TCRA announces new five-year interconnection rates

PIUS RUGONZIBWA in Mwanza

THE Tanzania Communications Regulatory Authority (TCRA) has termed Tanzania as one of the fastest growing countries in internet and mobile phone subscription in Africa as it announced new interconnection rates among telecommunication network service providers effective January next year.

Announcing some of the Authority’s achievements for the past two years since the 5th phase government assumed office; TCRA Director General, Eng James Kilaba (pictured) said almost half of the country’s population can now access internet services.

According to the recent statistics recorded as of September this year, Tanzania had over 22 million internet users, up from 17 million in 2015. “This is a tremendous growth in the communications technology and we will strive hard to maintain this record and surpass it since it has multiple advantages both socially and economically,” he said.

On the mobile phone lines, Eng Kilaba said more than 40 million lines have been registered, up from 3 million in 2005 and 39.6 million in 2015. He mentioned another achievement as sharp increase in the cash transaction using mobile phones that have increased from 17.6 million in 2015 to over 21 million transactions this year worth trillions of shillings.

On the interconnections rates, Eng Kilaba said following the public hearing on the proposed rates that was held earlier this month, TCRA has come out with new rates applicable for the next five years effective January next year.

For the next five years, the voice call termination rates will be reduced to 15.60/- from January 2018 to be followed by another reduction to 10.40/- in January 2019, 5.20/- in January 2020, 2.60/- in January 2021 and finally 2.00/- in January 2022.

The new rates automatically phases out the current rates pegged for the last five years which were 34.92/- in March 2013, 32.40/- in January 2014, 30.58/- in January 2015, then 28.57/- in 2016 and 26.96/- in January 2017.

“Many times operators have not been able to come into amicable agreements due to conflicting commercial interests forcing the regulator to intervene and determine rates after following a due process stipulated by the relevant sector law,” said Eng Kilaba.