GCRA confirms MTR reductions

8 Jul 2020

A new decision on mobile termination rates (MTRs) has been confirmed by the Guernsey Competition and Regulatory Authority (GCRA), which had previously launched a consultation on its proposals in April 2020. As per the regulator’s statutory notice of a decision, it said it was setting out ‘the revised price control applicable to Guernsey MTRs so as to bring MTRs down to a level that, based on the available evidence, is likely to be a much closer approximation of Guernsey Mobile Network Operator (MNO) costs of terminating calls on their respective mobile networks and is more closely aligned with the prevailing level of MTRs in neighbouring jurisdictions’.

With the GCRA having reportedly considered all issues raised by respondents to its April 2020 consultation, it said it did not consider that any of the matters raised would require it to amend its plans. As such, it has confirmed the regulatory direction will apply from 1 September 2020, at which date MTRs for all three domestic MNOs – JT Guernsey, Sure Guernsey and Guernsey Airtel – will be reduced to GBP0.0311 (USD0.039) per minute. Further cuts to the rate are scheduled, meanwhile, with it to fall to GBP0.011 per minute from 1 June 2021, while a final reduction will see it drop to GBP0.007 per minute from 1 June 2022.