CRAN proposes price caps

13 July 2017 | Business

The Communications Regulatory Authority of Namibia hosted a consultative meeting this week on the proposed regulations prescribing tariff limits for telecommunications services.

The proposed regulations prescribing tariff limits for telecommunications services will apply to licensees that are deemed to be dominant operators in the market for national data transmission and for those operators who provide telecommunications services for the pre-arranged connectivity in the form of leased lines such as Telecom which allow smaller operators to use its infrastructure in the provision of telephony services.

“The purpose of these regulations is to prescribe price caps, which licensees may charge for leased line and other pre-arranged connectivity,” said CRAN CEO Festus Mbandeka.

“CRAN increased the price caps with inflation from the original cost study which was completed in 2015 due to the fact that this decision was to ensure that Telecom Namibia is not negatively affected as a provider of leased lines.”

Mbandeka added that the commencement of these regulations would be effective 1 January 2018, subject to amendments of the relevant regulatory nitty-gritties.

“This will provide operators in the market enough time to implement the regulations and apply for new tariffs,” he explained.

STAFF REPORTER

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