KATHMANDU: The Commission for Investigation of Abuse of Authority (CIAA) has initiated a probe into Nepal Telecom’s 4G network expansion due to findings indicating discrepancies between the network quality and the established design and contractual terms. The project, valued at 19 billion rupees, encountered quality issues attributed to deviations from the agreed-upon contract terms. This investigation was prompted by revelations of irregularities in the 4G deployment process, where substantial investments failed to deliver the expected benefits to consumers or the company, resulting in significant financial losses.
The CIAA's investigation includes a review of all tender documents associated with the 4G project to ascertain the extent of the irregularities. One notable issue highlighted was the failure to install a component crucial for maintaining service quality, valued at approximately one billion rupees. Specifically, the installation of 'small cell' devices, essential for enhancing 4G and future 5G network speeds, was not carried out as stipulated in the contract terms.
The primary contractor, CCSI, subcontracted Huawei for the installation of 6,000 small-cell devices. However, incomplete work totaling around 70 crore rupees resulted in a decline in the quality of 4G services. The CIAA is also scrutinizing flaws in the tender process, noting various weaknesses that require further investigation. Moreover, Huawei's failure to fulfill contractual obligations is under scrutiny, as it has contributed to financial losses for Nepal Telecom, impacting the overall effectiveness of the 4G network expansion project.
.jpeg)
