Mobile Firms Urge Continuation of Reforms
By Srisamorn Phoosuphanusorn, Bangkok Post, Thailand
Jan. 3–Major mobile-phone operators have urged the new coalition government to continue backing reform regulations initiated by Prime Minister Surayud Chulanont’s government to ensure industry confidence.
They also called on the government to push forward and clarify policies and regulations to level the playing field in the industry.
Sigve Brekke, the chief executive of second-ranked DTAC, outlined five areas that operators hope the next government will tackle: interconnection charges, revenue-sharing structures, access charges, number portability and issuance of third-generation mobile licences.
Thailand’s telecom sector was reformed significantly after former Information and Communication Technology (ICT) minister Sitthichai Pookaiyaudom overhauled the Thaksin Shinawatra government’s telecom policies.
The minister had criticised the Thaksin plan, and imposed a zero excise-tax rate on fixed-line and mobile phone services. It replaced the previous rates of 2 percent and 10 percent respectively.
The scrapping of the payment method would enable TOT and CAT Telecom to receive their full concession fees from private operators. Previously they had lost 10 billion and eight billion baht a year respectively because of the taxes.
The Thaksin cabinet permitted private telecom operators to deduct excise tax from payments to the state telecom enterprises.
The former ICT minister also wanted to roll back the process of privatisation of TOT and CAT Telecom.
Mr Brekke said the next government should speed up the approval of major telecom rules and regulations to enhance the competitiveness for all operators.
He also asked the state to conclude whether to establish a National Broadcasting Commission (NBC), a sister regulator of the National Telecommunications Commission (NTC), which needs to issue 3G licences. The second option would be to combine the NBC and NTC.
Mr Brekke said that even though Thailand’s mobile industry growth dwarfed Cambodia’s, the latter had 3G mobile phone services available commercially while Thailand did not.
Wichian Mektrakarn, the president of AIS, said the elected government should create a competitive balance for all operators to enhance free and fair competition.
He also said that the company would be able to operate normally regardless of who forms the next government.
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