NTA warns telcos of fibre-optic contract termination

12 Sep 2018

The Nepal Telecommunications Authority (NTA) has warned the three companies involved in fibre-optic deployment projects that their contracts will be terminated if tangible progress is not made within the next two months, writes The Himalayan Times. According to the chairman of the NTA Digambar Jha, Nepal Telecom (NT), United Telecom Limited (UTL) and Smart Telecom have not made acceptable progress with fibre cable laying projects given to them by the regulator, with Jha stating: ‘We will set a completion target and give these firms two months to accomplish the target. If they fail to accelerate the fibre laying projects accordingly, we will terminate contracts with each of them.’

The NTA signed an agreement with NT in September 2016 to lay the fibre network in provinces one, two and three, with UTL in April 2017 to lay fibre in provinces four and five and most recently with Smart Telecom in September 2017 to lay the fibre network in provinces six and seven. Jha went on to say that the NTA may be forced to consider foreign firms for the project if the existing contract holders cannot complete the work required.