Anisul Islam Noor :
Bangladesh Telecommunication Regulatory Commission (BTRC) has deferred the date of auction of 1800 and 2100MHz bands spectrum to June 10 as none of the mobile operators has applied for participation on the scheduled dates.
The date of auction was April 30 and then it was rescheduled twice for the same reason. The dates are May 20 and May 27.
Uncertainty emerges about spectrum auction, as
the country’s top mobile operators are unwilling to participate for dispute with the BTRC on different issues, including SIM replacement tax.
Sources at the BTRC said that in the month of February, they fixed April 30 for holding auction ,to sell 1800 & 2100 MHz band but no mobile operator submitted application for participation on auction.
The BRTC later rescheduled its auction date twice fixing May 20 and then May 27, but it did not get any response from the mobile operators.
Sources at the mobile operators said, a meeting was held between the Chief Executive Officers (CEOs) of the four mobile operators and the BRTC chairman on March 18 in this regard.
Later, the phone companies –Telenor Group for Grameenphone, vimpelcom for banglalink, Axiata Group for Robi and chief executive of Indian Airtel for the Airtel — sent separate letters to the Finance Minister in the first week of March for resolving the unsettled issues.
The CEOs of the four companies again sent letters to the Finance Minister on March 22 asking for deferring the auction date until the complexity over SIM replacement tax was settled.
SIM replacement tax is a long disputed issue involving Tk 3,000 crore, remaining unresolved for the past three years.
The BRTC fixed $ three crore as price of per megahertz spectrum of 1800 MHZ band web and $ 2.20 crore as price of per MHZ for 2100 MHZ band at in the auction bid.
Secretary of Association of Mobile Telecom Operators of Bangladesh (AMTO) TIM Nurul Kabir said the investing organisations took the decision not to join the spectrum auction floated by the BTRC.
He said, they have held several meetings with the Finance Minister, the National Board of Revenue (NBR) and the BRTC authorities seeking solutions to various issues, including SIM replacement tax and VAT on airwave.
He said, “We have paid tax to the government after the client first buy a SIM card from us. But if the client loses his SIM and replaces it, then why shall we pay tax again for the second time. We will decide to take part in the auction after the government resolves the pending issues.
Chief Corporate Affairs Officer of Grameenphone Mahmud Hossain said “Once the unsettled issues are resolved, our investors will take decision over participating in the auction.”
Chief Operating officer of Robi, Mahtab Uddin Ahmed, said they did not join the auction as the disputed issues remained unsettled.
BRTC secretary Sarwar Alam said that they had sent a letter to the Posts and Telecommunications Ministry to make some changes in the spectrum auction to ensure the participation of all mobile operators in the upcoming spectrum auction.
The NBR had a longstanding dispute with the top four mobile operators over SIM replacement tax. It had been demanding Tk 3,100 crore from the four operators as tax for the SIM replacement since 2012, BRTC sources said.
Sources at the NBR said, the four companies sold huge old SIMs to clients as SIM replacement from 2007 to 2011 and they must pay tax on the SIMs, which are sold to the new customers.
But the mobile operators claim, that they do not sell the old SIM to new clients as they just replace the SIM if any client loses it.
Bangladesh Telecommunication Regulatory Commission (BTRC) has deferred the date of auction of 1800 and 2100MHz bands spectrum to June 10 as none of the mobile operators has applied for participation on the scheduled dates.
The date of auction was April 30 and then it was rescheduled twice for the same reason. The dates are May 20 and May 27.
Uncertainty emerges about spectrum auction, as
the country’s top mobile operators are unwilling to participate for dispute with the BTRC on different issues, including SIM replacement tax.
Sources at the BTRC said that in the month of February, they fixed April 30 for holding auction ,to sell 1800 & 2100 MHz band but no mobile operator submitted application for participation on auction.
The BRTC later rescheduled its auction date twice fixing May 20 and then May 27, but it did not get any response from the mobile operators.
Sources at the mobile operators said, a meeting was held between the Chief Executive Officers (CEOs) of the four mobile operators and the BRTC chairman on March 18 in this regard.
Later, the phone companies –Telenor Group for Grameenphone, vimpelcom for banglalink, Axiata Group for Robi and chief executive of Indian Airtel for the Airtel — sent separate letters to the Finance Minister in the first week of March for resolving the unsettled issues.
The CEOs of the four companies again sent letters to the Finance Minister on March 22 asking for deferring the auction date until the complexity over SIM replacement tax was settled.
SIM replacement tax is a long disputed issue involving Tk 3,000 crore, remaining unresolved for the past three years.
The BRTC fixed $ three crore as price of per megahertz spectrum of 1800 MHZ band web and $ 2.20 crore as price of per MHZ for 2100 MHZ band at in the auction bid.
Secretary of Association of Mobile Telecom Operators of Bangladesh (AMTO) TIM Nurul Kabir said the investing organisations took the decision not to join the spectrum auction floated by the BTRC.
He said, they have held several meetings with the Finance Minister, the National Board of Revenue (NBR) and the BRTC authorities seeking solutions to various issues, including SIM replacement tax and VAT on airwave.
He said, “We have paid tax to the government after the client first buy a SIM card from us. But if the client loses his SIM and replaces it, then why shall we pay tax again for the second time. We will decide to take part in the auction after the government resolves the pending issues.
Chief Corporate Affairs Officer of Grameenphone Mahmud Hossain said “Once the unsettled issues are resolved, our investors will take decision over participating in the auction.”
Chief Operating officer of Robi, Mahtab Uddin Ahmed, said they did not join the auction as the disputed issues remained unsettled.
BRTC secretary Sarwar Alam said that they had sent a letter to the Posts and Telecommunications Ministry to make some changes in the spectrum auction to ensure the participation of all mobile operators in the upcoming spectrum auction.
The NBR had a longstanding dispute with the top four mobile operators over SIM replacement tax. It had been demanding Tk 3,100 crore from the four operators as tax for the SIM replacement since 2012, BRTC sources said.
Sources at the NBR said, the four companies sold huge old SIMs to clients as SIM replacement from 2007 to 2011 and they must pay tax on the SIMs, which are sold to the new customers.
But the mobile operators claim, that they do not sell the old SIM to new clients as they just replace the SIM if any client loses it.
