Oftel restrictions on mobile charges don't include 3G

net1

The UK telecom regulator has submitted a second set of proposals to EC officials that could result in the lowering of termination charges for mobile phones. Director General of Oftel, David Edmonds, said it would promote competition between operators and protect consumers from excessive call termination charges.

"I believe that measures are needed to require the mobile operators to reduce their call termination charges, which should result in cheaper calls to mobile phones," he said.

The recommendation does not impose restrictions on 3G mobile phone calls and has lead to criticisms from the National Consumer Council (NCC). James King, senior policy officer of NCC, was reported as saying, "As the 3G market expands, a free-for-all on 3G termination charges will hit callers hard, especially those who use land lines - often the elderly and those on low incomes."

Edmonds said regulating the 3G market could interfere with the expansion of the new technology. "We are not placing any regulation on the 3G market. These are new and innovative services and inappropriate regulation at this stage could damage the evolution of this new market."

Termination charges can account for 40 per cent of a call from another mobile and 60 per cent of the cost from a landline. The UK introduced reductions in termination charges earlier this year but operators have not passed these savings onto the consumers.