Icasa reacts to Competition Commission data cost report

The Independent Communications Authority of South Africa (Icasa) has welcomed the Competition Commission’s provisional report on data pricing in South Africa – and agrees with the finding that data should fall.

The report confirms recent observations and findings that the cost of data services is high in South Africa relative to peer countries, the regulator said in a statement.

“Icasa recently published tariff analysis report also confirmed that MTN and Vodacom charge higher prices for the 1GB and 3GB data bundle at R149 and R299 respectively,” it said.

“The tariff analysis report further indicates that Rain’s ‘one plan package prepaid mobile data offering of R50 for a 1GB bundle remains the most affordable when compared to the offers from other MNOs (Mobile Network Operators) and MVNOs (Mobile Virtual Network Operators).”

Icasa said that it has also commenced a market review into mobile data services.

“The purposes of the review is to assess the effectiveness of the market for provision of mobile data services and where appropriate impose pro-competitive remedies on players with significant market power.

“This review is likely to be completed by end of the 2019/20 FY.”

Speaking on the licensing of the spectrum, Icasa said that it intends to embark on the licensing process upon consideration of the policy directive from the minister of Communications, which is expected to be released soon.

Read: Competition Commission says data is too expensive in South Africa – here’s what you need to know

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Icasa reacts to Competition Commission data cost report