Updated: 11/20/2013 13:52 | By Channel NewsAsia
OpenNet fined S$750,000 for service breaches
SINGAPORE: The Infocomm Development Authority of Singapore (IDA) has fined OpenNet S$750,000 for service breaches in the first six months of 2013.
In a statement issued on Wednesday, IDA said OpenNet could not provide optical fibre services at certain locations in Singapore.
As a condition for its licence, the fibre broadband network operator is obliged to provide its services to any location in the main island or connected islands of Singapore on the request of telecom or broadcast licensees.
IDA noted that failure to meet the requirement would mean that downstream service providers will be affected in their services for consumers and businesses.
It said some 120,000 homes and 760 non-residential buildings were potentially affected by the service breach in the first half of the year as the homes and businesses could not have ordered high-speed fibre broadband if they had wanted to.
For this breach, IDA imposed a penalty of S$550,000.
OpenNet also could not meet the strong demand from homes for service activations in the first half of the year, particularly in the second quarter.
In any one month, OpenNet is supposed to meet 98 percent of activation requests from homes within three business days of the request, and to meet all requests within seven business days.
But in May 2013, it could meet only three quarters of activation requests from homes within seven business days.
In June 2013, only a third of activation requests from homes were met within seven business days.
For this, the fibre broadband network operator has to pay a penalty of S$200,000.
IDA said it has given OpenNet till the end of the year to bring its service activation for homes up to speed.
It said to meet the target, OpenNet will further increase its installation capacity per business day, particularly during times when orders are expected to spike, such as when large-scale promotional events are held.
As for the requirement to provide services at all locations in Singapore, IDA said since 1 July 2013, OpenNet has been accepting orders for fibre services for all homes and businesses.
OpenNet acknowledged the fines imposed by IDA, and said it is "evaluating IDA's decision".
In a statement issued on Wednesday afternoon, OpenNet also said it is working on a number of measures to improve its service delivery.
They include expanding installation capacity and carrying out a mass exercise for homes.
OpenNet said it has proposed the measures to IDA, and is working out the details with the relevant stakeholders.
It also said it is in discussion with IDA an arrangement for service providers to hand over a fibre connection when a subscriber switches service providers.
It said the arrangement would shorten installation time for subscribers switching service providers, and ensure fibre network resources are optimally used. - CNA/xq
