ComCom announces ‘significant reductions’ in MTRs

5 May 2011

New Zealand telecommunications regulator the Commerce Commission has announced that mobile termination rates (MTRs) are set to drop to less than NZD0.04 by 1 April 2012, with additional reductions expected until 2014. Termination rates for text messages will drop to NZD0.06 from 6 May 2011. Telecommunications commissioner Dr Ross Patterson commented: ‘These changes are intended to address significant competition problems in the wholesale mobile market which have resulted in high retail prices – particularly for pre-paid customers – a low number of mobile calls and high rates of people switching networks, compared to other countries. However, we continue to be concerned about the extent to which the price of calls and text messages between people on different networks are significantly higher than calls and text messages between people on the same network. These price differences create significant barriers for the new entry and growth of small mobile operators in the mobile market’.

New Zealand