ITU-T Study Group 3 - Tariff and accounting principles including related telecommunication economic and policy issues
This page refers to a previous study period. For its most recent version, please see
here.
A key task of Study Group 3 is the complicated job of recommending some principles for the harmonization of global interconnection rates. Interconnection rates are the costs between telecommunication service providers when linking networks for the exchange of traffic. This work has become increasingly complex with the more widespread use of VoIP, and the move to IP based or next generation networks (NGN). More recently SG3 has surveyed international mobile termination rates, with a view to determining whether there are differences by region and, if possible, what might be causing those differences.
SG3's aim is to keep rates fair, and as low as possible without compromising service. Interconnection rates are a key concern for our members and in particular for the developing world. In fact Study Group 3's regional tariff groups (for Africa; Asia and Oceania; Europe and the Mediterranean and Latin America and the Caribbean), form an excellent case study for encouraging the involvement of developing nations in the standardization activity of ITU-T. It is often difficult for members from developing nations to justify attending study group meetings that involve much travel. The regional tariff groups provide a valuable way for developing nations to keep up-to-date with latest developments and contribute to the standards making process.
Work highlights
An example of the work of SG3 is well illustrated by the outcome of a meeting of ITU-T's Tariff Group for Africa (TAF) where a set of rules designed to keep the revenue from inter-African telephone calls within the continent were agreed. Transit rules typically mean that the last carrier of a call or 'transit center' receives a portion of the revenue of that call. Often, however, this has meant that - even if the call is between African countries - a carrier outside of Africa is the main beneficiary. The regional ITU-T Recommendation for Africa will encourage the use of transit mechanisms within Africa, to ensure that revenue benefits operators there.
Among other work of Study Group 3 is a study of the economic effect of alternative calling procedures like voice over Internet protocol (VoIP), call-back and other similar calling practices and how these impact the development of telecommunication networks and services, in particular in developing countries.
Much of the 'cost methodologies' agreed in SG3 are reflected in COSITU - ITU software that automates the calculation of costs, taxes, interconnection rates and tariffs for international services.
