21 September 2012 - The Infocomm Development Authority of Singapore (IDA) has imposed a financial penalty on SingTel for breaching the Code of Practice for Telecommunication Service Resiliency (the "Service Resiliency Code"). This follows IDA's investigation of the disruption of SingTel's "mio Voice" services on 28 and 29 October and 4 November 2011, which found that SingTel had not fulfilled its obligation to provide resilient fixed line telephone services under IDA's Service Resiliency Code.
Singapore, 21 September 2012 | For Immediate Release
Penalty imposed for service difficulty in SingTel's fixed line telephone services in October and November 2011
The Infocomm Development Authority of Singapore (IDA) has imposed a financial penalty on SingTel for breaching the Code of Practice for Telecommunication Service Resiliency (the "Service Resiliency Code"). This follows IDA’s investigation of the disruption of SingTel’s “mio Voice” services on 28 and 29 October and 4 November 2011, which found that SingTel had not fulfilled its obligation to provide resilient fixed line telephone services under IDA’s Service Resiliency Code.
The service difficulty incident affected SingTel’s mio Voice fixed line telephone services to some end users in parts of Tampines, Changi and Pasir Ris for varying periods over 28 and 29 October, and in parts of Bukit Panjang, Bukit Timah and Woodlands on 4 November 2011. Investigations showed that the service disruptions were caused by a hardware capacity limitation of the Optical Line Terminals (“OLTs”) at the Tampines Exchange and the Bukit Panjang Exchange. Following the service difficulties, SingTel upgraded the hardware capacity of all its OLT equipment, including those at areas that were not affected by the service disruptions.
IDA has decided to impose a financial penalty of $300,000 on SingTel for its contravention of the Service Resiliency Code. As the cause of the service disruptions was a hardware limitation in SingTel’s equipment, IDA was not satisfied that SingTel had actively monitored and taken adequate steps to ensure sufficient hardware capacity was provided. In its decision, IDA had also taken into account the fact that the impact to end users was localised and affected an aggregate of more than 500 end users.
IDA takes a serious view of telecom service disruptions. Telecommunication service providers are required to continually improve the resiliency of their networks, in order to ensure that they will strive to always provide reliable telecom services in Singapore for consumers and businesses.
The Service Resiliency Code, which was first introduced in 1998 and revised in 2008, sets out the service standards and a penalty framework for service disruptions which result in widespread service difficulties. Under the Code, IDA may impose financial penalties which may vary according to the duration and extent of the disruption. IDA takes into consideration any mitigating factors or circumstances that the licensees may have before deciding on the penalties to be imposed for service disruptions listed in the penalty framework. Under section 8(1) of the Telecommunications Act (Cap. 323), the maximum financial penalty that IDA may impose for a contravention of the Service Resiliency Code is up to $1 million or 10% of the annual turnover of a licensee, whichever is higher.
ISSUED BY CORPORATE AND MARKETING COMMUNICATIONS DIVISION
INFOCOMM DEVELOPMENT AUTHORITY OF SINGAPORE
Related Resource:
- Factsheet - Code of Practice for Telecommunication Service Resiliency
(September 2012)
Code of Practice for Telecommunication Service Resiliency 2008 ("Service Resiliency Code")
In 1998, IDA introduced the Code of Practice (Service Standards on Network Quality) on service standards and the penalty framework for telecommunication service disruptions which were short-termed in nature, but resulted in widespread service difficulties. This framework was revised and renamed as the Code of Practice for Telecommunication Service Resiliency (the "Service Resiliency Code") in 2008 to ensure its continued relevance in view of market developments.
The objective of the Service Resiliency Code is to ensure that telecommunication service providers providing key services to a large number of end users adopt proactive measures to invest in and improve the resiliency of their telecommunication networks to prevent widespread service difficulties, and in the event such service difficulties occur, to ensure that these service providers take all measures to restore services as quickly as possible. Services covered by the Service Resiliency Code include fixed-line, mobile and international telephone services, Internet access services and interconnection services.
Under the Service Resiliency Code, IDA may impose financial penalties for breach of the Service Resiliency Code and the financial penalties may increase with the duration of the service difficulty, as well as the extent of the service difficulty. The table below provides a guide on the amount of financial penalty that IDA may impose for failure to comply with the Service Resiliency Code. IDA will take into consideration any mitigating factors or circumstances that the service providers may have before deciding on the final penalties to be imposed for service disruptions listed in the penalty framework. Under section 8(1) of the Telecommunications Act (Cap. 323), the maximum financial penalty that IDA may impose for a contravention of the Service Resiliency Code is up to $1 million or 10% of the annual turnover of a licensee, whichever is higher.
Licensees Applicable services Impact on applicable services Financial Penalty* Public telecommunication licensee
Any local fixed-line telephone service Affects an aggregate of 500 or more of the licensee's subscriber lines From $15,000 to $270,000 per 30mins block, depending on number of lines affected and duration of service disruption Public telecommunication licensee Any international telephone service Affects international telephone services from Singapore to one or more top 25 countries From $30,000 to $270,000 per 30mins block and depending on duration of service disruption Mobile Facilities- Based Operator (FBO) licensee Any local mobile telephone service Affects an aggregate of 5% or more of the licensee's mobile base stations From $15,000 to $270,000 per 30mins block, depending on percentage of mobile base stations affected and duration of service disruption Designated Internet access service provider licensee Any Internet access service Results in a loss of 70% or more of the licensee's internet bandwidth to the USA/North America From $15,000 to $270,000 per 30mins block, depending on percentage of Internet bandwidth affected and duration of service disruption
Public telecommunication licensee or mobile FBO licensee Any local fixed-line telephone service, any local mobile telephone service or any international telephone service Results in an interconnection failure between two or more licensees From $15,000 to $90,000 per 30mins block and depending on duration of service disruption
*Note:
1. IDA may vary the final financial penalty to be imposed after taking into account the relevant aggravating and mitigating factors
2. Not confined to total service disruption. It will also include partial service disruptions
About Infocomm Development Authority of Singapore
The Infocomm Development Authority of Singapore (IDA) is committed to growing Singapore into a dynamic global infocomm hub. IDA uses an integrated approach to developing infocommunications in Singapore. This involves nurturing a competitive telecoms market as well as a conducive business environment with programmes and schemes for both local and international companies. For more news and information, visit www.ida.gov.sg.
For media clarifications, please contact:
CHIA Wan Fen (Ms)
Manager, Corporate and Marketing Communication
Email: chia_wan_fen@imda.gov.sg
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