Phone charge hike plan clarified

Phone charge hike plan clarified

The Jakarta Post, Jakarta

The recent establishment of the Indonesian Telecommunications
Regulatory Agency (BRTI) will not lead to an immediate increase
in phone charges, according to a government press statement.

I Ketut Prihadi, a spokesman for the Directorate General of
Posts and Telecommunications at the Ministry of Transportation,
said on Wednesday that although the setting up of the BRTI was
one of the key requirements demanded by the House of
Representatives for the government to be allowed to raise phone
charges, there were other conditions that also had to be
fulfilled by telecom players, especially the provision of more
fixed lines in rural areas and the settling of the
interconnection fee problem.

"The establishment of the BRTI is indeed one of the conditions
required by the House for the government to hike phone charges,"
Prihadi admitted.

"However, there are other conditions the government has to
fulfill in order to raise the charges," he added. "On top of
that, the minister (of transportation) must also consult any such
plan with the House."

The press release did not say when the government would raise
phone charges. A hike announced at the beginning of this year had
to be delayed due to public protests.

The government launched the long-awaited BRTI last week,
prompting analysts and even top officials of the Directorate
General of Posts and Telecommunications to predict an immediate
increase in phone charges.

But after days of criticism, including from consumer
organizations, Minister of Transportation Agum Gumelar said that
the government had yet to decide on whether it would raise phone
charges this year, citing various factors, including current
political and social conditions.

In the ministerial decree on the BRTI, it is stated that the
BRTI will regulate and supervise the local telecoms industry.
According to the release, the duties of the BRTI are all aimed at
creating fair competition, ensure smooth interconnections, and
attracting new operators into the industry.