Wednesday , October 20 2021

Entel answers critical access charges


Once again, the telecommunications industry is involved in a conflict. First, it was a spectrum and still the procedure of the law continues.

Now, It's about changing the phone number access charges. This charge is made by the company that ends the call, that is, Call by phone company to receive a call on the network.

Conflict, confront each other and subscribe to the Subcommittee of Telecommunications (SUBTEL), insofar as this price is set. This organization has submitted a proposal for reducing access costs of 80%. The current price is $ 8.7 per minute, and SUBTEL will leave 1.5 million euros for 2019-2024.

Companies offered $ 5.7 per minute for Entel and Movistar $ 5.8. Who is the closest proposal? Of course, asking for $ 1.2 per minute. It is far below these prices VTR and Wom have a price of $ 0.16 and $ 0.22, respectively.

In light of the clear differences between Entel and Movistar companies, Manuel Araya's Regulatory and Business Area Director criticized the price that was proposed. "We do not understand how to get the numbers," said VTR Legal and Regulatory Director. Apart from the subcontractor's Pamela Gidiren, he has stated that there is no technical or economic justification for voice per minute than Whastapp.

In the interview with Diario Financiero, Araya said "There is no one here, if there are rates that need to be downgraded by customers, what is the rate of business being established". Additionally, according to what his company (Entel) suggests, it reflects today's reality, but wants to set a five-year transition to reach the SUTBEL proposal. The proposal is "aggressive".

In terms of his ability to criticize, he stated "They are competitors who demand cheap prices, but they do not dominate segments, like fixed networks, they asked for higher prices for $ 9 or $ 10 per minute, "referring to VTR.

He also stated that correct prices should be imposed "because they can lead to undesirable behaviors, such as artificial arbitrage or appearance free rider, that means we do not want to pay for the service of the competitors. "

For the above, Entel and Movistar, over 60% of the market, asked the Expert Committee to review the proposal for the authority. But they were not the only ones; Of course, Wom and VTR also created the panel of experts.

By requesting the formation of this commission, the deadlines will be delayed. On December 26, companies present changes or emphasize the previous proposal. In this report, the opinion of this Perico Committee must be included. Then, on January 25, 2019, the new Fiscal Decree will be five years.

Source: Diario Financiero & La Tercera

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