The Nigerian Communications Commission (NCC) has introduced a new set of interconnection rates for voice and SMS termination with the hope that retail tariffs will be cut by as much as NGN4 (USD4.98) per minute, local newspaper This Day reports.
From 31 December 2009 interconnection rates for mobile voice termination provided by new entrants (defined by the commission as companies which have been operating for less than four years) irrespective of originating network, will be set at NGN10.12. The rates will fall to NGN9.48 on 31 December 2010, NGN8.84 on 31 December 2011 and NGN8.20 on 31 December 2012 (from which date all termination rates will be symmetric).
The NCC hopes the revised interconnection rates will encourage new entrants in the sector to offer services at more affordable rates to subscribers. Operators not defined as new entrants must set a mobile voice termination rate of NGN8.20 from 31 December 2009. Fixed voice termination rates have been set at NGN10.12 from 31 December 2009, NGN9.48 from 31 December 2010, NGN8.84 from 31 December 2011 and NGN8.20 from 31 December 2012.
The SMS termination rate of new entrants will start at NGN1.94 from 31 December 2009 and fall gradually to NGN1.02 from 31 December 2012. Other mobile operators will charge NGN1.02 from the start of 2010.
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