NTC clears the way for interconnection talks

The National Telecommunications Commission yesterday approved Reference Interconnection Offer proposals from major telecom operators, kicking off the new interconnection charge regime.
Previously it was expected to approve the proposals on August 29. With the approval through, telecom operators will now hold bilateral negotiations with one another in order to finalise their interconnection rates within the next 90 days, said National Telecommunications Commission (NTC) member Sudharma Yoonaidharma. A Reference Interconnection Offer (RIO) covers the commercial and technical terms governing the interconnection agreements that telecom operators make among themselves. If the companies fail to agree on rates within 90 days, the NTC's dispute settlement body will step in and determine the interim charges for them. Sudharma said he believed the telecom operators would be able to reach the agreement within the stipulated time. All of the country's telecom operators except for TOT Plc made RIOs and proposed interconnection rates to the NTC nearly three months ago. Interconnection charges require telecom operators to share voice and data revenues when their customers call between their networks. The charge will only apply to those telecom operators whose RIO proposals have been approved. Cellular operators have gradually adjusted their call rates to free up funds to help pay for the interconnection charge. While the companies have insisted they will not pass interconnection charges on to consumers, rates are expected to go up. In a separate matter, Sudharma said the NTC was to set up a consumer protection institute in January to handle the complaints of telecom customers. The regulator has set aside an initial fund of Bt40 million to establish it. The NTC will also introduce regulations controlling maximum prices for telecom service rates next month. As a result, operators will not be able to offer call rates higher than the existing capped levels, which were approved by the Cabinet a long time ago. The existing maximum price for a mobile-phone call is Bt3 per minute, while those for fixed-line calls range from Bt3 to Bt12 per minute. Sudharma said the NTC would announce the standard price ceiling within the next six months. Telecom Reporters The Nation
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