US embassy cable - 05COLOMBO1183

UNCLAS COLOMBO 001183 
 
SIPDIS 
 
EB/CIP TIMOTHY C. FINTON 
USTR JONATHAN MCHALE/PAUL NEUREITER 
 
E.O 12958: N/A 
TAGS: ECPS, ETRD, CE 
SUBJECT: LICENSING CONDITIONS IN THE TELECOMMUNICATIONS 
SECTOR IN SRI LANKA 
 
REF: STATE 114687 
 
1.  In Sri Lanka, the Telecommunications Regulatory 
Commission of Sri Lanka (TRCSL) charges fees in 
connection with licensing fixed line services in excess 
of what is required to cover administrative expenses. 
The level of fees depends on the type of license to be 
issued and licensing conditions.  The purpose of the 
fees is to generate government revenue and to contribute 
to telecommunications infrastructure development.  TRCSL 
issues countrywide licenses that are not limited to a 
given geographical area.  However, in some cases, the 
operators need to fulfill obligations regarding rural 
telephony development.  TRCSL has so far not revoked 
licenses for not meeting initial obligations.  TRCSL 
issues both facilities based and non-facilities based 
licenses.  According to industry sources, license fees 
are for the most part reasonable and fairly assessed. 
 
2.  In some instances, the TRCSL imposes capitalization 
requirements to ensure rural rollout and other commitments 
related to services.  The regulator does not issue 
geographical area based licenses. 
 
3.  The TRCSL does not require build-out investments. 
 
Lunstead