New Interconnect Rates For Telcos

A new interconnect termination rate regime has been established by the National Communications Authority (NCA) for telecommunications operators.

The regime, effective January 1, this year, expires by end of 2014.

By the new arrangement, the interconnect termination rate for voice calls originating from fixed and mobile networks in Ghana stands at GH¢5.00 for this year.

The rate is expected to dip to GH¢4.50 by 2013 and further decline to GH¢4.00 by 2014.

Also, interconnect termination rate for SMS on all networks in Ghana is fixed at GH¢0.70 for 2012. The SMS rate will reduce to GH¢0.60 by 2013 and drop to GH¢0.50 by 2014.

A press release issued by the NCA recently in Accra, which made this known, said effective January 1, 2012, a single 24-hour interconnection is applicable.

It further stated that in accordance with the Electronic Communications (Amendment) Act, 2009 (Act 786), the NCA has maintained the current rate for all incoming international transit interconnect termination.

The new rates, the release said, replaced the regime set in 2008 that was due to expire on December 31, 2011.

NCA, upon consideration of the market situation and pursuant to the submissions made by the operators, approved the new rates for implementation by all operators.

The NCA revealed that the asymmetric interconnect termination rate regime applied to new entrants as well as operators with less than five percent of subscriber market share. Additionally, it revealed that an interconnect termination rate regime has been set for Glo Mobile and also Kasapa Telecom at GH¢0.40 for a period of 24 months.

The asymmetric termination rate for the two companies, CITY & BUSINESS GUIDE learnt, took effect from January 1, this year.

The NCA has further noted that notwithstanding the foregoing rates, any of the two operators that will attain a subscriber market share of five percent before the expiry of the 24-month stipulated period, shall cease to enjoy the provision.