Nepal’s regulator to get tough on ‘illegal’ reselling of bandwidth

3 Oct 2013

Telecoms watchdog Nepal Telecommunication Authority (NTA) is clamping down on the practise of people and businesses reselling bandwidth to customers without having signed a formal agreement with service providers. MyRepublica reports that the rising tide of groups such as cybercafes, hotels and restaurants reselling bandwidth to home users has reached the point where many Nepalese consider that these are the authorised places for them to buy internet packages. In response, the NTA intends to crack down on reselling and its director Ananda Raj Khanal says that the agency recently brought a case against Hyperlink Cyber Cafe, Baglung after it was found to be reselling bandwidth without signing a formal agreement with its internet service provider (ISP). ‘We slapped a fine of NPR50,000 (USD507) plus compensation amounting to NPR137,000 on the cybercafe and asked the promoter to close it after we found that it was breaching existing laws,’ NTA spokesperson Kailash Prasad Neupane, said.

The NTA’s decision to get tough on reselling has been welcomed by the Internet Service Providers´ Association of Nepal (ISPAN). Its president Binaya Bohara said: ‘No one can resell bandwidth without getting approval of the service providers’.