Internet prices to be raised: CAN

The Computer Association of Nepal (CAN) has said that the internet price in Nepal was going to be raised owing to the price hike in the use of the utility poles and fibers by the Nepal Electricity Authority.

Issuing a press statement here Tuesday, the CAN said that the internet service providers (ISP) were going to increase the tariff of internet after the NEA increased the rent it was collecting from the ISP for using their poles.

“It is unfortunate that the price of internet is likely to go up by Rs 150 to Rs 300 per consumer due to the increase in costing of the physical infrastructures. Also it is a matter of concern that despite the suggestions from the CAN and the internet service providers to review the tax rate to make internet affordable and accessible to one and all, the internet service providers were considering hike in the internet prices,” read the statement.

The CAN has recalled that the internet service that started in Nepal through partnership between private and government sector and the internet service arrived to this state in Nepal due to the billions of investment from the private sector, leadership role and the economic contributions made by this service, the CAN said in the statement.

Internet started in Nepal in 1995, according to a paper published by the International Telecommunication Union in 2000. The CAN, in its statement, cautioned that the cable internet’s prices will go up staggeringly if the tariff for the utility poles were not revised. According to the CAN, of the total internet users, 93 per cent were using cable internet in the country.

“If the tariff for the poles were determined per kilometer, it would not be practical for internet service providers, large number of consumers and ‘Digital Nepal’ campaign.”

The NEA, on the other hand, has warned to cut off internet powering wires stuck in the poles, if the internet service provider companies would not clear the outstanding dues by October 1 this year.