IPNEWS-MONROVIA: The Liberia Telecommunications Authority-LTA, says it has been notified by two GSM operators in Liberia, about an adjustment in voice call and data beginning April 1, 2021.
According to a release by LTA, they agreed with the two GSM companies to begin such adjustment to a minimum regulatory fee instead of a surcharge.
THE LTA stated that agreement is part of the regulator to ensure affordable services are given to Liberians and residents alike.
It may recalled, the Liberian government and operators of GSM companies in Liberia in October 16, 2020, agreed to return to their original unlimited three days calls for a dollar according to a release from both GSM companies.
Behind the scenes negotiations were challenged by some companies vehemently who refused to accept the deal given while another refused the three days service, which was later refused, a source attending the meetings told IPNews.
SMS Messages came following early Thursday morning October 16, 2020, from the two mobile phone companies expressing apologies and restoration of credits and date bundles deducted between October 8, to October 14, 2020, sparking joy among subscribers.
LTA frowned on the GSM companies for the surcharge placed on voice and data after LTA also made additional cost to GSMs.
There was a complete standstill between GSMs and the regulatory body, Liberia Telecommunication Authority with civil society, opposition and other stakeholders taking advantage and setting up protest plans.
The LTA called the action by the GSMs illegal and arbitrary and asked for an immediate action to rescind the decision to no avail.
The LTA stated that act was illegal price fixing, collusion, and antitrust conspiracy. Under relevant provisions of the Liberia Telecommunications Act of 2007, no ‘Term Services” can be increased without approval of the LTA,’ they said in a statement.
They said, their order 0016-02-25-19 resulted in the imposition of a Floor Price on Voice and Data, under which the MNOs eliminated the 3 day free call last year September.
“The New Term of Services” been promoted is far in excess of what is required for implementation of any order and designed for profiteering and political purposes” a release form the LTA said.
It may further be recalled, Orange Liberia, in a previous release stated its position statement on the imposition of surcharge that it is in confirmative with legal precepts guaranteed under the business act of Liberia and simply takes exception to statements that its decision was not “illegal and arbitrary.”
“Orange Liberia notes a recent press release issued by the Liberian Telecommunications Authority (LTA) on October 8, 2020 in which the LTA stated amongst other things that the surcharge currently being implemented by MNOs would be considered “illegal and arbitrary.”
“Orange Liberia wishes to clarify that the imposition of the surcharge is in strict conformity with and as prescribed by sections 4.1., 4.2, and 4.3 of LTA Order # 0016-02-25-19. These sections specifically mandate MNO’s to impose surcharges on all on-net calls in the amount of $0.008 and to impose surcharges on each MB of data at a rate of $0.00065.”
Orange maintains that the section of the LTA order which was recently upheld by the Supreme Court of Liberia when it ruled on September 3, 2020 that the LTA was within its authority to mandate MNOs to impose surcharges above and beyond regular rates.
“As a law-abiding entity, Orange Liberia moved to execute the imposition of the surcharge in lieu of the LTA Order # 0016-02-25-19, as well as the ruling of the Liberian Supreme Court which held the LTA could impose surcharges;”
“Although Orange Liberia has paid all 5% regulatory fees, annual license fees, numbering and spectrum fees, $0.14/min and $0.05/min on international incoming and outgoing calls respectively, LTA has sent the company an additional bill of close to US$19.3 million representing a back bill for surcharge, which were never collected by the company during the periods from March 2020 to September 2020 with the recent bill received on October 9, 2020. Orange Liberia insists that because the surcharges were not applied as a result of the injunction placed by the Supreme Court, the aforementioned bill would force the company to file for bankruptcy.”
“Furthermore, Orange Liberia clarifies that the combined revenue total for both companies have never reached 104 Million United States dollars in extra revenue in a single year and notes that the companies’ financial records are available at any point for LTA to review.” Orange Liberia insisted.
The mobile phone operator furthermore noted that it previously advised and insist that the increment in the surcharges would have been devastating but government did not listen.
“Orange Liberia has always maintained that the surcharge would have a devastating effect on the Liberian telecommunications market. Therefore, the company continues to remain committed to ongoing discussions with the LTA to determine the best and most amicable resolution of this matter.” Orange Management noted in the release.
There was no immediate word from the LTA on this recent statement by Orange Liberia.
