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Lower mobile termination rates

11.10.2019
During the Consultative Council meeting, ANCOM debated with the industry lowering the maximum mobile termination rate from 1 January 2020.
As a transitional measure towards the single EU-wide mobile voice termination rate to be implemented by the end of 2020, ANCOM proposed that the operators charge a maximum rate of 0.76 eurocents/minute for mobile calls, i.e. 10% less than the current maximum mobile termination rate. We expect this measure to impact the tariff every user pays for calls to mobile terminals”, declared Sorin Grindeanu, ANCOM President.
The maximum mobile termination rate
Lycamobile S.R.L., Orange Romania S.A., Vodafone Romania S.A., RCS&RDS S.A. and Telekom Romanian Mobile Communications S.A., operators designated as having significant power in the market for mobile call termination on their own telephony networks, will have the obligation to observe the 0.76 eurocents/minute ceiling, the maximum regulated rate for the provision of call termination services at mobile locations on one’s own network, instead of the current ceiling of 0.84 eurocents/minue.
The new rate has been determined based on European benchmark, as an average of the mobile termination rates in the Member States of the European Union that used a pure LRIC model.
The maximum mobile termination rate will be applied starting 1 January 2020, until the adoption of a single maximum mobile call termination rate, applicable Union-wide.
Directive (EU) 2018/1972, in force from 20 December 2018, provides a single maximum voice termination rate for mobile services and a single maximum voice termination rate for fixed services that apply Union-wide to be established not later than 31 December 2020.
Applicability of the regulated maximum rate
The rate set by ANCOM will apply for domestic calls, for calls initiated both in the European Economic Area (EEA), and for those initiated outside the EEA, where the international agreements in force do not provide for a different charging regime..