The prices for fixed broadband in Malaysia are expected to be reduced by 25 percent, Communications and Multimedia Minister Gobind Singh Deo announced today.

Gobind said this follows the implementation of the mandatory standard on access pricing (MSAP), which was enforced by the Communications and Multimedia Commission (MCMC) on June 8.

"The relevant parties are currently in commercial discussions to finalise their wholesale prices," he said at a press conference at the ministry's headquarters in Putrajaya.

Gobind said he expected to see the new prices ready by the end of August.

The MSAP stipulates the ceiling wholesale prices service providers can charge retail telcos for using their facilities and services. 

Lowering wholesale prices, the minister explained, should translate to lower retail prices for consumers.

Gobind added that the revised price was supposed to have come into effect on Jan 1 this year, following a year-long review of the MSAP conducted by MCMC last year. 

"But it did not materialise, as Telekom Malaysia had appealed to MCMC to reconsider the position on some of the pricing components. 

"The decision to revise the prices for broadband was thereafter put on hold pending consideration of the (then) communications and multimedia minister."

At today's press conference, Gobind also said that the government is considering recognising internet access as a basic right for all Malaysians. 

"This is even to the extent, if practicable, a constitutional right.

"Broadband services are critical for the transformation of our nation into a digital economy, and to ensure that all Malaysians have access to information," he stressed.