UAE reduces early mobile services termination fee

It will give customers flexibility while choosing plans.

The Telecommunications Regulatory Authority (TRA) in UAE on Wednesday said that the telecom operators can charge consumers one month fee only for early termination of services contract of mobile users.
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Previously, the laws allowed telecom operators to charge one month rent multiplied by the number of contract's remaining months.
The regulator said this decision has been taken following complaints of some customers.
"The new amendment stipulates charging one month fee only for early termination, replacing the previous provision, which stipulated charging one month rent multiplied by the number of the contract's remaining months. This amendment has been introduced already in the new individuals' mobile contracts," the regulator said in a statement on Wednesday.
The authority is working on introducing these amendments to the other services' contracts in the coming period.   

 

 

 

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"Revision of early termination fees of telecom contracts is part of the sustainability approach whereby TRA is working to enhance the quality of telecom services and to ensure that these services reach the various segments of society on satisfactory terms," said Hamad Obaid Al Mansoori, Director General, TRA.
"The new regulatory framework of service termination fees gives the users more flexibility in choosing the services that suit them," said Mohammed Al Ramsi, Director for Regulatory Affairs, TRA.
He added: "The new amendment comes in response to the complaints of some customers, since the previous provisions forced the customer to commit to using the service until the end of the contract, despite their unwillingness to do so sometimes. Now, the user can terminate the service contract and choose another service, for a simple charge equals one month fee, which is considered operational fees. In TRA, we ensure that we will continue our mission of monitoring the market to ensure the implementation of the new provisions."
These amendments will provide more freedom and flexibility to users in choosing the services they desire. This decision also comes in the context of the consolidation of all termination fees of service contracts that impose termination charges, making it easier for customers to calculate the costs of the services they wish to use.
- waheedabbas@khaleejtimes.com