Nepal Could Get a Third Mobile Network

Nepal's new Minister for Information and Communications, Shankar Pokharel has warned the country's two incumbent mobile networks, that the government might consider licensing a third operator if the incumbents do not improve their service quality.

"It is the responsibility of the telecom company to provide the best quality of service to the consumers whether by upgrading the technology or hiring qualified human resources who know how to fix the problems," the minister told an audience who had gathered at a program organized by Consumers' Rights Protection Forum Nepal in Kathmandu on Sunday. "If they fail to come up with a solution, the government will have to resort to the option of bringing in another telecom company to enhance competition and give the quality of service that people desire."

The current operators have a guarantee that no new networks would enter the market until Sept 2010 at the earliest. 

According to figures from the Mobile World, the country ended Q1 '09 with 4.65 million mobile phone subscribers, representing a population penetration level of just 15.5%.

Mero Mobile recently announced that it will invest US$120 million in 2009 and US$130 in 2010 on boosting its network coverage. Some of the investment is to go on increasing back-up power supplies to cope with the unreliable national power grid. Rival operator, Nepal Telecom has also recently announced plans to boost its own back-up generators and switch to renewable power supplies where possible due to the same reliability issues.

On the web: Mobile World - Republica

Posted to the site on 6th July 2009