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"POTRAZ" Proposing A New Pricing Model

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POTRAZ yesterday held a workshop at a Crowne Plaza Hotel to discuss the adoption of a pricing model to be used by Telcos , particularly Mobile Network Operators (MNO), Fixed Network Operators (FNO) and Internet Access Providers (IAP).
By TechnoMag Writers
The presentation was the culminating result of ongoing meetings that commenced in 2012 and 2013, ”the comprehensive Consultative process on ‘network cost analysis and modelling ’ ,” with Detecon International GmbH as the consultant.
The line up of presenters was made up of the Acting Director General POTRAZ, Mr. A. Marisa, Mrs H. Mutseyekwa and Detecon International GmbH consultants.
The scope of the project was to implement a cost model underlying the determination of access, interconnection and retail charges for telecommunications services in Zimbabwe.
 
Detecon International GmbH data was forecast to cover the period stretching from 2012 through 2016, with provision for revisions being made yearly or every two years based on technological advancements and economic conditions which are dynamic.
Among the issues deliberated and of relevance were Market dynamics, and these are stipulated below:

  • Increased adoption of IP technologies
  • Growth in demand for voice and internet services
  • Upgrade and expansion of networks
  • Shift from circuit switched services to multiple packet switched services and
  • Outdated COSITU model

 
 
Prior to today’s workshop an earlier meeting had been conducted on 16 April 2014.
During the question and answer section, the frequently asked question was for POTRAZ to release the model which was used by Detecon to determine the charging of VoIP and SMS rates. This was met by the response from a POTRAZ representative stating that, “all operators and consumers will not be able to have their hands on the model but instead they should co-operate with POTRAZ by submitting their operator models to come up with constructive stipulated tariff reviews”.
On the other hand the consumers were also represented when a POTRAZ representative highlighted that, “implementation of the model was to be adopted as soon as possible” this might mean that POTRAZ would be working with service providers with the consumers at heart in concern of the tariffs being charged.
A Consumer Council of Zimbabwe (CCZ) representative urged the telecommunications of Zimbabwe service providers to consider sharing infrastructure to avoid extra costs charges on the consumer through tariffs.
The issue of a recession in the industry was mentioned. This period was a tough time for the service providers, as it was also with the whole nation at large, for they had to meet and endure tough financial times. The economical revamp would mean a steady tariff for the telecommunication service providers.
 
In conclusion, POTRAZ’s Mrs Mutseyekwa highlighted the fact that the dialogue process has started but is not yet in conclusion. From tomorrow (Friday) through Tuesday PORTAZ will engage various operators individually to discuss further and in detail the issues at the heart of Telco operations.

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