Thai state-owned operator TOT has demanded THB214.7 billion (US$7 billion) in unpaid fees from the country’s privately-owned operators in what could be the start of a lengthy legal battle. Bloomberg reports that TOT will pursue THB76.4 billion from Advanced Info Service (AIS), THB97 billion from Total Access Communication (DTAC), THB36.4 billion from True Corp. and THB700 million baht from TT&T, according to a statement by the Thai Information and Technology Ministry. TOT is also seeking THB4.2 billion from CAT Telecom, another state-run company. The Ministry will negotiate with the companies and report back to the cabinet in 15 days, said Prime Minister Abhisit Vejjajiva (pictured). The demands relate to purported unpaid access charges and contract changes made during previous governments – and is the first action taken following a ruling in 2007 that changes to contracts with state-run concession holders had failed to comply with the law.

The majority of the unpaid fees relate to so-called ‘access charges’ that the private operators used to pay to TOT. These fees were replaced with interconnection fees (between operators) in a regulatory change in 2004 and most operators ceased paying them within a few years. Of the money TOT is seeking, THB138.6 billion is for unpaid access charges from DTAC, True Corp, CAT and Digital Phone Co (a subsidiary of AIS). Although the stock prices of most of the listed operators dipped in response to the news, analysts took a measured view. “The dispute will take several years to be resolved by the legal process,” Jitra Amornthum, head of research at Finansia Syrus Securities, told Bloomberg. “The impact on the share prices of those companies will be limited.”