National Regulatory Agency for Electronic Communications and Information Technology of the Republic of Moldova

Providers of fixed and/or mobile electronic communications networks shall not one-sidedly modify the tariffs for interconnection without prior consent of the parties before the entry in force of the special ex-ante obligations set by the National Regulatory Agency for Electronic Communications and Information Technology (ANRCETI) for the markets of voice call termination in individual mobile and fixed telephone networks. This obligation was prescribed by ANRCETI Administrative Board Decision no. 32 of 4.11.2010 on appropriate interconnection.

The board issued this decision after being notified about the failure of negotiations between JSC Moldtelecom and JSC „Orange Moldova” and JSC „Moldcell” regarding the modifications to interconnection agreements between the networks of these providers with regards to the reduction of tariffs for traffic termination services in fixed and mobile networks. The negotiations started as JSC Moldtelecom proposed to reduce, as of October 1, 2010, the tariff for termination of the traffic incoming from other public fixed and mobile networks to their individual mobile telephone network from USD 7 to 4 cents per/minute.

Proceeding from the fact that the negotiations between the parties failed, whereas the legal norm admits of tariff modifications only with the consent of the parties, as well as to avoid eventual conflicts between providers who signed agreements of interconnection with the fixed and mobile network of JSC Moldtelecom, the Agency considers it reasonable and timely to ensure that the network interconnection takes place under the financial terms as stipulated in the interconnection agreements in force, unless the parties decide otherwise.

The Decision does not prejudice the Agency’s right, prescribed by the law on Electronic Communications, to impose special ex-ante obligations to providers designated as having significant market power on the market of telephone call termination in fixed and mobile networks, including the obligation to apply cost-based tariffs.

The Agency has already finished the public consultations on draft detailed analysis of the markets for voice call termination in individual fixed and mobile networks, as well as draft Board decisions regarding designation of providers with significant market power on the two markets. The Board intends to soon approve the mentioned decisions and to establish the remedies necessary to prevent the abuse of significant market power on the two mentioned markets.

November 5, 2010