The much-awaited internet bandwidth export to Indian eight eastern states cannot be made before July due to challenges facing Bangladesh Submarine Cable Company Ltd (BSCCL).
Though the cabinet yesterday approved the cable company’s proposal for signing a deal with its Indian counterpart Bharat Sanchar Nigam Ltd (BSNL), one more month is required to ink the deal.
“We have already contacted BSNL today (yesterday) after the cabinet meeting and invited them to Dhaka,” Monowar Hossain, managing director of BSCCL, told the Dhaka Tribune.
He said the final deal is likely to be signed by May 20 though its draft had been made a couple of months back.
Initially, BSCCL will export 10 gigabyte per second (Gbps) through Akhaura under Brahmanbaria district to Agartala, capital of Tripura.
The company has connectivity up to Akhaura but no redundancy. So, before export, bandwidth redundancy needs to be established, sources said.
According to officials in the Submarine Cable Company, they have two other selected points for establishing links with Shillong and Assam points.
Following the meeting, cabinet Secretary M Musharraf Hussain Bhuiyan told reporters, “The state-owned BSCCL is going to ink the deal with BSNL under which Bangladesh would supply 10Gbps bandwidth to India on lease and commercial basis. The export capacity could be raised to 40Gbps.”
He said Bangladesh would fetch $1.2 million (approximately Tk9.42 crore) annually by exporting unused internet bandwidth.
“We have calculated that we will earn $1,00,000 every month at the rate of $10 for 1Mbps and it will go up to $4,00,000,” a senior official told the Dhaka Tribune.
Presiding over the meeting, Prime Minister Sheikh Hasina presented the proposal before the cabinet meeting held in Bangladesh Secretariat, said sources.
They said some senior cabinet members suggested providing free internet for educational institutions rather exporting it.
In reply, the prime minister said her government will reduce bandwidth price for the users and will go for reduced price for educational institutions but not make it free.
As of December 2014, the country used more than 100Gbps international internet bandwidth and BSCCL provided only 32Gbps.
The remaining bandwidth was imported by six International Terrestrial Cable (ICT) from Western part of India.
Monowar Hossain said according to the draft deal they will get payment in US dollar in advance and on every quarterly basis.
“But at the same time BSCCL needs to take the risk of interruption which will cut the tariff,” he added.
The cable company has to bear all tax and other fees if required. BSNL leaves all responsibilities to BSCCL, according to the MoU signed on May 12 last year in Dhaka.
According to sources, India will take more than 100Gbps within the next few years when the second submarine consortium SE-ME-WE-5 will be connected with Bangladesh.
The connection is scheduled to take place by 2016.
