Mobile interconnection fees slashed

9 Jul 2009

Under a resolution from the Namibian Communications Commission (NCC), mobile-to-mobile network interconnection fees have been cut by 43% to NAD0.60 with effect from 1 July, marking the beginning of a four-phase plan ending January 2011, when a single charge of NAD0.30 per minute will apply, 72% less than the existing rate of NAD1.06. AllAfrica reports that interconnection charges for mobile-to-fixed line, fixed-to-mobile and international-to-mobile through the network of incumbent fixed line operator Telecom Namibia have also been standardised to NAD0.60. The NCC’s decision follows complaints from Cell One and Telecom Namibia accusing mobile market leader MTC of exorbitant interconnection charges. The regulator’s statement says that ‘asymmetric termination rates are not the best tools to facilitate market entry,’ adding that ‘the prescribed ceiling for January 2011 for termination rates includes a 25% mark-up over the estimated cost of termination.’