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Palapa Ring Completed, Internet Tariffs Across Indonesia Can Be at a Single Price
Nunukan | September 3, 2019
The completion of the Palapa Ring Timur is said to be able to encourage cheaper telecommunications rates, especially for users in Eastern Indonesia. This was stated by Minister of Communication and Informatics Rudiantara in Nunukan, North Kalimantan.
According to Rudiantara, in 2015, internet rates in eastern Indonesia were twice as expensive as in western Indonesia. However, the speeds received were slower.
"In 2015, the difference (in rates) was double. Then we decided to talk with operators and lower them. So, it's about 65 percent more expensive. But, once the Palapa Ring Timur is complete, operators can use it," he said when met in Nunukan.
According to Rudiantara, operators will be able to use the Palapa Ring Timur at a special price, thereby reducing their costs. Once costs are lowered, tariffs can be the same across Indonesia.
"It's the same as fuel with one price, that's the concept. Fuel has a physical form, but phone credit doesn't. So, the tariffs and usage are the same," he explained.
Rudiantara further explained that construction of the East Palapa Ring is now complete. However, it still needs time to integrate with the West and Central Palapa Rings before it's ready for commercial launch.
"It's finished, but it will take time for operators to integrate it," he said, concluding the discussion. The East Palapa Ring is the final backbone network development project to connect all district and city capitals in Indonesia.
Construction of the East Palapa Ring has been completed. The government is currently conducting stability tests to verify the technical readiness of the infrastructure before entering the commercialization phase.
"The East Package has been completed, and there is no longer any physical activity in the field. We are currently undergoing a stability test to ensure that the network quality meets international technical standards," said Anang Latif, President Director of the Telecommunications and Information Accessibility Agency (BAKTI), in Jakarta, Thursday (August 22, 2019).
Anang explained that this stability test involves allowing the East Palapa Ring device to connect to a connection with a certain traffic load. From this traffic load simulation, it will be possible to determine whether the quality meets international technical standards.
He estimated that this test would be completed no later than mid-November 2019. However, it is possible that it could be completed sooner. After that, the fiber optic network will be commercialized.
"We'll see what happens in the field. Once the stability test is complete, it will be ready for commercial use. After that, all Palapa Ring packages will be completed," said Anang.
Anang revealed that so far, several telecommunications operators have expressed interest in the East Palapa Ring, including Telkom, Indosat, and XL Axiata.
"While waiting for the stability test to be completed, we've started soliciting operators, and many have already requested it. Their interest depends heavily on their respective business strategies. For example, Telkom, which already has penetration in Papua, could use this (East Palapa Ring) as a backup," he explained.
Regarding the tariff scheme for using the East package infrastructure, Anang said it will be the same as the Central and West packages, which were completed earlier. However, the amount will differ considering that the capital expenditure (capex) in the East region is much greater than in the Central and West regions.
"The tariff scheme is the same as the West and Central packages, but the amount is different. This is because the capex for the East package differs per kilometer from the West package. However, the difference is not double," said Anang.
Original Source: liputan6.com
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