Regulatory Approach in Addressing the Availability and Affordability of Telecommunication Services in Indonesia

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Arief Hamdani Gunawan, I Gusti Ayu Ketut Rachmi Handayani, Lego Karjoko

Abstract

Ensuring equal access to telecommunication services is a major regulatory challenge, particularly in the Frontier, Outermost, and Disadvantaged (3T) areas. This study analyzes how regulations can ensure the availability and affordability of telecommunication services in these regions based on Steven Vago’s theory of law and society. Using a normative juridical approach and qualitative analysis, this study explores pricing policies, subsidies, and incentives as instruments to create a more equitable telecommunication ecosystem. The findings indicate that Law Number 36 of 1999 on Telecommunications establishes the Universal Service Obligation (USO) to ensure equal access to telecommunication services. However, the implementation of this policy still faces obstacles, such as infrastructure limitations, high investment costs, and service prices that remain unaffordable for low-income communities. More adaptive regulations are needed to address digital access disparities and promote equitable telecommunication services. The government can optimize targeted subsidies and incentives to expand service coverage, enhance operator competitiveness, and curb monopolistic practices that hinder service affordability. This study emphasizes that telecommunication regulations must evolve in line with social changes and digitalization. With the right policy approach, telecommunication services can be accessible to all societal levels, particularly in regions experiencing digital disparities.

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