Social Obligation Fund rules to get MoPT final nod soon

Rules for operating the Social Obligation Fund (SOF), to be used for telecom infrastructure development, will get final approval of the telecom ministry soon.
The Ministry of Posts and Telecommunication (MoPT) sources said they have almost finished scrutiny of the draft SOF rules, prepared recently by the Bangladesh Telecommunication Regulatory Commission (BTRC).  
However, mobile phone operators, contributors to the fund, have alleged that they were not involved in the process of preparing the draft rules.
Association of Mobile Telecom Operators of Bangladesh (AMTOB) has sent a letter to the MoPT on December 23, expressing their concern over the SOF governance and rules.  
In the letter, addressed to telecom secretary Md Abubakar Siddique, the mobile companies urged the government to invite them immediately for consultation regarding formulation of the SOF rules and regulatory framework.
"It has been observed that in many markets, lack of proper regulatory framework, including the rules, has resulted in poor management and utilization of the fund, consequently depriving the country from the intended purpose," the letter mentioned.
Meanwhile, the telecom secretary said his ministry will send the SOF rules to the law ministry soon for vetting. Already MoPT has completed scrutiny of the rules.
 "There is no need for consultation with the mobile phone operators in the process of preparing rules. We discussed with them at the beginning of draft making."
Talking about expenditure of the fund, he told the FE that BTRC will use the fund in consultation with the ministry for telecom infrastructure development, especially where there is lack of network.
Mr Siddique also mentioned that the fund will be used during crisis periods also, if any area faces telecom network problem for natural disasters or any other rational reasons.  
When contacted, AMTOB secretary TIM Nurul Kabir said since the fund is formed with contribution of the mobile phone operators, so they should be involved in the preparing draft rules.
"I think consultation with the operators could be helpful for the regulator to use the fund effectively," he told the FE Thursday.
According to the operators, the country has no geographical area, except the Sundarbans, which is deprived of telecommunication facility now. Over 99 per cent of the population and 90 per cent of the geographic area are under mobile network coverage.
That is why wide discussion with the industry insiders is required for identifying the most appropriate areas that will qualify for the fund, they opined.
BTRC made contribution to SOF mandatory for the operators during their 2G license renewal. The telecos are depositing money to the fund at the rate of one per cent of their total revenue income since November 2011.
Until September 2013, four operators - Grameenphone, Banglalink, Robi and Airtel - deposited an aggregate amount of Tk 3.325 billion for SOF.
Of the amount, Grameenphone made the highest contribution of Tk 1.68 billion, followed by Banglalink Tk 0.73 billion, Robi Tk 0.70 billion, and Airtel Tk 0.215 billion.
However, the state-owned telecom operator - Teletalk - and private operator Citycell have not yet contributed to the fund.