Logo of Phnom Penh Post newspaper Phnom Penh Post - Telecoms given more time to pay into funds

Telecoms given more time to pay into funds

The exterior of the Ministry of Posts and Telecommunications.
The exterior of the Ministry of Posts and Telecommunications. Moeun Nhean

Telecoms given more time to pay into funds

The Ministry of Posts and Telecommunications has extended the deadline for telecoms to make mandatory contributions to a pair of funds by a month after a large percentage of the companies did not pay, according to one fund’s manager.

The 2016 Telecom Law and subsequent sub-decrees set up the two funds – Capacity Building, Research and Development Fund (CBRD) and Universal Service Obligation Fund (USOF) – which have the broad purpose of promoting the development of infrastructure and services in rural areas, where companies might not otherwise invest, as well as promoting research and fostering new talent in the industry.

Telecom companies are forced to pay a percentage of their annual revenue into the funds each year.

Tol Gnak, who oversees the USOF, said yesterday that the original deadline of February 28 was postponed until the end of March, as many operators were negotiating with the ministry to fulfill their obligation in installments due to cash flow issues.

Gnak and the manager of the CBRD held a press conference early last month, during which they said only one-third of telecom companies had paid so far, putting the total amount contributed at $4.2 million out of an expected $17 million.

A single telecom, Smart Axiata, reported paying $3.5 million at the time, making it likely that fellow telecom giants Cellcard and Metfone had not paid their full amounts.

Gnak declined to give the amount of money currently in the funds, only noting it was higher than a month ago. He also declined to name which organisations had or had not paid their fees.

MOST VIEWED

  • Kingdom may hire Turkish power ship

    Cambodia is considering negotiating with Turkey to hire a 200MW-capacity power ship to meet electricity demands as the country faces an ongoing electrical shortage, according to the prime minister. Speaking to garment workers in Pursat province on Wednesday, Prime Minister Hun Sen said Electricite du

  • ‘Kingdom lacks up to 400MW in available electricity’

    Prime Minister Hun Sen has called on the general public, hoteliers and businesspeople with generators to use them as back-up as the Electricity Authority of Cambodia cannot generate enough electricity to meet needs due to low water levels in power station reservoirs. On Saturday evening

  • EDC tackles power shortfall

    Electrcite Du Cambodge (EDC) on Monday issued a statement updating the public on its efforts to tackle insufficient electricity supplies during the ongoing dry season. Reductions in electricity prices have resulted in a steady increase in consumers in the Kingdom, while local and international investors

  • African swine fever spreads to VN-Cambodia border

    African swine fever has spread to parts of Vietnam that border Cambodia’s Ratanakkiri and Kratie provinces, a Ministry of Agriculture, Forestry and Fisheries official said on Friday. Tan Phannara, the General Directorate of Animal Health and Production director-general, told a Phnom Penh workshop that