MTN hikes contract prices
MTN has announced it will increase the monthly subscription fees on its consumer cellular contracts by an average of 5.1% from 1 April 2023.
The mobile network operator said the hikes were informed by a “challenging market environment placing pressure on the industry”.
“The impact of the inflationary environment has resulted in increased input costs, driven by load-shedding and rising fuel usage, which have been further aggravated by ongoing battery theft and vandalism,” MTN stated.
The biggest increase on any package will be 7.4%.
“This mainly represents a R10 increase from R135 to R145 on our Mega XS price plans,” MTN said.
Voice call rates per minute have been increased by an average of 4% — or a maximum of 10 cents per minute.
On the flip side, out-of-bundle data and SMS rates have been reduced to R0.25 per MB and R0.35 per message, respectively.
MTN said that the increase would not affect instalments on handsets and other devices as part of contract deals.
That means the overall contract price increase for those with bundled devices should be lower than the average of 5.1%.
MTN said customer service representatives had informed subscribers about the price plan adjustments.
The precise date of the price increase may vary depending on the customer’s billing cycle. All other terms and conditions on MTN contracts will remain the same.
Balancing prices and network performance
MTN South Africa consumer chief Ernst Fonternel said that the operator was committed to keeping hikes to a minimum and below inflation while delivering quality services to customers.
“While these cost increases are unavoidable, we continue to invest in our network and battery rollout to ensure our customers enjoy the best connectivity in the country.”
“We remain committed to working with local authorities, communities and our partners to look for innovative solutions to tackle to the relentless theft and vandalism of our sites across the country, which continue to increase our spend on repair and security.”
Fonternel added that MTN had reduced its average per-MB effective rate by over 38% in the past three years.
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