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Fixed calling rate turned down by CCK
Published in Bikya Masr on 27 - 04 - 2012

NAIROBI: Telecommunication industry regulator CCK has turned down a proposition that had been made earlier regarding the stabilizing of calling rates to Ksh 4.
“The three operators apart from Safaricom have approached us and we cannot say no to their proposal. We will only come in if we notice that they are colluding to exploit the end users, but they are within the law,” said Francis Wangusi, Acting director general at CCK in an interview with Business Daily.
In a previous statement, Communications Commission of Kenya (CCK) said that it had held talks in regard to the wholesale interconnection rates and no request had been officially made regarding the intent to stabilize the calling rates.
“Retail price fixing as practiced in collusive oligopoly markets is an anti-competitive business practice that is contrary to the prevailing competition law and policy,” said Francis Wangusi.
He added: “Retail price fixing in the mobile voice market in Kenya would, therefore, be in breach of the law; and as such no approval can be granted.”
CCK as the regulator only has powers to change the wholesale and not the retail pricing.
“Although they have approached us we asked them to go and agree amongst themselves on the rate, we don't want this thing to come out as if we are the ones driving it,” said Wangusi.


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