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Capping of Early Termination Fees Imposed by Telecom Operators on Consumers | PAPERCUTS

Capping of Early Termination Fees Imposed by Telecom Operators on Consumers

Debated in Parliament on 7 Jul 2026.

Summary written by AI (learn more)

No data collected on early termination fees imposed by telecom operators.
Existing safeguards cap fees proportionately to discounts and remaining contract time.
Consumers can opt for no-contract SIM-only plans.

Questions identified by AI (learn more)

Full Transcript

Yeo Wan Ling

#1

Ms Yeo Wan Ling asked the Minister for Digital Development and Information (a) whether the Ministry has data on the number of times early termination fees were imposed by telecom operators on consumers in each of the past five years; (b) if so, what is the number; and (c) whether the Ministry will consider capping such fees to prevent excessive accumulation of charges where consumers are unable to pay.

Mrs Josephine Teo

#2

The Ministry of Digital Development and Information (MDDI) and Infocomm Media Development Authority (IMDA) do not collect data on the number of times early termination charges (ETCs) are imposed by telecommunication operators on individual consumers.

IMDA has in place safeguards to prevent unreasonable ETCs, which are captured in the Telecom Competition Code and advisory guidelines. First, contract periods cannot be longer than 24 months. Second, any ETC charged must be reasonably proportionate to any discounts given and to the amount of time remaining on the contract. This effectively caps the ETC. Third, telecommunication companies must inform consumers of any applicable ETC upfront before subscription or upon renewal, and to obtain express written acknowledgement that consumers have understood these charges. IMDA will continue to monitor market developments and take enforcement action where operators are found to be in breach of these requirements.

Given the many telecommunication service offerings available in the market for consumers, including no-contract SIM-only plans, consumers can choose the services that best meet their needs.

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Disclaimer

The information on this site contains data taken from the Parliament website and the Hansard, and augmented with analyses from artificial intelligence agents. While great care has been taken to ensure the accuracy of these analyses, they should not be regarded as fully accurate or comprehensive. Users are advised to consult original parliamentary documents and official records for precise and authoritative information.

Summary written by AI (learn more)

No data collected on early termination fees imposed by telecom operators.
Existing safeguards cap fees proportionately to discounts and remaining contract time.
Consumers can opt for no-contract SIM-only plans.

Questions identified by AI (learn more)

Questions identified

Summary

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