The government of Rwanda, through the Rwanda Utilities Regulatory Agency (RURA), has set a precedent in fining MTN-Rwandacell 70 million Rwandese francs (US$129,926) for poor network services.

MTN has been providing poor quality services since November 2007, said Marie Claire Mukasine, RURA chairperson.

The bone of contention was a proposed plan submitted by MTN-Rwandacell in January indicating that it would upgrade its network and solve its service issues within six months. However, it failed to do so in the time frame specified.

MTN calls would drop off midway and messages would not be sent, among other frustrations, said Mukasine in a statement. The telecommunications company has, therefore, been ordered to pay 5 million francs daily for two weeks for the inconvenience caused to subscribers, she said.

However, the mobile phone provider, which has the largest subscriber base in Africa, has since upgraded its network to the Erickson CS3 system, offering better voice, data and Internet services.

RURA reached its decision after a committee met, deliberated and filed a report indicating that the entire upgrading exercise was very slow and that consumers continued to suffer from low-quality service.

The regulatory board directed the company to submit a clear road map showing the actions to be undertaken to meet quality-of-service standards.

The IDG News Service is a Network World affiliate.