As the government plans to block unregistered mobile devices from gaining network access to curtail black market trade, consumer advocates have warned authorities of the potential backlash from such policy
s the government plans to block unregistered mobile devices from gaining network access to curtail black market trade, consumer advocates have warned authorities of the potential backlash from such policy.
The Trade Ministry on Wednesday held a meeting with cell phone industry stakeholders, including telecommunication regulators and mobile network operators.
Trade Minister Gita Wirjawan said the government would carry out the plan gradually while cell phone producers distributed manuals about products and services.
The minister added that his ministry would discuss plans to cut state losses due to sales of unregistered cell phones with related parties, including the customs and tax directorate.
The government has thus far registered mobile devices based on the devices' International Mobile Station Equipment Identity (IMEI) numbers, which are unique to every mobile device.
According to Gita, up to 30 percent ' or 70 million ' of the roughly 250 cell phones available in the market were not registered.
'The fee for each IMEI registration is Rp 500,000. Multiplying this by 70 million amounts to Rp 35 trillion in losses, not to mention unaccounted losses from the 10 percent value added tax,' he said.
Meanwhile, Indonesian Cellular Telecommunication Association (ATSI) chairman Alex Sinaga said mobile network operators were ready to 'collaborate' with the Trade Ministry to implement the plans.
Alex, however, said that if the regulation was abruptly applied, 10-15 percent of mobile subscribers would lose access to telecommunication networks.
Husna Zahir, the chairperson of the Indonesian Consumer Protection Foundation (YLKI), said this regulation would potentially infringe consumers' right to communicate.
'Consumers do not have the ability to determine the legality of the mobile devices they purchase,' she said.
Husna added that the government should eradicate the mobile device black market by preventing the entrance of such goods in the first place. (asw)
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