SMP classification not intended to punish or stifle MTN's operations — NCA

The National Communications Authority (NCA) has said its designation of MTN as having Significant Market Power (SMP) was not intended to penalize the telecom giant.

This comes amid an ongoing public outcry over high data costs in the country.

In a July 21 press release, the NCA addressed "concerns...regarding high internet data pricing, and the declaration of MTN as an SMP."

The regulator stated the "SMP classification is not intended to punish or stifle MTN's operations but rather to ensure a level playing field in the market and protect consumer choice."

The defense comes as Ghanaians vent their anger on social media about rising charges for mobile bundles under the hashtag #DissolveNCAboard.

NCA said measures like "asymmetric interconnection rates, tariff parity, and technology neutrality" aim to boost competition and consumer welfare.

Meanwhile, in their frustration, netizens blame the June 2020 NCA’s move to declare MTN Ghana as having Significant Market Power (SMP) as the reason for the price hike.

At the time, the regulator found that the company controlled over 75% of voice, data, SMS, mobile money, and revenue share in Ghana’s telecom industry.

As a result, netizens claim the NCA instructed MTN to avoid having the lowest tariffs for any electronic communication services, aiming to make MTN less attractive to consumers.

This, they say is what led to MTN increasing prices across its services, causing widespread customer dissatisfaction.