ICASA gazettes draft for call rates


South Africa’s communication regulator, Independent Communications Authority of South Africa (ICASA) has gazetted the draft call termination regulations, this week, calling for interested to make their submission within 14 days in regard.

The authority says the proposed termination rates—a fee operator pay to connect calls between the networks, will drop to 20 cents a minute in 2014, 15 cents in 2015 and 10 cents in 2016, according to the proposed rates. Currently South Africa’s leading mobile phone operators, Vodacom and MTN charge 40 cents a minute to connect calls in between networks.

A statement by the regulator say it will be in the interest of all stakeholders to be given 30 days from the date of publication to submit written comments on the draft regulations. The draft was released earlier this month.

ICASA also introduced an asymmetric rates system for smaller operators with a market share of less than 20 percent, like Cell C and Telkom Mobile.

Under the asymmetric system, the current 44 cents a minute would drop to 39 cents in 2014, 33 cents in 2015, and 26 cents in 2016. It would reach 10 cents a minute by 2019.

In 2010, ICASA determined that ineffective competition existed in the provision of call termination because of inefficient pricing.

Post by:

Pascal Raditsebe

AfricaBusiness.com Correspondent

Johannesburg, South Africa


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