The Solomon Island's new phone company, Be-Mobile, has been fined USD$1.5m (SBD$12m) for failing to launch its network on time.

The Telecommunications Commissioner, Nicholas Williams says be-Mobile promised coverage for 25 percent of the population by mid June.

Mr Williams has granted be-Mobile an extension until the end of August to fulfil the obligations of its licence.

"Be-Mobile were required under their license to roll out a network to an area where at least 25 percent and turn that network on by the 18th of June. be-Mobile for whatever reason failed to meet that target of 18 of June launch."

He says if be-Mobile does not meet this new deadline, it may be fined an further one million US dollars.

Be-Mobile has further licence thresholds and Mr William says he expects the company to work strenuously and diligently to meet them as well as catch up with the original licensing timetable.

"Further thresholds for coverage has to hit 50 percent of the population by September 18th. And then that rises to 75 percent by the 18th of March next year and the final threshold is 81 percent by the 18th of September next year. So there's significant financial pressure on them to roll out quickly."