In the wake of the True-DTAC merger fallout, the National Broadcasting and Telecommunications Commission (NBTC) faces internal strife as public complaints surge. Move Forward’s Sirikanya Tansakul slammed the NBTC’s inertia while her party filed robust emergency legislation for enhanced watchdog powers.
Public disquiet over the quality of services being provided by the firm forged by the True DTAC merger sparked a crisis within the National Broadcasting and Telecommunications Commission (NBTC) this week. It comes with allegations that the body’s role in conducting oversight of the merger’s impacts on the consumer market is being delayed or ignored. Move Forward’s Sirikanya Tansakul has been stinging in her criticism of the body while her party has introduced robust new legislation giving public watchdogs the power to break up business concerns which are pursuing anti-competitive practices.
Discord over the affair deepened this week as internal strife within the NBTC came to the fore. Four board members urgently sought resolutions on consumer complaints stemming from the merger’s impact.
The National Broadcasting and Telecommunications Commission (NBTC) has been roundly criticised in the last 48 hours by Ms Sirikanya Tansakul, the Head of the Economic Team of the Move Forward Party. She unleashed a barrage of criticism linked to the regulatory turmoil surrounding the aftermath of the True-DTAC merger.
Failure to oversee and regulate commitments to service quality made when the DTAC True merger was given the go-ahead by oversight agencies in 2022
Ms Sirikanya’s scrutiny is rooted in the NBTC’s apparent failure to address the fallout of the True-DTAC merger adequately.
She questions the agency’s internal dynamics and seeming reluctance to engage in critical discussions on matters that directly impact consumers
Notably, Ms Sirikanya raised concerns about the exclusion of crucial agenda items from internal discussions. The Move Forward star performer highlighted a lack of proactive dialogue within the regulatory body. Certainly, in view of the True-DTAC merger and service conditions for consumers.
MP seeks probe into Thursday’s NBTC decision not to block the $7.5 billion DTAC True merger
The Economic Team leader of the Move Forward Party criticised what she termed the NBTC’s neutral stance on the key issue. Ms Sirikanya has long been a critic of the merger and questioned the NBTC in October 2022 when it failed to object to the then-proposed deal.
Merger left True Corporation as a dominant player in the market. The firm is owned by the CP Group and the Kingdom’s ultra-wealthy Chearavanont family
When it went ahead in 2023 it left True Corporation in control. True is owned by the giant CP Group conglomerate and the Chearavanont family. It now controls a large segment of Thailand’s communications infrastructure. The move also significantly reduced competition in the market.
‘Simply summarised, after the board has resolved to acknowledge the merger. It approved consumer protection and relief measures for over a year. But we have the NBTC office in neutral. It refuses to enforce measures. There is a president who centralises power to himself and blocks agendas that will create a vacuum. The board is powerless to investigate. Let the consumers suffer,’ Ms Sirikanya fumed on Monday.
She accused the regulator of sidestepping the enforcement of essential measures aimed at mitigating the impact of the merger.
Move Forward Party star criticises the NBTC for stalling and failing to act swiftly to mounting public concern at service conditions for mobile users
Ms Sirikanya singled out the unresolved appointment of a new NBTC secretary-general as emblematic of the regulator’s inertia.
Additionally, she pointed to the NBTC’s failure to implement several pre-merger measures. This includes the establishment of a business unit for virtual mobile phone operators and the hiring of a consultant to study cost structures.
In her critique, Ms Sirikanya drew attention to the confusion among consumers, exacerbated by the NBTC’s lax enforcement of regulations. The issues range from uncertainty surrounding service fees and signal quality to abrupt changes in service packages.
Affordable tariff offers for less well-off users, disappearing. Pricing now homogenised across the market making it less competitive says Sirikanya
She contends that the NBTC’s failure to enforce regulatory measures has left hard-pressed consumers in a precarious situation. She claims affordable packages disappeared and prices homogenised across service providers.
In summary, Ms. Sirikanya accuses the NBTC of consolidating power internally, obstructing agendas, and rendering the board impotent in investigating critical matters.
She laments that consumers bear the brunt of the regulatory inertia. It is a stark contradiction to the approved consumer protection and relief measures initially agreed. Indeed, the measures were a key condition of the merger getting the green light from authorities.
