Electronic Communications Act, 2005 (Act No. 36 of 2005)RegulationsNumbering Plan Amendment Regulations, 2020Reasons Document: Numbering Plan Fourth Amendment Regulations, 20264. Amendment of regulation 6A of the Regulations |
| 4.1. | Substitution of regulation 6A (2) in the Regulations |
| 4.1.1. | Telkom submits that it is important to indicate that, after the 90-day inactivity period, the number is deactivated, before placed in the 1-month quarantine period. The sequence of deactivation and quarantine must be clearly indicated and proposes the following text on regulation 6A(2): |
| “6A(2) | Inactive mobile numbers must be deactivated and then quarantined for a period of one (1) month before being placed into the pool of available numbers.”7 |
| 4.1.2. | Cell C does not support the amendments to sub-regulation 6A (2) and proposes that the inactive mobile numbers be quarantined for a maximum of 90 calendar days. In addition, Cell C recommends that 30 calendar days are also provided in addition to this duration for the churn process to occur, this noting that the churn of the MSISDN occurs during a specific time in the month when there is no bill run activity, network freeze and ensure validation of the MSISDN for churn. Cell C submits that it would require time for technical development, implementation and testing for the quarantine activity.8 |
| 4.1.3. | Vodacom reiterates that reducing the quarantine period to 7 days would significantly improve number recycling efficiency and enhance the availability of the numbering resource. The Authority is requested to reconsider this period and further introduce an optional discretionary extended period within reasonable regulatory bounds. The Authority should clarify whether customers are allowed to request their number to be reinstated while it is in quarantine.9 |
Decision
| 4.1.4. | In response to Telkom’s proposal of amending the text to include the action of deactivation prior to placing the number in question into quarantine, in terms of sub regulation 6A(2) reference is made to an “inactive mobile number” wherein by definition that is a number has been deactivated from the mobile network. Therefore, it goes without saying that number will be deactivated first, and then quarantined before being placed into a pool of available numbers. The Authority does not consider that there could be any doubt or confusion. |
| 4.1.5. | During its consultation on the recycling of mobile numbers the Authority took into consideration the various models adopted by stakeholders. While it has taken into consideration the various models, the Authority is guided by legislation that requires a principle of efficient use of numbering resources.1011 The proposal by Cell C would total the recycling period to 210 days. This is inconsistent with the objectives of the Regulations, viz, to ensure the efficient use of numbering resources. |
| 4.1.6. | In response to Vodacom’s submission, this submission is read within the context of its other submission (see par 4.2.1 of this Reasons document) that the Authority revise the inactivity period contemplated in sub regulation 6A (3) from sixty (60) days to a minimum of ninety (90) days. Based on Vodacom’s submission, the recycling period would total 127 days + the licensee’s discretionary extended period which is an unknown variable. Vodacom’s alternative to the 120-recycling period contemplated in the Regulations is essentially one of an undefined period. This is contrary to Vodacom’s submission that it’s proposal would significantly improve number recycling efficiency and enhance the availability of the numbering resource. |
| 4.1.7. | In response to Vodacom’s request for clarification on whether the a mobile number can be reactivated whilst in quarantine, it is the Authority considered view that it is inconsistent with the objectives standardization and regulation of the recycling period. |
| 4.2. | Insertion of regulation 6A (3) in the Regulations |
| 4.2.1. | Vodacom recommends that the Authority extend the inactivity period to a minimum of 90 days (from the proposed 60 days), before the start of the 30 days grace period. This will result in a total of 120 days of inactivity before the number is quarantined.12 |
| 4.2.2. | FNB Connect seeks clarification on how the notification can be sent and reach the subscriber if the sim card does not have any revenue generating activity and is not in use.13 |
Decision
| 4.2.3. | Vodacom’s proposal of an inactivity period of a minimum of ninety (90) days effectively implies that a licensee could opt to extend the inactivity period beyond 90 days where therein lies the licensee’s discretionary extended period which, as stated above, is an unknown variable and will produce an undefined inactivity period that would be inconsistent across licensees. The Authority has thus opted to retain the inactivity period to a defined 60 days. |
| 4.2.4. | In response to FNB Connect, the notification contemplated in sub-regulation 6A(3) precedes the deactivation of the number as prescribed by sub-regulation 6A(4). Thus, the number in question remains active on the network to receive the notification. |
| 4.3. | Insertion of regulation 6A (3C) in the Regulations |
| 4.3.1. | Vodacom proposes a minimum set of standardised reminders to ensure consistency among licensees. It proposes reminders on day 1 and day 29 of the grace period. This will allow licensees the flexibility to include additional discretionary reminders, aligned to the responsiveness of their customer base.14 |
Decision
