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Telkomsel Responds to Kominfo’s Plan to Give Incentives to Expand 5G

Telkomsel responded to a request from the Ministry of Communication and Information (Kominfo) regarding plans to provide incentives to expand the 5G network.

Telkomsel Vice President Corporate Communications Saki H. Bramono said that his party welcomed the plan. The reason is, according to him, building a 5G communications network in Indonesia requires quite a bit of investment.

“If we can, the government can see that in terms of BHP (Operating Rights Fee) there will be relief, or maybe within three years the government can provide incentives, so that we can build more 5G,” said Saki when met in Jakarta, Tuesday (7/11).

“Because now, if we build 5G, it is related to frequency, capex (capital expenditure), that is a very large investment. If the government really wants to work together with operators, then we have to work together,” he added.

His party is also ready to follow all government rules and regulations regarding the 5G network. The most important thing is broadband penetration, especially 5G, in Indonesia.

“That’s the main goal, to increase internet speed in Indonesia. Maybe we have to work together with the government to find out how best to do frequency tenders,” he said.

On the other hand, Saki also suggested that incentives could be provided for three years, or operators could use certain frequencies. According to Saki, this matter will still be discussed with Kominfo.

“Maybe after that we can see what the progress is like, if the utilization is high, we can pay according to the capacity used. This must be discussed with the government, Kominfo,” said Saki.

Previously, Minister of Communication and Information Budi Arie Setiadi said that his party was preparing incentives for implementing the 5G network in Indonesia. This is a strategic step so that the 5G network can be optimized for better internet acceleration in Indonesia.

“So in the past, the state did not have to pay for investments so that it could be cheaper for operators willing to invest large amounts,” said Budi, in his written statement.

He is optimistic that domestic internet speeds will continue to increase in line with developments in digital technology. Therefore, he said, the government remains focused on implementing digital infrastructure.

“It does require large investment, large funds, and a large commitment to realize digital infrastructure,” said Budi.

According to him, Kominfo always encourages Indonesia’s internet speed to reach the top 10 in the world via the 5G network.

“Speed is relative, but what is certain is the ranking in the world. Our size is like that, the world is not getting slower in selling internet. If we say our target is 100 Mbps but it turns out the world ranking has all increased, that’s still the case,” said Budi.

In fact, the government continues to study and formulate strategic steps to implement 5G network services with better internet speed levels.

“We will synergize with several cellular operators and the industrial ecosystem to formulate the best steps,” said Budi.

Source: CNN