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Neotel, Telkom set interconnection rates

Johannesburg, 12 Apr 2007

Neotel and Telkom filed an interconnection rates agreement with the Independent Communications Authority of SA (ICASA) on 6 March, but refuse to be drawn on details.

The agreement, which Telkom says became effective on filing, will help determine the cost of a telephone call between users of the two fixed-line operators.

ICASA says it cannot divulge content as it is still studying the document. Neotel says the agreement is confidential and cannot be discussed. Telkom says it cannot disclose the rates as the agreement is now with ICASA. It is "now a question for the regulator".

Interconnection fees have been a hot-button topic in recent years and are often described as a practical means for lowering the cost of in SA.

The high cost of telecommunications is routinely listed as an impediment to investment in the business process outsourcing industry and economic growth.

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