The interim Minister of Communications of Cuba, Ernesto Rodríguez Hernández, defended on Monday the “socialist, revolutionary, and popular” character of the Telecommunications Company of Cuba S.A. (ETECSA), amidst a growing wave of criticism and protests over the so-called “tariff hike” imposed by the state-owned company.
During his intervention on the government program Mesa Redonda, Rodríguez stated: “I would like to reaffirm the fact that, and I say this with great modesty and simplicity, ETECSA is not only a socialist and revolutionary state company; I would go a bit further: ETECSA is a company of this people.”
The minister assured that the company's revenues “not only support the development of telecommunications”, but also “sustain important aspects of the life of Cubans, some of great sensitivity and that are, moreover, the result of the social project we decided to build one day.”
The statements come amidst a climate of public outrage over the new rates imposed by ETECSA at the end of May. Many users on social media have labeled the measures as a “armed robbery”, reporting that the new plans in national currency (CUP) even exceed the island's minimum monthly salary. For example, a 15 GB plan costs 11,760 CUP, whereas national top-ups have been limited to 360 CUP every 30 days.
At the same time, ETECSA promotes packages in US dollars (USD), with prices of 10, 20, and 35 USD, an option only viable for those who receive remittances or have access to foreign currency. This duality has led to strong criticism for perpetuating a system of “communication by castes,” where only those who receive assistance from abroad can stay connected.
In a country where the monthly minimum wage is around 2,100 CUP (approximately 5 USD), the new prices have been viewed by many as prohibitive and excluding.
The executive president of ETECSA, Tania Velázquez, justified the price increase as a necessity to inject foreign currency into a debt-ridden and technologically lagging company, although her explanations have not alleviated social unrest.
Even government sectors have expressed concern. The state newspaper Girón criticized the abrupt price increase and called for more sensitivity and transparency from the state company in light of the crisis affecting the Cuban population.
In this context, the statements from the interim minister that ETECSA "belongs to the people" have been met with skepticism by a populace that confronts the daily consequences of a system that restricts access to connectivity based on income and the source of funds.
Frequently Asked Questions about ETECSA's Rate Increase in Cuba
Why has ETECSA increased mobile service rates?
The increase in rates, known as "tarifazo," was justified by the executive president of ETECSA, Tania Velázquez, as a necessity to inject foreign currency into the company, which faces a very high debt. Velázquez stated that this step is essential to sustain and develop telecommunications services in Cuba.
What is the impact of the tariff increase on Cubans who do not have access to foreign currency?
The price hike severely affects those Cubans who do not have access to foreign currency, as the plans in CUP are unaffordable for many. For example, a 15 GB plan costs 11,760 CUP, while national top-ups are limited to 360 CUP every 30 days, which does not meet the basic connectivity needs.
What measures has ETECSA taken to justify the new rates?
ETECSA has justified the new rates as an effort to ensure a level of data consumption at affordable prices and to enhance new sources of income. The company claims that the rates in CUP remain, although it promotes packages in dollars for those who have access to foreign currencies.
How has the Cuban population reacted to ETECSA's price hike?
The Cuban population has reacted with indignation and frustration to ETECSA's rate hike. Many users on social media have labeled the measures as "armed robbery," denouncing the exclusion of those who cannot afford the new prices nor have access to foreign currency.
What alternatives do Cubans have to stay connected after the price hike?
In light of the rate hike, many Cubans rely on international top-ups or purchase credits indirectly in the informal market. These alternatives are essential for those who do not have access to dollars or cannot afford the high prices in CUP.
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