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BTRC to rationalise revenue sharing among operators

Khairul Islam | October 17, 2014 00:00:00


The telecom regulator will rationalise the proposed revenue sharing between IGW (international gateway) switch operators and general operators to allow formation of a cartel of such companies to ensure fair contest among them.

Earlier, the IGW Operators Forum (IOF), comprising 17 operators, had proposed to the regulator to implement a two-tier operating system, allowing them to control pricing of the international call termination in the country.

According to the proposal submitted to the Bangladesh Telecommunication Regulatory Commission (BTRC), the tier-2 operators will get Tk 1.90 whereas the tier-1 will receive Tk 1.00. Aside from, switch operators also will take an additional 7.5 per cent charges as market development expenses.

In a letter to the ministry concerned, sent in the last week of the September, the BTRC gave some conditions including ensuring fair revenue sharing and amendment to the existing IGW policies and guidelines.

"The authorities will analyse the IOF-proposed revenue sharing pool in detail and fix it at a rational stage," the regulator said in its letter and added that the BTRC will also hold the power of making switch operators from the operators.   

Other conditions are: guidelines and policies to run the IGW forum must be approved by the ministry, IOF's administrative functions need to be approved by the committee to make switch operators, the regulator will issue specific guidelines relating to the market development expenditures.

Preferring anonymity, a high official at the telecom regulator told the FE that the conditions are mainly meant to ensure control over the IOF authorities and a stable market through fair contest among the operators.

"It is true that there are some positive sides of forming the IOF as they have pledged to take some important responsibilities including collection of the charges from other operators," the official said.

He expressed regret saying that sometimes the regulator fails to collect dues from the operators, even in some cases the defaulting IGW operators are forced to shut their business.

"In addition, it has become very tough for the regulator to ensure strong monitoring over IGW operators as there are currently 21 active operators in the country," the official noted.

He said once the IOF gets final approval, BTRC won't collect the charges from operators directly; rather the forum will take the responsibility of collecting the fees and will give the money back to the regulator.

Added to this, the forum also will take the necessary steps to stabilise the market through terminating a minimum amount of the international calls, the official noted.

However, he underscored the need for strong monitoring over the forum to thwart any ill motive of unscrupulous operators in the market. "We set the conditions to avoid all sorts of manipulation in the market," he noted.

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