Business News of Tuesday, 16 July 2013

Source: www.ghanaweb.com

'Consumers deserve better service from Telcos'

Executive Director of the Consumer Protection Agency (CPA), Kofi Kapito, has taken a swipe at mobile phone service providers demanding value for money for consumers.

According to the CPA boss, his agency’s work is targeted at making consumers enjoy the best of services from service providers.

Speaking at the first ever communication forum in Ghana, sponsored by e.TV Ghana in Accra on Monday, Mr Kapito noted that telecom companies operating in the country have taken advantage of the rather porous monitoring mechanism to rip-off innocent consumers.

Citing an instance, he said the cost of broadband in Ghana is as high as $32.50, adding that consumers still go through enormous challenges to ensure stable connectivity.

He added: “Although consumers do not get improved services from telecom providers in Ghana, they do not have any option to choose from because all the Telcos offer same poor services”.

Mr. Kapito, though admitted that Telcos have genuine concerns which requires urgent attention, he could not fathom why those concerns would hinder their delivery.

“They (Telcos) always complain about being overburdened by tax obligations, how many of them are able to tell us how much profit they are making, if none of them then they should invest in their infrastructure to improve service delivery,” the consumer activist stressed.

Commenting on recent 20% increase on communication services and mobile handsets tax, Mr. Kapito said extensive consultations were not done before the bill was passed in Parliament.

This, according to him, will lead to astronomical hikes in mobile handsets and accessories, adding that “eventually it is the consumer who will bear the brunt”.

On his part, Chief Executive Officer of Ghana Chamber of Telecommunications, Kwaku Sekyi-Addo, argued that the chamber was not happy with the turn of events on telecom tax, but was hopeful that government will listen to their concerns and address them accordingly.

He stated that the law as it stands amounts to double taxation on the Telcos. Mr. Sekyi-Addo also questioned why certain services which are meant to reduce the cost of the services, including protocol lines which do not bring money to the Telcos have been taxed, and reiterated its call for a more thorough work to be done before the bill is accented to by the president.