Icasa to cut S.Africa's termination rates - CNBC Africa

Icasa to cut S.Africa's termination rates

Southern Africa

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Icasa to cut termination rates for mobile operators. PHOTOS: ABN Graphics

According to Tech Central, the proposal means that rates which operators charge each other to carry calls between their networks will be pushed down and published in the Government Gazette on Friday.

From March next year, the rate for mobile and fixed calls will be the same for the rest of the regulated period. The rate will fall to 16 cents per minute next year and to 12 cents per minute in March 2016.

(READ MORE: ICASA hits back at MTN & Vodacom)

In the final year, Icasa will drop rates further to eight cents per minute.

At the same time, the rate of asymmetry, where smaller players like Cell C receives more calls from bigger operators, will be reduced substantially.

(READ MORE: MTN to take ICASA to court over rate cuts )

As of 1 October 2014, the asymmetry rates will drop by 50 per cent to 30 cents per minute. It will then drop to 22 cents per minute in March 2015 and further to 16 cents and 10 cents per minute in 2016 and 2017 respectively. 

(WATCH VIDEO: ICASA slashes MTRs for Vodacom & MTN)

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