Barbadians could end up paying more for their landline service from Cable & Wireless (Barbados) Limited (C&W) in the future.
But the telecommunications company, which trades as Flow, will not be able to hike the price beyond three per cent a year, as determined by the Fair Trading Commission (FTC).
The utility regulator announced this yesterday. It explained that even though the traditional stand-alone fixed line service was now less in use and while C&W faced competition from Digicel, there were “vulnerable customers” who had to be considered.
This was after the FTC reported that C&W argued against retaining the price cap regime that was first implemented in 2005. The price cap only applies to C&W’s landline offering as the FTC does not regulate mobile phone services.
In its Decision On The Price Cap Plan 2021 (PCP), the FTC said a price cap would be applied to stand-alone fixed telephone (landline) services, including value-added services for residents and businesses.
Those listed included unlimited local calling, call waiting, voicemail, caller ID, call forwarding for residential customers and unlimited local calling, call forwarding and automated assistance for business clients.
Restricted
For these services, C&W’s ability to raise prices annually will be restricted. Any increases must be below or equal to the level of inflation, or three per cent a year if inflation exceeds three per cent during that year. If there is a negative inflation rate, no price increase will be allowed, said the FTC in its ruling. (SC)
Subscribe now to our eNATION edition for the full story.
For the latest stories and breaking news updates download the Nationnews apps for iOS and Android.
