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Home » Ntc unions protest as the board decides to pay Rs 20 billion in license renewal

Ntc unions protest as the board decides to pay Rs 20 billion in license renewal

Dinesh by Dinesh
April 26, 2024
in Nepal Telecom, Telco News
Reading Time: 4 mins read
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Various workers unions in Nepal Telecom (Ntc) also called Nepal Doorsanchar Company Ltd. have expressed their protest after it emerged that the company board reached a decision to pay Rs 20 billion for its third license renewal. NTEAN, NTCWU, NTEU, and NEONNT, the trade unions in the company jointly staged their strong disapproval of the company deciding to pay the high amount for its license renewal.

Earlier, news broke that the Ntc board meeting that took place on 2081 Baisakh 13 decided to pay Rs 20 billion for its third license renewal. Stating that the decision could have wide implications for the company’s future, worker unions have jointly voiced their protest against the decision.

The unions claim that the Ntc board’s decision neglects the prevailing law and practice regarding the third license renewal mentioned in the letter sent by NTA on 2081-01-04. Likewise, the unions also expressed displeasure that the meeting also decided in the absence of the employee’s representative.

The company has started the process of renewing its license. However, the news comes amidst debates about whether the company will get a new license or apply to renew it.

Earlier, it was heard that the Council of Ministers of Nepal Government had decided to pay Rs.20 billion in one lump sum to the company, including the concession given for submitting the renewal documents to the company. They also claim that the decision to pay Rs 20 billion in license renewal also escapes the concession that the Council of Ministers had earlier offered. Jointly, the Ntc workers’ unions have said that the decision has strongly drawn their attention.

Also read: Nepal Telecom implements A La Carte in NT TV: Find price

Ntc workers unions want resolute decision-making as they voice a protest against Rs 20 billion payment for third-license renewal

Unions’ concern with the “sudden” decision to pay for the third license renewal comes from its possible long-term effect on the company. Likewise, they have called the manner of this decision-making “hard to consider natural”. In its press statement, the unions said that it’s not natural that the company makes decisions on the company’s strategic plans, projects, long-term policies, identification of investment areas, customer benefit issues, employee and labor concerns, and issues that have a long-term impact on the company.  

We strongly request (the company) not to make decisions undermining the tax-related concept from the constitution of Nepal and matters that do not have a clear provision regarding renewal fees in the Telecommunication Act 2053. Check out: Latest Ntc Data Pack [2024] Price, Volume, Validity, Process

Similarly, the unions have jointly urged the company to put more emphasis on ensuring the future of the company, its technology, and its ability to compete against multinational entities, etc. They also called on the company to ensure that customers get high-quality services, employees get assurance of permanent jobs, and revenue contribution to the state.

Unions warn to fight if necessary

At last, the unions appeal to the company to move forward in such matters with clarity in legal and institutional aspects to not affect its service. Otherwise, the unions have warned that “they will be forced to fight for the benefit of the company, employees, and customers”.

License renewal has become a major issue in Nepal’s telecommunication industry. Earlier, Axiata left Ncell blaming the challenging business environment. It’s an open secret that the pending license expiration, possible state ownership, or exorbitant amount for its renewal were prime causes. Ncell though remains functional with its fate hanging in the balance till 2029. Nepal Telecom, being another major telecom giant is now preparing for its own license renewal.

You may also want to read: Find the Radio Frequency Policy for Telecom Services 2080

Do you wish that the government was more lenient regarding the license renewal for telecom service providers or about the process too? Do offer your input on this raging topic in our comments box below.

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Dinesh

Dinesh

An experienced tech writer covering news mostly on telecommunication, internet, latest tech & trends, and Gadgets. Being a technophile, I am particularly fascinated by the evolution of mobile networks in Nepal from legacy networks (2G, 3G) to 4G (with VoLTE, VoWiFi, eSIM) and the prospects of the upcoming 5G, and equally enthralled by the development of internet from the dial-up connection to the 2 Gbps XGS-PON fiber broadband technology and their transformative impact in the country.

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