Frequently asked Questions – Declaration of MTN Ghana as a Significant Market Power
Since MTN Ghana was declared a Significant Market Power (SMP), MTN Ghana has shared on various platforms with its stakeholders, information pertaining to the applicable SMP conditions. Given the continuous public interest on the matter, we present the following key facts on MTN Ghana as an SMP for the benefit of our stakeholders and public.
When was MTN Ghana declared SMP?
On June 9, 2020, the National Communications Authority (NCA) formally declared Scancom PLC (MTN Ghana) as a Dominant/Significant Market Power (SMP) in the local voice, data and Short Messaging Service (SMS) market segments.
What is the meaning of SMP and why was this decision taken?
- The National Telecommunications Policy (NTP) states that, in general, SMP will be determined to exist for an organisation providing telecoms services that controls at least 40% of a relevant market segment.
- The declaration of MTN Ghana as SMP by the Regulator under the Electronic Communications Act, 2008 (Act 775) was to correct the imbalance in the voice, data and SMS market segments to facilitate more competition.
How does this impact MTN Ghana’s Customers?
- There is no direct impact on MTN Ghana’s customers as the SMP classification is to ensure a level playing field in the market to protect consumer choice. In relation to the prices of products, MTN Ghana cannot price them below the interconnect rate, and must maintain parity in off-net and on-net prices and ensure that our prices are not the cheapest in the applicable market segments.
- MTN Ghana has therefore revised its pay-as-you-go rates as well as tariffs for bundles and other offerings. MTN Ghana continues to collaborate with the Regulator to ensure that these revisions do not negatively affect customer welfare. Our subscribers remain our key priority and we will continue to innovate and give the best value and experience to our subscribers.
What is MTN’s position on this issue?
- MTN Ghana is a responsible market leader and acknowledges the role of the Regulator in promoting fair competition. We therefore continue to comply with the SMP directives as directed by the Regulator.
- MTN Ghana believes that everyone deserves the benefits of a modern connected life. Pursuant to our Ambition 2025 strategy, we will endeavor to create value and achieve excellence in customer experience on our platforms.
- We continue to work closely with the Ministry of Communication and Digitalization, NCA and other Mobile Network Operators (MNOs) to create a viable multi- operator industry for the collective good.
- We envision that this partnership would transform the telecommunication sector for the benefit of consumers and the Ghanaian public, MNOs and other industry players, and facilitate the achievement of the Government’s strategic digitalization and ICT development plans.