Cabinet looks at reducing high internet service prices in rural areas


During the Cabinet’s regular weekly Hour of Solutions meeting, the ministers discussed reducing prices for Internet network services in the provinces. During the meeting, the Chairman of the Information Technology, Post and Telecommunication Authority (ITPTA), Ts.Jadamba, introduced data about the Internet consumption of Ulaanbaatar and provincial users.
On February 29, Cabinet ministers issued a resolution on measures to provide Internet services at the same price nationwide. During the meeting, Prime Minister Ch.Saikhanbileg instructed ITPTA Chairman Ts.Jadamba and the Director of Information Technology Network LLC, P.Margad-Erdene, to take relevant measures in providing provincial residents with access to information, and to create an environment to provide Internet services at the same pricing nationwide.
“Overall, 84 percent of Internet usage in Mongolia is centered in Ulaanbaatar. There is an urgent need to resolve Internet usage and access issues for users in the provinces, where half of Mongolia’s total population resides. A household or an entity in Ulaanbaatar pays 13,000 MNT for 1 Mbps connections. Meanwhile, a household in a province pays 55,000 MNT  for 1 Mbps Internet service and businesses pay 75,000 MNT. Province residents are paying for Internet access that is four to five times slower than service in the city, and four to five times more expensive. Such price contrasts should be eliminated. It is not only the issue of Internet prices and the use of Facebook or Twitter. This has significance for how agricultural product exchanges operate. Information about wool, cashmere, and meat could be constant updated with better Internet service, making rural development closer to that of urban areas,” emphasized Ch.Saikhanbileg during the meeting.
He added that the Cabinet will encourage mobile phone operators to be actively involved in the government’s initiative to reduce Internet service prices in rural areas, and asked them to keep their promise of introducing 4G service within the second and third quarters of this year.

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Posted by on Mar 4 2016. Filed under Politics. You can follow any responses to this entry through the RSS 2.0. You can skip to the end and leave a response. Pinging is currently not allowed.

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