Business & Finance

MTN Violated Regulatory Directives In Rolling Out Zone Bundle- NCA

The National Communication Authority (NCA) has delved into its decision to compel MTN Ghana to suspend the Zone Bundle for customers.

On April 5, MTN Ghana suspended the Data Zone Bundle offer which gave customers a day validity bundle at discounted rates at the point of purchase.

The suspension was done by the telecommunication giant without notice to customers necessitating agitations.

At a press conference on April 26, the Director-General of NCA, Joseph Anokye, explained it directed the telecommunication company to suspend the product following observations of a breach of Significant Market Power regulations.

He explained that the SMP applied to MTN Ghana in June 2020 directs the MNO not to be the lowest priced on any offer in the industry.

He said the NCA took notice of the Zone bundle after some industry players raised concerns about it.

“In January 2023, NCA took notice of an MTN product called Data Zone bundle.- a 24-hour data bundle which offered discounts of up to 35% for the various data allocations. Some market players raised concerns about the nature of this package.”

According to him, a review found that for a number of price points, the MTN data Zone bundle was the lowest in the market in violation of SMP directives, plus, the company failed to secure approval before enrolling it and disregarded the mandatory publication of tariffs including the terms and conditions.

“MTN was therefore directed to discontinue until such time that all violations have been remedied.”

Re-enrolment
The product will soon be brought back by the network but at reviewed prices.

The Authority notes that MTN has already submitted a revised data zone bundle which has been approved for implementation.

“It is our expectation that the product will soon be available to customers,” he said.

Mr Anokye explained that the classification of MTN as SMP is intended to sustain choice for consumers and protect consumers’ interest regarding the provision of innovative services and competitive prices.

He said the protection of competition in the marketplace will protect the interest of Consumers in the long term.

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