The labour unions of TOT and CAT Telecom have expressed concerted opposition to a plan for a telecom-network pool proposed by TOT's board, saying the scheme contradicted principles of fair competition and could have a detrimental affect on TOT's business.

About 30 representatives of both unions met Information and Communications Technology (ICT) Minister Sitthichai Pookaiyaudom yesterday to state their objections.

Nukul Bawornsirinukul, head of TOT's labour union, said the proposed network pool amounted to a network monopoly, contravening international practices of promoting fair competition.

TOT initiated the idea of the network pool in March by citing the need to maximise the use of networks to reduce consumers' communication costs.

The plan proposes the establishment of a state-owned holding company with 100-per-cent stakes in TOT and CAT Telecom. The company would manage the networks of TOT and CAT and also buy the networks of state electricity agencies before negotiating with private telecom concessionaires wanting to join the pool.

As incentives to join, private operators would be offered conversion of their concession contracts into network-rental contracts, so that they would pay rental fees to the holding firm instead of huge annual concession fees. The controversial access charge would also be terminated, and there would be no expiry date for network-rental contracts. The access charge has been paid by CAT Telecom's three private cellular concessionaires to TOT for connecting to different networks via TOT's facilities.

Nukul said the unions were concerned that the proposed national telecom holding firm would some day be exploited by a specific group of people for their own interest.

The unions also objected to the proposed conversion of private telecom operators' concession contracts into network-rental contracts, saying the state agencies should not change anything in the existing contracts, because the Council of State had yet to rule on whether past amendments to the contracts complied with relevant laws.

Nukul pointed out that the ICT minister had earlier submitted all private telecom operators' concessions to the Council of State for examination as part of his plan to create fair competition in the industry. He said both TOT and CAT should focus on devising business plans to create the new revenue streams.

The ICT minister said he would discuss the unions' opposition to the network pool project with the boards of both TOT and CAT Telecom.

TOT intends to complete plans for the network-pool project within the next two months.