Potraz slashes mobile tariffs

The new mobile tariffs are in line with the implementation of results of the recently concluded cost studies for telecommunication services that was conducted by Potraz, in consultation with stakeholders

Business Reporter
The Postal and Telecommunications Regulatory Authority of Zimbabwe (POTRAZ) has effective January 1, 2015 slashed mobile tariffs by over 30 percent to $0,15 from average $0,23. In a statement POTRAZ said charges for mobile cellular voice calls including VAT and excise duty should not exceed the set thresholds.

Mobile net on net calls (per minute) have been reduced to $0,15 from $0,23 while SMSs will now cost $0,5 from approximately $0,9.

National calls to mobile network and national calls to fixed and VOIP networks are now at $0,16.

POTRAZ said the charges are in line with the determination that was issued to all operations on October 16, 2014 and amended on November 26,2014.

It said these are in line with the implementation of results of the recently concluded cost studies for telecommunication services that was conducted by Potraz, in consultation with stakeholders including concerned operators.

Potraz adopted a new pricing model after the study but data charges are said will be determined by market forces.

Potraz said it has abandoned the COSITU pricing framework – an International Telecommunications Union’s model for the determination of costs and tariffs (including interconnection and accounting rates) for telephone services – in favour of a long run incremental cost (LRIC) model, which will see tariffs progressively coming down in response to what it said was “a public outcry” by consumers.