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Troubled telecommunications firm Telecel Zimbabwe said yesterday it is still locked in “amicable” discussions with Government over reinstatement of its operating licence which was cancelled in May.
The Postal and Telecommunications Regulatory Authority of Zimbabwe (Potraz) cancelled the firm’s licence over its continued failure to regularise its shareholding in terms of local ownership laws.
Telecel Zimbabwe is owned 60 percent by Russian telecoms giant Vimpelcom while locals own the remainder.
But the Telecommunications Act as well as indigenisation laws demand that locals must own a minimum of 51 percent in foreign-owned firms operating in the economy.
Following the licence cancellation, Telecel sought and was granted a High Court interdict which suspended Potraz’s decision pending negotiations with Government.
Telecel Zimbabwe’s newly appointed chief executive, Ms Angeline Vere, said the firm had recently paid its licence fee instalment, understood to be $5 million, to Potraz and was working on the next instalment due in December.
“Very amicable discussions are ongoing with Government to ensure that the licensing issue is resolved,” Ms Vere told journalists at a reception.
“Telecel remains fully committed to working with the Government of Zimbabwe to meet all the licence requirements.”
Telecel negotiated with Potraz for a payment plan to settle its outstanding licence fees when Government, in 2013 hiked the fees to $137,5 million for a 20-year period.
Ms Vere, who was appointed chief executive last month, said the telecoms firm was committed to providing alternative and cheaper means of communication.
In light of a difficult operating environment, the CEO said the company was continuously reviewing its operating costs to ensure “that we offer value to our customers”.
“As the new CEO, I intend to ensure that Telecel continues to fulfil its commitment to providing its customers with high-tech mobile products and services at an affordable cost especially in these economically difficult times,” she said.
Ms Vere dismissed reports that Telecel had cut staff salaries by 20 percent.
“Telecel has not reduced any staff salaries but like all organisations in this tough operating environment, it is constantly looking at available ways to optimise costs,” she said.
Ms Vere admitted that emergence of new alternative communications means including WhatsApp and Viber, was giving telcos a run for their money.
A tariff cut imposed and a string of new taxes imposed by Government in January had also compounded the situation, she said. — New Ziana.
Online Reporter