European Commission to cut mobile phone call costs
The European Commission has announced plans to cut the cost of mobile phone calls in Europe by reducing the fees that operators charge one another for using their networks. Call Termination fees as they are known in the industry, is the fee charged by an operator for handling calls from another network.
Europe’s telecoms watchdog has published its guidelines for regulations to harmonise call termination fees throughout the European Union by 2011. At the moment 27 national authorities currently regulate these fees, which lead to consumers paying variations in cross-border fees.
According to the latest EU figures, call termination fees range from €0.02 per minute in Cyprus to €0.18 in Bulgaria. The new regulations aim to standardise these charges throughout the European Union.
The European Telecoms Commissioner Viviane Reding has stated that “The consumer pays the price for these gaps between national regulatory policies.”
Network operators have until 2011 to implement the new regulations, with the European Commission estimating that mobile phone calls will become 70 percent cheaper.
The GSM Association, which represents more than 750 GSM mobile operators worldwide, has opposed the move. It has claimed that network operators would find it hard to absorb a cut in termination fees and it may lead to consumers paying more for their mobile phones.


