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businessMPs Up in Arms against CA high call Rates despite their proposals

MPs Up in Arms against CA high call Rates despite their proposals

Some MPs now want the Communication Authority to explain why it settled on a high call rate disregarding its own report that suggested a lower tariff.

MPs Bernard Kibor (Nandi Hills), Gideon Kimaiyo (Keiyo South) and Irene Mayaka (nominated) want CA to recall the notice communicating the new Mobile Termination Rate.

Early this month, the authority capped MTR at Sh0.41 per minute with effect from March 1, 2024.

MTR is the cost per minute telecommunication operators charge each other to allow customers to communicate across networks.

It always favours the dominant player.

Currently, telecommunication service providers are implementing an MTR of Sh0.58 per minute.

According to the MPs, the rush to declare new rates before Parliament finalises inquiry about the same is suspect and in bad state.

The three MPs are all members of the National Assembly, Information and Innovation chaired by Dagoretti South MP John Kiarie, which is making an inquiry into the MTR.

They want CA to reduce the call rate to zero or at least implement recommendations of its own study that fixed the rates at Sh0.06.

CA had contracted the services of Tilil Technologies and Acacia Economics for national roaming, telecommunications tower sharing as well as the termination rates networks in Kenya.

In October last year, the consultants recommended MTR to be fixed at Sh0.06.

“We suggest that the authority implements a glide path towards termination rates that trend towards zero,” the report recommends.

“Our cost model suggests a cost of approximately Sh0.06.”


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