Rebstock has 'significant concerns' about mobile roaming prices

By Paul McBeth

Monday 30th March 2009

Commerce Commission chair Paula Rebstock has deferred her decision on whether to include pricing in the investigation into national mobile roaming services because of "significant concerns with the current state of the mobile market."

"These concerns primarily involve the prices contained in current commercial roaming agreements and the ability of future potential market entrants to negotiate competitive agreements in a timely manner," Rebstock said in a statement today.

The regulator expects to have more appropriate pricing for subscribers on one network to use their phone on another network once it has completed a separate investigation into mobile termination services, having used termination rates as a proxy for roaming prices.

Telecommunications companies will have three months to find a commercial solution while the Commission considers whether to pursue the matter further.

The Commission has been looking into whether there were reasonable grounds for an investigation since September after a request from the previous government. In March, the regulator recommended against price regulation for mobile roaming.

Telecom, the largest company on the stock exchange, sank 0.9% to $2.26 when the NZX 50 opened this morning.

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