New legislation introduced in parliament to address the competition concerns over the True DTAC merger strengthening the oversight powers of watchdogs
Responding to these concerns, the Move Forward Party took decisive action by submitting a draft amendment to the Trade Competition Act. The proposed amendments aim to address gaps in the NBTC’s authority, creating a robust framework to prevent incidents like the ongoing merger fallout.
It includes the power to break up firms considered to be monopolistic or a threat to a competitive market.
Ms Sirikanya highlighted specific proposed changes to the Trade Competition Act.
It provides for an updated Trade Competition Commission (TCC Board) which is more concerned about consumer protection. The new legislation emphasises the importance of relevant expertise and backgrounds of those appointed to such roles.
The proposed amendments also give the NBTC board the authority to order the breakup of anti-competitive business concerns.
Crisis within the NBTC as pressure rises for it to respond to mounting customer complaints about the newly merged firm created by the True DTAC merger
The internal tumult within the NBTC has reached a critical juncture with four commissioners— Thanapant Raicharoen, Suphat Supachalasai, Pirongrong Ramasoota, and Somphob Purivikraipong—sending an urgent letter to Chairman Dr Sarana Boonbaichaiyapruck.
The commissioners seek a swift resolution to address public complaints about the merger’s impact. These complaints encompass issues such as mobile phone signal quality, escalating service rates, and automatic alterations to service packages.
At the same time, commissioners stress the urgency of collecting facts about the situation. They emphasise the need for prompt action to address mounting consumer grievances.
Previously, the True Corporation and Total Access Communication (DTAC) merger was completed in March 2023. It created an entity controlled by True Corporation. Afterwards, consumer complaints rose.
Despite True’s assurances of strict adherence to post-merger rules, the regulatory body is grappling with the ongoing discontent of consumers.
Crunch meeting on December 20th as red tape and procedure used to stall promised actions by the oversight body despite pressure from some key members
The NBTC’s board meeting scheduled for December 20 now carries heightened significance. The agency is struggling with internal discord while endeavouring to formulate resolutions to consumer complaints.
Looking deeper into the regulatory saga, the chronology of events leading to the current uproar is significant.
The merger between True Corporation and DTAC was formally acknowledged by the majority of the NBTC board on October 20, 2022. The board set forth specific measures related to service rates, contracts, and service quality, including signal quality.
However, subsequent administration and oversight of the measures were thwarted by delays and inertia.
The NBTC’s office, responsible for compiling minutes from subcommittee meetings, failed to submit an evaluation report on the merger’s impact for the last board meeting on November 23.
The absence of the report prevented the inclusion of the merger’s effects on the agenda for the upcoming board meeting on December 20.
Oversight body has a role in evaluating the ongoing consumer impacts of the True DTAC merger, some members feel it must play its part without delay
Certainly, internal strife now casts a shadow over the subcommittee tasked with monitoring and evaluating the merger. Its working term extended beyond the original expiry date on October 29. This is understood to be because of the complex and prolonged nature of the evaluation.
The current crisis has brought into sharp focus the role of the NBTC Chairman, Dr Sarana Boonbaichaiyapruck, who is specifically responsible for consumer protection.
At length, Section 27 of the Frequency Allocation Organization Act of 2010 and its amendments, is crucial. In effect, the chairman, in this role, can assign the NBTC office to collect facts about any situation. Explicitly here, any consumer impacts on telecom services can be reviewed based on a board resolution.
As the NBTC contends with internal divisions, external scrutiny, and the pressing need to address consumer concerns, the upcoming board meeting on December 20 may prove pivotal.
Future of regulatory oversight of big business and big money is now up for question in Thailand
At length, the NBTC’s response to consumer complaints is one issue. At the same time, the resolution of internal strife, and the enforcement of regulatory measures are another. Basically, all are in the spotlight
Ms Sirikanya’s outspoken criticism exposes alleged internal conflicts and regulatory lapses that have left consumers in a state of uncertainty.
The proposed amendments to the Trade Competition Act submitted to parliament by her party signal an attempt to fortify the regulatory framework and prevent future incidents of persistent inaction.
As this story unfolds, the issue of the effectiveness of regulatory bodies in complex telecommunications cases, like this, raises itself. Additionally, the ability to safeguard consumer interests in Thailand is up for question.
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