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  • Karabakh Telecom holds monopoly in telephony

    Karabakh Telecom holds monopoly in telephony

    08-02-2008 11:54:28 - KarabakhOpen


    On February 7 the Public Services and Fair Competition Regulatory
    Commission held a meeting in which Karabakh Telecom, the only mobile
    and fixed-line telephone operator and internet provider of Karabakh,
    was defined as a monopolist. The company came up with an initiative,
    and the commission met the initiative. `The status of a monopolist
    supposes more responsibility and transparency of the company's
    activities. Besides, the company thereby assumes responsibility for the
    development of the entire sphere,' said the chair of the Commission
    Vache Adamyan.

    The commission also affirmed the order of financial statements of
    Karabakh Telecom, which will include detailed information about
    expenditure and profit, which will be released.

    Karabakh-Open.com asked if Karabakh Telecom has proposed a change of
    tariffs and per minute pay as the fixed line telephone network is being
    digitalized. Vache Adamyan said the commission has received no proposal
    yet. The spokesman for Karabakh Telecom stated that the company is
    currently working out the bid which includes both a subscription fee
    and per minute pay.

    According to the chair of the commission Vache Adamyan, the commission
    will study the justification of tariffs proposed by Karabakh Telecom
    and will make a decision proceeding from the interests of consumers and
    the company.

    `Monopoly does not mean that the company will create obstacles for
    other operators. The law on fair economic competition provides for
    remedies against monopolies which create obstacles to other companies.
    Misuse of monopoly is fined 500 million drams,' said Vache Adamyan in
    an interview with Karabakh-Open.com.

    He also informed that although the Commission welcomes digitalization
    of fixed-line telephone, it has observed several technical
    shortcomings, namely the CDMA system was not used, Free Phone services,
    as well as other services are not provided. The spokesman for Karabakh
    Telecom said the company will study the observations of the Commission
    and try to eliminate the drawbacks.

    At the same time Karabakh Telecom pays the biggest volume of fixed
    charge ` 15.4 million drams. It became known during the meeting of the
    commission that according to the law on fixed charge, the company whose
    activities are regulated by the commission pays a fixed charge for
    sustaining the commission. Currently the government finances 30 percent
    of expenditure of the commission.

    From: Emil Lazarian | Ararat NewsPress
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