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Interconnect rate cut within six months

Posted on Sep 08 in Agent, O-TELby Press OfficerPrint

Firm date set for interconnect rate cuts after ICASA meets with telecoms operators
The Independent Communications Authority of South Africa (ICASA) this morning met with representatives of Vodacom, MTN, Cell C, Telkom, Neotel and the Internet Service Providers Association (ISPA) to discuss the interconnect rate.
ICASA said that the meeting was necessitated by the ongoing public discussions around the cost of call termination in the country.
After deliberations, the meeting resolved to:
1. Embark on the industry led process to reduce termination rates, with ICASA exercising an oversight responsibility
2. Ensure that the process of negotiating a new termination rate regime also takes into account the requirements of the competition law
3. Conclude negotiations between the operators by the end of December 2009, with ICASA proposing an implementation date of 01 February 2020
Meanwhile, ICASA said that it will continue with its process in terms of Chapter 10 of the Electronic Communications Act.
This process will entail the publication of the necessary regulatory framework pursuant to regulations defining the relevant market; evaluating the effectiveness of competition; a declaration of licensees with significant market power and the implementation of pro-competitive remedies.

Staff ReporterMyBroadband | 08 September, 2009

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