Jakarta –
Association of Indonesian Telecommunications Providers (ATSI) confide before the Ministry of Communication and Information (Kominfo) is currently bleeding. They also asked Kominfo for help regarding the future of the Indonesian telecommunications industry.
ATSI Deputy Chair Merza Fachys said that the telecommunications industry has changed rapidly in the last decade, from initially providing telephone and SMS services, now the majority is for internet use.
“And, it turns out that preparing internet infrastructure is a bit different from the previous times when providing telephone and SMS service,” said Merza at the Seluler Business Forum, Jakarta, Monday (13/11/2023).
Merza conveyed that the current condition of the telecommunications industry, which he said was not good. This is what made ATSI confide in the government.
ATSI has carried out studies in collaboration with APJII, Apjatel and Askalsi and then engaged consultants related to the rationalization of PNBP and licensing which has reached President Joko Widodo. As a result, a task force and joint planning was formed, where the Minister of Communication and Information Budi Arie Setiadi assigned the Director General of SDPPI and the Director General of PPI to discuss PNBP incentives for the telecommunications industry.
“According to global studies, regulatory charges are currently in an unhealthy area. Why? because they absorb 12% of income, whereas if the industry wants to be healthy it must be below 10%. Regulatory charges are not only frequency but there are several other things, but the biggest one is that’s frequency,” said Merza.
“Current operator revenues are not as high as in the past. Currently, cellular operator industry revenues are only growing 5.6%. In fact, BHP frequency growth is more than 10%, so this revenue growth is not balanced with the regulatory fees we pay. Likewise “Traffic growth reaching 80.7% did not contribute significantly to increasing operator revenue,” he said.
Meanwhile, in the digital era, the telco industry has an important role in boosting Indonesia’s digital economy. Indonesia has the potential to gain the largest digital economy in Southeast Asia, reaching USD 130 billion in 2025 and reaching USD 360 billion in 2030.
By conducting a frequency auction, ATSI hopes that this process will have an impact on the sustainability of the country’s telecommunications industry.
“Hopefully all spectrum, be it low, middle or high band, will be available and auctioned in a healthy way, that is, it will not burden the infrastructure players and we will all grow better. We know that 5G is an opportunity, ” he concluded.
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(agt/fay)
2023-11-13 11:48:20
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