Benin ICT Sector Performance Review 2009/2010

Pricing of Access to ICT Services
One of the essential reasons for the implementation of a regulatory institution for the
telecommunications and ICT sectors is to ensure the provision of quality service to users at socially
maintainable and relatively stable rates over time. In fact, the practice by operators of high access
cost and usage rates could be at the root of the poor development of the sector and could
constitute major obstacles in the appropriation process of telecommunications and ICT by
households as well as companies in Benin.
The objective of this section is to analyse the composition and evolution of different
telecommunication and ICT service rates.

Service Rates on the Fixed Line Network of Bénin Télécom SA
As regards the demand for telephone services on the fixed landline network, households and
companies are faced with two types of rates:
•

the network connection rate, which is the price all households or companies have to pay in
order to belong to the club of fixed landline holders ; and

•

usage rates paid for the duration of the different communications initiated.

On the Bénin-Télécom SA fixed landline network, the network connection rate is subdivided into
two parts: the network connection fee and the monthly subscription charge. In Benin, for nearly 10
years, the network connection rate has not changed. It is 96,492 FCFA including taxes for residential
subscribers (households and individuals) and 175,642 FCFA including taxes for business
subscriptions (companies, administration). The monthly subscription charge, which represents the
maintenance costs of the line by Bénin-Télécom SA, amount to 2,700 FCFA including taxes.
Table 10: Fixed-line network access rates.

Description
Connection fee (FCFA incl. taxes)
Monthly subscription charge
(FCFA incl taxes)

2007

2008

2009

96.492 / 175.642

96.492 / 175.642

96.492 / 175.642

2 700

2 700

2 700

Source: ATRPT (2009).
On the wireless fixed-line network (AMPS and CDMA) of Bénin-Télécom SA, users are also expected to pay connection
fees. For residential use of wireless fixed line networks, connection fees are set at 33,000 FCFA including taxes, compared
to 40,000 FCFA including taxes for business users.
Table 11: Evolution of call rates on the fixed-line network.

2007

2008

2009

National Communications
Local communications/mn

20

20

20

Interurban communications/mn

60

60

60

Communication to mobiles/mn

120

120

120

International Communications (Peak hours/mn)
UEMOA countries in FCFA excl taxes/mn

240

240

240

Other African countries

240

240

240

France, Italy

240

240

50/240

240/1200

240/1200

240/1200

240

240

50/240

240/1200

240/1200

240/1200

Other European countries
United States/Canada
Other countries
Source: ATRPT (2010).

13

One of the essential
reasons for the
implementation of a
regulatory institution
for the
telecommunications
and ICT sectors is to
ensure the provision
of quality service to
users at socially
maintainable and
relatively stable rates
over time.

Select target paragraph3