Wrangle hinders home-to-mobile price cut

By CHRIS BARTON

Clear Communications is accusing Telecom of dragging the chain over the introduction of code-free dialling from homes to mobile phones.

Telecom announced last Monday a deal where Clear customers would get land-to-mobile calls without their first having to dial an 050 prefix.

But Clear says Telecom has not supplied the service, despite being paid $1 million. Some Clear customers, believing the service is already available, have stopped using the access code.

Clear spokesman Kevin Millar said Telecom's conduct was "deceptive" and aimed at creating the appearance of competition in advance of the appointment of the telecommunications regulator.



Telecom spokesman Martin Freeth denied any delaying tactics, saying that Clear simply had to confirm the agreement was reciprocal.

"We're ready to go when these operational matters are in place."

But Mr Millar said Clear had signed a reciprocal agreement on August 9 and Telecom had signed on August 20. He was astounded Telecom was conducting contract negotiations through the press.

"Telecom informed us at 2 pm today [Friday] by e-mail that non-code access will not be delivered until further notice."

Clear is offering code-free dialling rates as low as 39c a minute. Telecom's standard rate for land-to-mobile calls is 71c a minute.

Other toll-call carriers are poised to bring in cheaper calls. They include WorldxChange (55c a minute) and CallPlus (between 45c and 51c).

Smart customers have been able to take advantage of lower home-to-mobile rates for some time, but only if they dial a three- or four-digit code first.

Consumers' Institute chief executive David Russell said access codes were an impediment to competition because people were unwilling or unable to use them.