-graft body should not hesitate to take action against anyone if their involvement in the irregularities is established."

Coordinator of the sub-committee Dr Prakash Chandra Lohani raised questions about issuing licenses to operate mobile phone service under different names. He sought a written clarification from the regulator as to whether it has taken any action or not against any telecom operator for holding frequency over and above their requirement. He questioned NTA for allowing services to rural telecom operators equivalent to other operators.

NTA chairperson Bhesh Raj Kanel said lack of any policy on mobile frequency has led to the unscientific distribution of spectrum. He expressed hope that frequency distribution would be scientific and revenue would increase as soon as the frequency policy is implemented next month. "We are likely to see an annual growth of Rs 500 to Rs 600 million in revenue after the frequency policy is implemented as the operator will have to pay four times higher for hoarding spectrum," he added. He also expressed hope that distribution would be properly managed after spectrum refarming policy comes into effect.

Initial investigations show NTA will have collected more than Rs 80 billion if all the telecom operators were treated equally in terms of license fee and spectrum allocation.

Source: Republica