National Telecom targets smart meter project amid anticipated revenue loss

National Telecom (NT) is seeking to broaden its business horizons as it anticipates a revenue loss of 4 billion baht next year due to the termination of some contracts with private mobile phone operators. The state-owned enterprise is positioning itself to join the smart meter project run by the Metropolitan Electricity Authority (MEA) and Provincial Electricity Authority (PEA), by offering them data communication services.

The loss of rights to several spectrum ranges in 2025 will also impact NT’s revenue. Consequently, the company is looking for new revenue sources, and the smart meter project offers a promising opportunity. These smart meters are electronic devices that record essential data related to power use, such as energy consumption and voltage levels, and relay the collected information to both the consumer and electricity suppliers.

NT’s new chairman, Nattapon Nattasomboon, confirmed that the company has approached MEA and PEA about their development guidelines for the smart meter project, expressing intent to optimise NT’s 700-megahertz spectrum network capacity to support the project. The company hopes that its status as a state-owned enterprise will give it preferential consideration for involvement in the project, particularly given its role in crucial national information infrastructure.

NT, formed through the merger of TOT and CAT Telecom, has previously partnered with private companies including Advanced Info Service (AIS) and Total Access Communication (DTAC). However, the company’s rights to use the spectrum ranges that these partnerships depend on will expire in 2025. Beyond this point, NT will rely on its telecom assets, including its telecom towers and other spectrum ranges like the 700MHz and 26GHz, which it won in a February 2020 license auction.

The company is also looking to leverage its extensive telecom infrastructure and assets, valued at over 200 billion baht, to establish itself as a national telecom infrastructure provider. This includes conduits running over 4,360 kilometres nationwide, buildings, and a cash flow of approximately 100 billion baht.

NT aims to launch a single last-mile service, sharing its single fibre-optic network with all telecom and broadcasting operators. Several pilot projects have been developed in Bangkok and Pattaya, with plans to expand to Yaowarat Road, a popular tourist destination.

Management Structure

As part of its restructuring, NT aims to streamline its management structure, which currently includes 16 senior executive vice presidents. The company is also planning to reduce its workforce from 14,000 to 7,000 through early retirement programmes over the coming years. A plan to split profitable operations into new companies is also on the cards, with the data centre business being a potential candidate for a spin-off, reported Bangkok Post.