Zim data tariff hikes suspended

Suggestions it was crude attempt to curb social media criticism

HARARE: After a public outcry, Zimbabwe’s Information Communication Technology Minister Supa Mandiwanzira has suspended huge data tariff hikes set by Potraz, its telecoms regulator.

Reacting to the hikes, which came into effect on Wednesday, some Zimbabweans suggested they were a crude attempt by their government to curb frequent social media criticism and verbal abuse directed at President Robert Mugabe, who turns 93 next month.

Outspoken Higher and Tertiary Education Minister Jonathan Moyo condemned them: “Use of overpricing, instead of technology, to curb internet access or manage social media is primitive elitism and promotes underdevelopment”.

Following the outcry, Mandiwanzira on Thursday night released a statement saying he met the chairman of the Postal and Telecommunications Regulatory Authority of Zimbabwe (Potraz), Ozias Bvute, and decided to suspend the price increases of data.

“I have been told that the new prices were actually proposed by the mobile operators to the regulator,” said Mandiwanzira. “While it is conceivable the price may go up, the margin is shockingly high and can only reflect insensitivity to Zimbabweans and gluttonous corporate greed.

“Internet is a key driver of economic growth – innovation, entrepreneurship and government service delivery. Internet access is at the centre of all development. It follows that it must be accessible – physically and financially.”

Mandiwanzira described the hiked voice and data bundle tariffs as “unparalleled and extortionist” at the same time attacking the move, saying it undermined “huge” investments in human capital, broadband infrastructure and the ability to attract investment.

He said given the astronomical rates that have been charged over the last two days, “it may be necessary and morally correct to get the concerned mobile networks to refund their subscribers”.

Last week Potraz set floor prices for voice and data bundled services, including promotional packages. A floor price is a minimum effective tariff chargeable per minute voice calls and megabyte of data.

The telecoms regulator set 12 cents as charge for traditional voice calls and 2c per megabyte data. Potraz said the setting of floor prices was aimed at “addressing the apparent under- pricing of voice and data services that was characteristic of data bundles and promotions that were being offered by promoters”.

When the regulator set the new tariffs, the country’s biggest telecoms firm, Econet Wireless, raised its data tariffs by 100 percent, while other networks said they were “yet to effect the changes”.

But on Thursday Econet, in a statement to reverse the hikes, said: “While continuing to engage Potraz concerning the data floor pricing directive, Econet Wireless is reverting to the old data tariffs.

“It became apparent after the Potraz directive that Econet Wireless was the only operator which had complied with the data floor pricing.

“It is clear that, for whatever reason, the other operators had not complied with the directive and, therefore, there can never be a level playing field when our customers are the only ones being affected by this position.”

However, Potraz said in a notice that it was concerned and disturbed by the “conduct, double standards, negative utterances and refusal to take ownership of the decision by some mobile network operators (MNOs)”.

It said the service provid- ers had engaged the regulator “regarding declining revenues which were, according to them, threatening industry viability and service roll out”.

Potraz said MNOs proposed even higher floors through their collective voice, the Telecommunications Operators’ Association of Zimbabwe. – ANA

PICTURE: AP A policeman uses his cellphone in Zimbabwe where there has been an outcry over the hiking of data prices.