Nepal fined 14 ISPs Rs50,000 each for charging above approved rates

Nepal's Telecommunications Authority fined 14 internet service providers Rs50,000 each for selling services in breach of its directives, approved tariffs and packages, imposing the penalties under Section 47(1) of the Telecommunications Act 1997 after inspections confirmed licence violations. The named providers span the country's major consumer ISPs: Broadlink, Classic Tech, Websurfer, Fiberworld, Vianet, Arrownet, Dish Media Network, Wi-Fi Nepal, CG Communications, WorldLink, Firstlink, Pokhara Internet, Techminds Network and Subisu.

The violations included charging customers more than the authorised rates, selling packages that never received approval, failing to deliver service in line with approved packages, and not notifying customers within the prescribed period. Under the authority's tariff guidelines, providers must submit proposed rates at least three months before they take effect; inspections found some never complied. The authority ordered the unapproved packages discontinued immediately and told the companies to compensate or reimburse customers who suffered losses, on request.

The action landed three days after the regulator publicly clarified, on October 10, that it had received no proposals to raise tariffs and had approved no increase — and warned providers against charging more than approved rates. The fines and withdrawal orders were announced alongside a warning to all licensees to obtain approval before introducing any package or tariff.

Rs50,000 each for 14 providers, unapproved packages withdrawn, and customer losses to be compensated on request.

Providers charged above authorised rates and sold packages that had never been through the required three-month advance approval, breaching the conditions of their operating licences.

The action came only three days after the regulator publicly said it had approved no increases, putting the providers' market prices in direct conflict with the official tariff list.

Customers were sold services that did not match approved packages — speeds and offerings the regulator said undermine consumer interests.

A regulator that publishes its tariff approvals creates a tripwire: any price on the market that is not on the approved list is not a pricing strategy, it is a licence breach.

Beyond the fines, each provider must discontinue unapproved packages and inform the regulator of the withdrawal, and must compensate or reimburse customers who request redress. The NTA warned all licensed providers to obtain approval before introducing any package or tariff, make approved tariffs public, and urged customers to file complaints if charged above approved rates. Authority spokesperson Min Prasad Aryal framed the sweep as consumer protection: curbing practices that undercut consumer interests and bringing internet services under proper regulatory oversight.