YTL Communication Sdn Bhd’s (YTLC) contract to provide internet services in schools was discontinued by Putrajaya as its services were expensive and did not offer viable returns compared to other telecommunication companies, said sources.

They said YTLC’s contract to run the 1BestariNet programme did not benefit the government as compared to services provided by other internet service providers (ISPs).

“That is the main problem. YTLC’s contract does not benefit the ministry,” a source told The Malaysian Insight.

The source said YTLC’s broadband connection was weak and limited. It also accorded extremely slow speeds of not more than 4 megabits per second (Mbps).

The source added that YTLC’s virtual learning platform – or virtual classes – was not well received among the teaching faculty in schools because teachers were not well versed with it and did not have the proper equipment to use it.

The Malaysian Insight understands that the Education Ministry had to bear the cost of 1BestariNet’s utilities as its wiring was connected to the respective schools’ electricity meter.

Yesterday, the ministry announced that effective July 1, Telekom Malaysia Bhd, Celcom Axiata Bhd and Maxis Broadband Bhd will be the ISPs for schools.

The contract will be reviewed in six months, on January 1, 2020, the ministry said in a statement.

YTLC’s contract to provide the service expires tomorrow and will not be renewed.

The ministry said the government had reviewed the controversial RM4 billion programme to spearhead 4G broadband connectivity and a virtual learning environment to some 10,214 classrooms and 366 teaching facilities nationwide.

The Malaysian Insight also understands that the ministry is studying whether to give schools complete autonomy in choosing ISPs or having open tenders in 2020.

“If it’s a tender, the ministry will choose a provider that is the best in terms of price point and speed, or schools can decide which provider is suitable for their school,” said the source.

YTLC’s 1BestariNet was awarded the contract totalling RM4.45 billion in a period of 15 years over a few phases.

It is understood that the contract had two phases, one from 2012 to June 2019 worth RM2.644 billion.

The contract was awarded to YTLC via an open tender when Muhyiddin Yassin was education minister and deputy prime minister under the Barisan Nasional administration.

In 2014, the Auditor-General’s report highlighted that YTLC failed to fulfil contract obligations in a subcontract worth RM663 million.

The report had revealed that only less than 5% of students nationwide used the facility provided by YTLC. – June 29, 2019.