GTT, E-Networks deny free usage of GPL Poles, Atlantic Cable says GPL prices too high

GTT, E-Networks deny free usage of GPL Poles, Atlantic Cable says GPL prices too high

Following statements in the Kaieteur News by GPL Chief Executive Officer, Bharrat Dindyal that the Guyana Telephone Company and cable operators are not paying for space on GPL power poles, a number of the companies have rushed to refute the claims.

In a statement, GT&T said  that unlike the other companies which are seeking access to GPL’s poles, GT&T has a considerable amount of poles across Guyana and despite that, it has an agreement with GPL for pole sharing.

“Over the years the two utilities have enjoyed a symbiotic relationship whereby each utilizes the other’s poles under a “Pole-Sharing Agreement”, the GTT statement said.

 It added that within recent times, with the surge in demand for pole space occasioned by the roll-out of cable TV and other services, the power company has understandably expressed a preference for pole tenancy agreements with companies wishing to make connections to its poles. The Telephone Company said it is currently in negotiations with GPL to rent space on its poles across the country.

The Managing Director of E-Networks Vishook Persaud, provided News Source with several copies of current agreements his company has with the Guyana Power and Light Company for rental of space on its power poles. Persaud said the latest agreement stretches into 2016. He also explained to News Source that his company has been paying its bills and has never had any issue with GPL over space on its poles.

The Chief Executive Office of the Atlantic Cable Network, Michael Bess told News Source that his company is still to reach an agreement with the GPL on the rental cost for space on its poles.

He said GPL first wanted his company to pay $5000 rental fee for space on one pole per year. He said he raised that issue with the Prime Minister and the cost was reduced to  $2500 per year for one pole.

“That cost is still too high because if you do the math and we need to use 4000 of GPL poles to facilitate our service cables, it would mean that we would have to pay GPL $10 Million per year just for rental for a small space on their poles”.

Bess said with the fees he has to pay for subscription for the channels on his cable system, paying that amount of money to GPL would run his company out of business.

The Managing Director explained that when he decided to expand his cable company to Georgetown from the East Bank of Demerara, he was ready to plant his own utility poles but the government had objected “because they did not want to see poles all over”. He said they made it clear to GPL that the cable company ought to be facilitated.

There are reports that the  government is expected to get involved in the matter in hope of getting all sides to agree on a price that would be beneficial to all.

 

Filed: 11th December, 2014

 

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