SLT to invest Rs. 25 b in network revamping
Sri Lanka Telecom, (SLT) would invest Rs. 25 billion this year
towards the expansion of both SLT and Mobitel and to add infrastructure
to their networks.
CEO, SLT, Greg Young speaking to ‘Daily News Business’, said that
they would invest Rs. 17.5 billion for SLT, the highest ever capital
infusion in the history of the company. The balance would be invested on
Sri Lanka Telecom Mobitel.
The CEO said that one of the main areas that they would be
concentrating this year would be on the iSri Lanka project that was
launched last year.
“This would for the first time, bring SLT’s interactive PeoTV, the
multi channel TV network to all megaline customers.
Through this programme, SLT has already brought ultra high speed
broadband connectivity at speeds of up to 20Mbps for many of its fixed
customers and the total project would be ready by next year.
He said that they would be providing special routers to their mega
line customers so that they would have wifi with high speed internet and
voice without an additional cost while also providing a better
experience in Peo TV all via the SLT mega line connection.
He said the main reason for this was that today the most of the
laptop computers, Tablets and smart phones are wifi compatible and hence
people need voice, television and high speed internet in a all in one
In addition, SLT would also have more wifi enabled public places
where customers could make use of this facility. “In addition, we would
also provide free access in places like the airport and other public
places,” he said
He disclosed that they would also do away with most of the aging and
cumbersome equipment and replace them with modern energy saving and
efficient equipment. “One may be surprised to note that we spend
billions on electricity and we account to 1% of Ceylon Electricity Board
“With the introduction of new equipment, this cost would drastically
come down,” he said.
He also disclosed that they would be installing a handful of next
generation telephone exchanges in place of over 400 exchanges spread
throughout Sri Lanka.
Commenting on their bottom line, he said that the company has been
performing to expectations with Sri Lanka Telecom (SLT) operating profit
growing by 14 % year-on-year to Rs.1.86 billion in the first quarter of
2012, on revenues which climbed 9 % to Rs13.53 billion.
He said that with all the taxes and levies they pay to the
government, SLT contributes around 1% of the total government revenue.
He said that the mobile industry in Sri Lanka was very competitive
and Sri Lanka may be the only country in the world to have four
intentional players vying for the mobile market along with Mobitel.
A few years ago due some unethical completion and a low tariff
regime, the mobile market profits zeroed and eventually the Telecom
Regulatory Commission had to step in to bring about a new tariff plan
which once again brought in profits to the industry.