In a move to reduce duplicate infrastructure and make better use of existing networks, the telecom regulator is finalising guidelines for telecom infrastructure sharing in a fair, transparent and non-discriminatory way.
After years of discussion, the Bangladesh Telecom Regulatory Commission (BTRC) published a draft of the guidelines on Thursday, which stakeholders expect to lower costs for operators and improve economies of scale.
Other objectives of the guidelines are to reduce telecom equipment import and save foreign currency. Stakeholders will be able to comment on the draft guidelines until June 2.
The draft said infrastructure sharing will mainly be limited to horizontal sharing, meaning sharing within the same category of licence holders. However, the commission may issue a further directive in the future regarding sharing infrastructure between different categories of licence holders.
The draft guidelines said operators must share their infrastructure with other operators in a fair, transparent, non-discriminatory and "first come, first serve" manner.
Stakeholders have expressed a cautious reaction to the draft, as the issue of infrastructure sharing has been under discussion for a long time.
"We have received the latest revised version of the guidelines from BTRC and are currently assessing it," Hossain Sadat, senior director of Corporate Affairs at Grameenphone, told The Financial Express.
"As part of the ongoing consultation process, we will provide our feedback on the revised version. We look forward to the final guidelines being mutually agreed upon by the industry," he added.
Despite the specific guidelines, telecom operators are already entering into agreements with BTRC's permission.
However, the draft says previously signed infrastructure sharing agreements will need to be revised to comply with these guidelines within 90 days of their publication. The revised agreements must be submitted to the commission within 15 days of signing.
The scope of sharing opportunities ranges from network elements such as ducts, poles, towers and masts, as well as dark fibre (unused fibre-optic cable) and frequency spectrum.
Telecom operators are utilising various forms of infrastructure sharing, each with different implications for risk sharing, access, ownership and funding.
The most common form is the sale and leaseback structure, where mobile operators sell towers to an independent tower company. These towers are then leased back to the original operator and other operators.
The tower company is then responsible for the operation and maintenance of the tower. The tower company model is well-established globally and is gaining traction across a range of emerging economies.
Africa, South America, Myanmar and Indonesia are leading the way currently, as operators and governments align their interests in using and promoting these models.
In 2008, the BTRC published its first formal policy, 'Guidelines for Infrastructure Sharing', which was later amended in 2011. However, full-scale infrastructure sharing has never been fully implemented in the country due to a lack of cooperation from major market players.
According to the draft guidelines, infrastructure sharing is not expected to increase operators' interdependence to a degree that could reduce competition.
The guidelines also noted that competition should not be compromised through collusion among telecommunication operators during infrastructure sharing.
These guidelines may apply to all BTRC licensees, depending on the opportunities and benefits for the parties involved, according to the draft.
It also set out specific requirements for operators considering infrastructure sharing. These include a prohibition on rejecting requests to share infrastructure without a valid reason, obstructing or delaying negotiations, refusing to appoint a suitable representative for negotiations, withholding relevant information, delaying surveys or misrepresenting facts.
"The timeframe for negotiating an Infrastructure Sharing Agreement will be four weeks from the date of acceptance of a sharing request," the proposed guidelines said.
The draft outlined a dispute resolution process. In the event of any disagreements, the parties are encouraged to resolve the issue amicably within 60 days.
"If the parties are unable to resolve the disagreement amicably, the aggrieved party may refer the matter to the BTRC for dispute resolution. The BTRC's decision on the matter will be final and binding on all parties," the guidelines noted.
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