Telkom will give its customers a 100% “pass through” of the 36c/minute reduction in mobile interconnection rates, the company confirmed in a letter to parliament on Tuesday.
In the letter, Telkom’s group executive for regulatory affairs Andrew Barendse (pictured) said the cut would put back R1,3bn “into the pockets” of its customers.
“Telkom has decided to give a 100% pass-through of the reduction in [interconnection] to Telkom’s retail customers for fixed-to-mobile calls,” he said.
“Telkom will drop its peak rate for fixed-to-mobile calls on 1 March 2010 by the full 36c, from R1,654 to R1,294 per minute, which is an approximate 22% reduction in the call charge.
The mobile operators agreed to cut the rate to 89c/minute in peak times on 1 March while leaving off-peak rates unchanged. The Independent Communications Authority of SA is set to review the rates later this year and may force them down further over time. — Sapa
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