Sunday, June 17, 2001
Internet service providers, Telecommunication Authority settle royalty issue
NASIR SIDDIQUI
.......KARACHI : The Internet Service Providers (ISPs) royalty issue with the Pakistan Telecommunication Authority (PTA) has been resolved at a meeting between the members of Ispak and the Chairman of PTA, Major-General Khalid Bashir. During the meeting held in Karachi on Friday Major-General Khalid Bashir agreed that the ISPs would pay a royalty at a rate of 1.5 per cent instead of 4 per cent of the their gross revenue and that the other PTA charges in the head of bandwidth would be deducted from the said percentage of royalty given by the ISPs to the PTA.
.......Earlier the ISPs, besides paying royalty to the PTA, were paying other telecommunication charges separately to the PTA.
.......The PTA Chairman assured the Ispak members that a notification in this regard would soon be issued.
.......Meanwhile, the President of Ispak Sanaullah Bhutta, while talking to Business Recorder on Saturday on the successful negotiations with the PTA Chairman, said that it was a bold decision taken by the PTA which would go a long way in further promoting information technology in the country. The ISPs operating in the country, in fact, were quite relieved with the outcome of the meeting between ISPs and the PTA Chairman, he added.
.......Bhutta further said that royalty would be levied on the licensed-based services. The renewal fees will be levied on 20 percent of the prevailing license fee and the ISP may adjust if it has already paid the extra fee for licence.
.......He directed the members of Ispak to provide the information regarding VSAT to PTA up to June 30, and that if any one failed to supply the said information and was found using VSAT, the ISP will be considered guilty and would be treated according to law.
.......Copyright 2001 Business Recorder (http://www.brecorder.com)

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