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EQUITABLE AND SUSTAINABLE SOCIO-ECONOMIC DEVELOPMENT 

1. ICT and Telecommunication Development 

B-Mobile, a subsidiary of Bhutan Telecom Limited (BTL) and Tashi-Cell, a subsidiary of Tashi InfoComm Limited (TICL), are currently the two service providers offering mobile services in the country while BTL is the sole provider of fixed line telecommunication in the country. Internet services are provided by Druknet (under BTL), TICL, Samden Tech and Drukcom. 

Table showing fixed-line, mobile and internet subscribers in Bhutan, 2004-2011. 

Year

Fixed line subscribers

Mobile cellular subscribers

Internet subscribers

Total subscribers

Subscribers per 100 inhabitants

Total subscribers

Subscribers per 100 inhabitants

Total subscribers

Subscribers per 100 inhabitants

2004

30,285

5.90

18,995

3.70

35

0.006

2005

32,709

5.10

37,842

5.96

48

0.008

2006

31,526

4.90

82,078

12.70

61

0.010

2007

30,279

4.60

148,179

22.50

4,040

0.600

2008

27,937

4.20

228,347

34.30

5,548

0.830

2009

26,348

3.80

327,052

47.80

18,542

2.700

2010

26,292

3.78

394,316

56.70

94,285

13.600

2011(April)

27,152

3.83

419,926

59.30

97,955

13.83


Source: Bhutan Telecom Limited and Tashi-Cell – 30 April,2011 

Mobile connectivity to rural areas 

As a part of the government’s common minimum program aimed at social and economic empowerment of the people, the Ministry of Information and Communications worked diligently with the two service providers BTL and TICL to ensure universal connectivity through mobile services within December 2011. Fund amounting to a total of Nu 360.155 million (in two phases) has been committed as government subsidy to the two operators through the Universal Service Obligation (USO) Fund. As a result of the government subsidy, services are now available in most Geogs including some of the remote and difficult places like as Laya (Gasa), Barshong, Soe, Naro and Lingshi (Thimphu), Merak and Sakteng (Trashigang), Jomotsgangkha, Lauri, Serthi (Samdrupjongkhar) and Chokorling (Pemagatshel). 

Consequently, there has been a significant jump in the number of mobile subscribers from 47.8% or 327,052 in 2009 to over 59.3% or 419,9264 subscribers as of 30th April 2011. In terms of physical coverage, 204 out of 205 Geog centers (or 99%) now have access to mobile services. The only remaining Geog center - Lunana (Gasa), including villages in remote areas, are targeted for completion within 2011, together with several shadow areas. 

Besides expanding access and coverage by mobile services, the two operators are continuously finding innovative ways of ensuring optimum utilization of facilities provided across the country by offering several user-friendly packages and making the services affordable to rural people. These include, among others:

  • Reducing the monthly access charge from Nu 100 for fixed line connection to Nu 25

  • Lowering the fixed line STD (between Dzongkhags) tariff from Nu. 3.5/minute to Nu. 1.5/minute 

  • Periodical downward revisions of mobile call charges including SMS 

  • Increasing the validity of recharge vouchers 

  • Introducing lower denomination recharge vouchers keeping in view the requirements of those who cannot afford higher denomination recharge voucher. 

BTL had 330,168 subscribers out of which 321,610 were pre-paid subscribers and 8,558 were post-paid mobile subscribers against Tashi-Cell‟s 89,758 subscribers out of which 88,035 were pre-paid and 1,723 post-paid. BTL‟s subscriber base increased by almost 5.72% while that of Tashi-Cell increased by 9.46% between December 2010 and April end 2011. 

Availability of fixed-line versus mobile services 

Fixed-line subscribers peaked 5.90 per 100 inhabitants in 2004 and since then it has been declining to the present level of 3.83 per 100 inhabitants. This trend is not unique in case of Bhutan but even elsewhere in other countries. The delcine in fixed-line usage is adequately compensated by huge increase in the number of mobile subscribers from 34.3% in 2008 to 59.3% now. 

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