BTRC issues guidelines on granting VSAT licences

Bangladesh Telecommunication Regulatory Commission (BTRC) has issued guidelines on granting licences to operate VSAT (Very Small Aperture Terminal) for providing internet connectivity by using satellite, a very expensive technology used for the internet connectivity.

As per the guidelines, the commission would issue only two types of licences - VSAT HUB operator licence and VSAT user licence - fixing separate fees and charges for the operators.

The existing VSAT User or VSAT Provider or VSAT Provider with Hub operators will apply to the Commission for conversion for their respective existing VSAT licenses within one year from the date of issuance of the guidelines.

The existing VSAT providers, VSAT providers with HUB and new applicants, excluding Cellular Mobile Phone Operators and BWA operators licensed from the Commission, are eligible to apply to the Commission to obtain VSAT HUB operator licence and VSAT user licence.

For VSAT HUB operators, the licence fees would be Tk 650,000 for 10 years along with Tk 150,000 as annual licence fee.

The licence renewal fees for five years at a time after the initial tenure of 10 years would be Tk 400,000.

The VSAT operators would have to share two per cent of their gross revenue with the government, according to the guidelines.

Licence acquisition, annual licence and renewal fees for the VSAT user licences would be Tk 200,000 each without the mandatory provision of revenue sharing.

As per the BTRC's network topology, VSAT HUB operators would be allowed to issue connectivity to VSAT remote terminal by using satellite, while the VSAT user would be able to connect with the satellite for establishing data connectivity.

Recognising the vast demand for satellite transponders within Bangladesh, the government took the initiative to launch Bangabandhu Satellite I (BS-l), with the objective to reduce foreign exchange expenditure for satellite based communications services in Bangladesh, the guidelines said.

Moreover, these guidelines will ensure that the country's own satellite is effectively utilised to provide satellite based communication services in the country.

Domestic VSAT-Users shall use the transponder capacity of the satellite (s) of Bangladesh Communication Satellite Company Limited (BCSCL).

International VSAT-Users are encouraged to use the transponder capacity of the satellite (s) of BCSCL. International VSAT-Users will be allowed to lease the transponder bandwidth from other satellites with the prior approval from the Commission.

Before the installation of the country's first submarine cable in May 2006, the country was fully dependent on the VAST-based internet connectivity.

However, the country has phased out the VSAT-based internet connections, except a few, taking security concerns into consideration.

Officials of BTRC said that the successful launch of the country's own satellite Bangabandhu-1 had prompted the government to rethink and to reopen the technology for the mass people.