| 4.3.2. | In response to Vodacom’s submission, the Authority accepted the Vodacom’s recommendation for a minimum of two reminders to the subscriber. |
| 4.4. | Insertion of regulation 6A (3B) in the Regulations |
| 4.4.1. | MTN recommends that the provision be revised to re-incorporate the term “at a cost” thus allowing operators to charge a nominal fee for the exemption from deactivation. MTN proposes the following revision: |
| “(3B) | In the event a subscriber anticipates that their assigned mobile number may be inactive for more than sixty (60) consecutive calendar days, licensees must provide an option, at a cost, for the subscriber to apply for an exemption from sub regulation (3) and retain use of the mobile number.”15 |
| 4.4.2. | MTN submits that the rationale for the retention of “inactive numbers” should incur a cost to subscribers is two-fold, namely: |
| 4.4.2.1. | Network operators incur a cost, albeit minimal, to host a subscriber’s number and related profile. These costs are offset by virtue of the subscriber making active use of the operator’s network and engaging in revenue generating activities. Absent of any activity, the network operator still has a cost in terms of licence fees that should be taken into account; and |
| 4.4.2.2. | Furthermore, a free service has the potential for abuse, allowing subscribers to circumvent the 90-day inactivity period and creating a 183-day inactivity period. Should this behaviour become widespread, the inability to recover numbers to be recycled would increase thereby putting further demand on the scarce national numbering resources.16 |
| 4.4.3. | FNB Connect similarly also seeks clarification in respect of a reasonable cost in keeping the number active. It submits that there may be possible abuses of sub regulation 6A(3B) in the absence of a reasonable cost being charged to keep the number active.17 |
Decision
| 4.4.4. | The proposed provision is aligned with the current inactivity rules licensees are applying at no cost. As one licensee stated in the public hearings that it is cheaper to resuscitate their current customer base than acquiring new customers. |
| 4.4.5. | In the submissions, most licensees recommended for a longer inactivity period beyond the proposed 90-days, which is indicative that the cost mentioned by MTN to retain customers is negligible as compared to the cost of acquiring new customers. Therefore, the provision for no cost is retained. |
| 4.5. | Insertion of regulation 6A (3C) in the Regulations |
| 4.5.1. | Telkom proposes an amendment to sub-regulation 6A(3C) to confirm that 183 days is an upper limit, which should not be exceeded when exempting a subscriber from deactivation and proposes the following text: |
| “(3C) | The exemption in terms of sub regulation (3B) is valid for not more than 183 calendar days from the date of activation.” 18 |
| 4.5.2. | Vodacom submits that the development of flexible, tiered and paid retention products that serve both customer needs and business models may be limited by this exemption's fixed duration. Vodacom recommends that the Authority allow licensees to introduce multiple exemption periods (e.g. 6, 12 or 24 months), at various price points. This, it submits, will allow customers the flexibility to choose exemption options that better match their needs, while still disincentivising number hoarding.19 |
Decision
| 4.5.3. | There should not be a limitation on the option of the subscriber for the exemption or retention of their number. It is evident that subscribers vary in the use and enjoyment of their assigned number. Regulation 3(B) designates the type of a subscriber who will be protected by this provision. It also allows for timeous planning to secure the number for a specific period thus limiting complaints to the Authority for the withdrawal of the notice of deactivation. |
| 4.6. | General |
| 4.6.1. | Telkom submits that in the event the Authority resolve to adopt the proposed 30-day quarantine period, Telkom will require an implementation or transition period to implement this change. Telkom therefore requests the Authority to adopt a 6-month implementation period for the new regulations, after its publication.20 |
| 4.6.2. | Cell C submits that it would require time for technical development, implementation and testing for the notification activities, testing of the periodic reminders and testing of the application process for the exemption from the deactivation of the number by the subscriber.21 |
| 4.6.3. | MTN proposes that the Regulations come into effect at a future date from the date of publication. It submits that three months would be a reasonable period to enable operators to make the necessary changes required to comply with the amended provisions of Regulation 6A.22 |
Decision
| 4.6.4. | In order to give effect to the amendments of the Regulations and allow for the necessary configurations of network systems to comply with the provisions in question, the Authority has opted to provide a transitional period of six months from the date of publication of these Regulations. |
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7 Telkom submission, p 4.
8 Cell C submission, p 6.
9 Vodacom submission, p 3.
10
11 Electronic Communications Act no.36 of 2005 s68(1)(a)(i)
12 Vodacom submission, p3.
13 FNB Connect submission, p1.
14 Vodacom submission, p 2.
15 MTN submission p 6.
16 MTN submission, p 7.
17 FNB Connect submission, p 1.
18 Telkom submission, p 4.
19 Vodacom submission, p 4.
20 Telkom submission, p 5.
21 Cell C submission, p 7.
22 MTN submission, pp 7-8.