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May 13, 2018 @ 19:55

Gov’t to reduce interconnect charges


The Department of Information and Communications Technology wants to cut the fee which telecom service providers pay each other while connecting calls from one operator to another.

It directed the National Telecommunications Commission (NTC) to reduce interconnection rates for both mobile voice and short message services (SMS) to the lowest level.

DICT acting secretary Eliseo M. Rio Jr., said the Philippines has one of the highest calls and text service rates in Asia.

According to DICT, the reduction of interconnection rates would not only benefit subscribers who would be charged less but the incoming third telco player as well.

Rio said having standard interconnection fees would eliminate the factor of choosing an operator on the basis of the current subscriptions of friends and families.

In January 2017, PLDT Inc. and Globe cut the interconnection charges for voice calls by 40 percent or from P4 per minute to P2.50 per minute for mobile to mobile and landline to mobile voice calls. Access charges for mobile to landline voice calls cost P3 per minute.

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