Appeal Being Prepared on Increase in Tariffs for IMEI Code Registration

The head of the Internet Forum of Azerbaijan, the head of the Multimedia NGO Osman Gunduz announced his intention to address President Ilham Aliyev about the increase in tariffs for the registration of the IMEI code of mobile devices imported by individuals for individual use. In addition, the Internet Forum will address the issue of raising fees for Asan Imza.

"At the moment, discussions are being held among the members of the Forum regarding the increase in tariffs and the rise in price of Asan Imza. I think the statement will be ready today. Today or tomorrow we will address the head of state with the appropriate statement," O. Gunduz said, noting the inadmissibility of tariff increases, including from the point of view of the policy of the country's top leadership aimed at the development of information and communication technologies.

As a result of the increase in tariffs for the registration of the IMEI code of mobile phones imported for personal use, citizens will prefer primitive cheap technology, which will prevent the introduction of LTE technology and the transition to fourth generation 4G networks, which today can reach speeds of 100 megabits per second, as well as e-government and other innovations, the expert is sure.

As it turned out, technically registering the code of mobile devices with the subsequent setting of a tariff is not difficult, but the question arises as to the purpose of this step. If the tariff increase is aimed at combating smuggling and the "gray market", the relevant bodies, including the State Customs Committee endowed with full powers and technical capabilities, should fight against these negative phenomena. Thus, the increase in tariffs for registering phones by ordinary citizens cannot be considered in the plane of solving this problem. Therefore, it is important to answer the question of the reasons for this step.

According to the expert, the damage caused to the budget by the "gray market" is a consequence of uncontrolled and illegal commercial activity. Citizens who import mobile devices for personal use do not bear any responsibility for this. "Individuals who purchase a phone abroad for their own use cannot harm the state treasury," O. Gunduz believes.

It is noteworthy that according to data for 2016, monthly in the IMEI-code system physical persons registered up to 50 thousand mobile devices, and the volume of official supplies slightly exceeded 20 thousand units of this equipment. According to official estimates, the state budget lost 50 million dollars annually because of the "gray market".

Recall that if earlier the cost of registration of the IMEI code of a mobile device for personal use was 5 manat (for commercial sale - 1.6 manat), according to a recent decision of the Cabinet ordinary citizens will pay several times more than wholesale importers - from 30 to 150 manat, depending on the market value. In addition, the mobile operator Azercell Telecom decided to increase the fee for using the Asan Imza service from 1 manat to 2.5 manat from August 15. Experts believe that, after Azercell, rates for this service of other operators can also increase.

In general, both decisions can weaken interest in electronic services in Azerbaijan.