I know you have already listened to the pre-promised services to offer to the customers from CG Telecom a few years ago. But it remained awaited and could not get launched yet. We are going to talk about why could CG SIM not get launched? in this article. Are all the rumors were just rumors or the truth. What happened to CG Telecom? What is the reason that prevents CG Telecom to get a Unified license from NTA?

Why Could CG SIM not get Launched?

We are experiencing and enjoying the CG noodles, CG appliances, and the cheapest internet in Nepal from Chaudhary Group. But what about the CG's SIM card? We may have just listened about it. There was very big news that CG SIM Card will offer free voice calls, the cheapest data packs, and many more. We are going to make it clear why it took longer to happen.

CG Telecom is struggling to get a Unified license to run telecom service in Nepal. Not having the license is the major reason behind the delay in launching the CG SIM.

Before we talk about the core issue we must be familiar with the background and preface of the Nepali Telicomunication System and Unified license. There is a process and criteria to start telecom services in Nepal. Have a brief look at the process and criteria then move to the CG Unified License Case Study.

Process and Criteria to start Telecom Services in Nepal

There is the provision of a Unified license which is issued by the Nepal Telecommunication Authority (NTA) to run the telecom services in Nepal. NTA is the regulating body of the government of Nepal which regulates the activities of telecommunication in Nepal.

It provides Frequency Spectrum and Licenses to the telecommunication companies to run their services. According to the policy of NTA,  a company must have a unified license to run the nationwide telecommunication services.

Again, a company needs the Rural Telecom license and the Service Coverage of the operating area must satisfy the guidelines of NTA to get the unified license from NTA. And the last one is a company must have cleared its outstanding dues. 

These are the main requirement that a company must have to satisfy to run services in Nepal.

CG Telecom - Unified license Case Study

We will be discussing the core reason Why CG SIM did not get launched?

CG Telecom gets into existence since it purchased 80% stock of STM telecom. STM company was servicing around east rural areas of Nepal at that time. CG started approaching for the unified license since then but it was not under the needed yardstick as STM was using V-Sat technology. Company Using V-Sat Technology is not eligible for the unified license.

Experts and Analysts find an issue that NTA or any concerned body is not recording the measures and the procedures being taken by CG to get the unified license and uplift its standard as mentioned in the Unified License rules.

Later on, Nepal Telecommunication Authority (NTA) requests the Ministry of Communication and Technology to issue the Unified License to CG Telecom but it directly denies issuing the license. There was no clarity about what is happening between NTA, Ministry, and CG.

In 2016, STM transfers the Rural Telecom License to CG. The season expired as if everything is in normal condition but CG did not get the unified license. Again in 2017 when Nepal Communist Party started talking in a cabinet meeting about allowing CG to run telecom service. 

This time NTA violated the line without any clarity and rejected to grant the license to CG. It said CG does not meet the criteria to run telecom service in Nepal.

The game of the unified license did not yet finish. Again in 2018, the Supreme court scrapped its own stay order to grant permission to CG to run its service but again NTA fled the petition saying that the decision is taken without any legal and factual base. After this Supreme Court fell to reverse its decision and CG was still get deprived of a Unified License.

The major reason is the Unified License approval behind why CG SIM did not get launched? Reports say that CG has almost spent its 4.4 billion NRS to get a license but it is still deprived. CG to introduce new technologies and projects signed and made deal with Huawei, and Turkcell in 2019, ambitiously. 

BUT NTA rescinded the Limited Mobility License showing the reason that it did not renew it until 3 months passed away. The deals are said to get the final face when CG gets its Unified License but here it loosed Limited Mobility License too on its run to get Unified License. Due to the rescission of the limited mobility license CG sim could not operate issuing a single SIM nationwide.

To address the burning issue of the CG telecom the then Minister Gokul Baskota opened the mouth from the side of the ministry. He said, " CG requires to pay 20 billion for the license in advance." He also doubted its pre-promised services too. 

Point to be evaluated. As Mr. Baskota said CG requires to pay 20 billion for Unified License but there are clearly written laws and papers that a company can pay 20 billion after getting the unified license in a 10-year duration.

Here the ruling government is biased. NTC and Ncell are using that facility but Miniter asked for the 20 billion to CG in advance.

Possible Reasons: Why did Government Biase in CG Telecom Case?

We can just assume but core matters are not out yet why could CG SIM not get launched? and why did CG did not get the unified license? We just know what media brings out. Being apart from that formal news and press releases, there could be some reasons behind the government's attempt in depriving CG to get the license.

We can guess if the ministers and their parties have invested in NTC and Ncell and they get terrified of CG's marketing plan and policies. 


Hope you got all figures about why could CG SIM not get launched? The biasedness that the Nepal government and NTA showed here is not negotiable at all. As we talk about when will be CG getting the License, maybe at least 2-4 years. But one thing is to happen for sure. When it succeeds in getting the unified license then a new revolution in Nepali Telecommunication is sure to be recorded.

Thank you for reading the article till the end. What do you think about this matter? Don't forget to interact in the comment section below. 

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