Neotel price cuts here next week
Towards the end of last year the Independent Communications Authority of South Africa (ICASA) announced that peak mobile termination rates will be reduced from 89c per minute to 73c per minute in March 2011.
Off-peak mobile termination rates will also be reduced – from the current 77c per minute to 65 c per minute.
Furthermore fixed line termination rates will be reduced as well on 1 March with the new peak and off peak rates depending on whether the calls terminate within an area code or outside an area code.
The planned termination rate price cuts are as follows:
|
Glide path for termination to a mobile location
|
||
| Peak | Off-peak | |
| 01-Mar-11 | R0.73 | R0.65 |
| 01-Mar-12 | R0.56 | R0.52 |
| 01-Mar-13 | R0.40 | R0.40 |
| Glide path for termination to a fixed location | ||||
| Within ON area code | Between ON area code | |||
| Peak | Off-peak | Peak | Off-peak | |
| 01-Mar-11 | R 0.20 | R 0.12 | R 0.28 | R 0.19 |
| 01-Mar-12 | R 0.15 | R 0.12 | R 0.25 | R 0.19 |
| 01-Mar-13 | R 0.12 | R 0.12 | R 0.19 | R 0.19 |
Price cuts in store
The latest interconnect rate cuts give all voice providers in the country an opportunity to reduce their call costs, and Neotel confirmed that they will pass the mobile interconnect savings on to their subscribers.
Neotel CTO Angus Hay said that the exact price cuts cannot be revealed yet, but he did add that the latest price reductions will apply to calls to mobile phones, and will not affect fixed calls at this stage.
Consumers can also, for the first time, expect different mobile call rates to different mobile networks, an intervention which Hay explains is necessitated by ICASA’s decision to permit Cell C and 8ta to charge interconnection rates that are 20% higher than Vodacom and MTN in the first year, 15% higher between 2012 and 2013, and 10% higher from March 2013.
Neotel voice price cuts << Comments and views
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