The functions and duties of the Authority shall be as follows:–

1. To provide suggestions to Nepal Government on the policy, plan and program to be adopted by Nepal Government for the development of the Telecommunications Service.
2. To make the Telecommunications Service reliable and easily available to the public.
3. To make necessary arrangement to avail basic Telecommunications Service and facilities in all rural and urban areas throughout the kingdom of Nepal.
4. To involve the national and foreign private sector investors in the operation of the Telecommunications Service.
5. To make arrangement for the coordination and healthy competition among the persons providing Telecommunications Service and facilities, so as to provide such service and facilities to all public in general.
6. To prescribe, fix and approve the standard and quality standard of the plant and equipment relating to the Telecommunications and the Telecommunications Service.
7. To regularize and systematize Telecommunications Service.
8. To grant License to operate the Telecommunications Service.
9. To approve and regularize the fees to be collected by a person having obtained License for providing the Telecommunications Service.
10. To perform the functions relating to the frequency in accordance with the policy determined by the Radio Frequency Policy Determination Committee.
11. To carry out or cause to carry out the research about the development and use of new technology in the field of Telecommunications.
12. To cause to develop the skilled manpower for the Telecommunications Sector.
13. To develop and extend or cause to develop and extended the Telecommunications Service in such a way that it protects the rights and interests of the consumers.
14. To develop or cause to develops Nepal as an International Transit for Telecommunications.
15. To carry out necessary and appropriate functions for the development and promotion of the Telecommunications Service.

The Telecommunications Act, 2053 has provided the Authority with the following powers to perform the above-mentioned functions.

1. Determining the quality of telecommunication related devices, equipment and facilities.
2. Giving the necessary orders or instructions to the licensee.
3. Resolving disputes between telecommunication service providers and between service providers and customers.
4. Inspection and investigation of telecommunication services.
5. Issuing, renewing, revoking, revising licenses and penalizing service providers if they do not act according to the law.
6. Recommending foreign currency exchange required by service providers.
7. Determination of compensation.
8. Recommending the service provider to the Government of Nepal as necessary for the use or acquisition of other people's real estate.
9. Create and implement guidelines regarding tariff rates and mutual obligations.
10. Making regulations as required by the authority.
11. Determining the amount to be deposited in the Rural Telecommunication Development Fund.