Financial Times

New telecom interconnection charge soon
 

Sri Lanka’s Telecommunication Regulatory Authority (TRC) is gearing to introduce a new Interconnection Charge (IC) in two months time, a TRC official said. "We want to have an acceptable IC for all operators. A consultant from the International Telecommunication Union (ITU) will come to Sri Lanka next week to work on what would be the best rate," H.N. Jayaweera, Acting Director General TRC said.

He said all four operators (Dialog, Mobitel, Tigo and Hutch) are charging Rs. 1.50 now, but in roughly two months time TRC will enforce an IC. "This will be in consultation with the existing operators and Airtel together with the Attorney General.”The interconnection charge has triggered a furious row between Airtel and the other four operators. The latter issued a statement this week to counter Airtel’s claim that the existing operators were blocking the former’s entry.

The interconnect rules of 2003 derived and gazetted in March 2003 by the TRCSL contain an Interconnect rate of Rs 1.50 per minute at peak time trailing to 38 cents during the discount time band. IC is specified to ensure fair compensation for the use of the terminating (receiving party) network infrastructure by the network originating the call. The rate applies in both directions and hence represents parity and fair bilateral compensation.

“The mobile operators commenced charging each other these gazetted rates (pending a new cost study), in advance of the launch of the 5th Operator in order to provide a level playing field for the new entrant. The new entrant would be paid the same rate for all calls terminating on its network,” the four operators said in a joint statement. TRC has called a meeting tomorrow with all the operators including Airtel to initially discuss this matter.

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