The current regime of interconnection rate regulation was implemented through the
Commission’s Determination No. 1 of 2007 issued on 22nd February 2007 that provided a
three year glide path. Since then, the communications market has witnessed further
market developments that, inter alia, include entry by two new operators, introduction of
a Unified Licensing Framework (ULF), the landing of three undersea cables and rollout
of a terrestrial cable network; and tremendous growth in both subscriber numbers as well
as call (and data) volumes.
In the light of these developments, the Commission decided to undertake a detailed
review of the rates set in its 2007 determination.
2.
OBJECTIVES OF THE REVIEW
The primary objective of the Review of the Network Cost Study was to develop a new
competitive interconnection rate framework that took cognizance of the new
developments in the communications market including the introduction of the ULF,
licensing of two additional mobile service providers and the landing of three fibre optic
cables as stated herein above.
The Commission, through consultations with the main telecommunications operators
specifically developed and updated the cost, market and pricing models, and generated a
new interconnection framework in a converged market covering mobile and fixed
telecommunications services in the country and the interconnection envisaged therein.
In the light of these developments, the Commission decided to undertake a detailed
review of the rates set in its 2007 determination.
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