PERUSAHAAN PERSEROAN PERSERO P.T. TELEKOMUNIKASI INDONESIA Tbk AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS UNAUDITED continued SEPTEMBER 30, 2007 AND 2008,
AND NINE MONTHS PERIOD ENDED SEPTEMBER 30, 2007 AND 2008 Figures in tables are presented in millions of Rupiah, unless otherwise stated
102
48. TELECOMMUNICATIONS SERVICES TARIFFS continued b. Mobile cellular telephone tariffs continued
iii. Usage tariffs
continued The tariffs are determined based on certain formula consisting of:
• Network element cost;
• Retail service activity cost plus margin.
The network element cost is determined using Long Run Incremental Cost Bottom up Method. The operators are allowed to apply de-average basic telephone service usage cost
and bundling tariffs, maximum equal to tariff determined using the above formula.
c. Interconnection tariffs
The Government establishes the percentage of tariffs to be received by each operator in respect of calls that transit to multiple networks. The Telecommunications Law and Government
Regulation No. 522000 provides for the implementation of a new policy to replace the current revenue-sharing policy. Under the new policy, the operator of the network on which calls
terminate would determine the interconnection charge to be received by it based on a formula to be mandated by the Government, which would be intended to have the effect of requiring that
operators charge for calls based on the costs of carrying such calls. The MoC issued Decree No. 322004, dated March 11, 2004 stated that cost-based interconnection fees shall be
applicable beginning January 1, 2005, of which subsequently postponed until January 1, 2007 based on the MoCI Regulation No. 08PerM.KOMINFO022006 dated February 8, 2006. On
December 28, 2006, the Company and all network operators signed amendments to their interconnection agreements for fixed line networks local, SLJJ and international and mobile
network for the implementation of the cost-based tariff obligations under the MoCI Regulations No. 08PerM.KOMINFO022006. These amendments took effect on January 1, 2007.
i. Interconnection with fixed line network
The Government’s National Fundamental Technical Plan set forth in Decree No. KM.42001, as amended by Decree No. KM.282004, sets out the technical requirements, routing plans
and numbering plans for interconnection of the networks of various telecommunications operators among themselves and with the Company’s fixed line network. Under the National
Fundamental Technical Plan, all operators are permitted to interconnect with the Company’s fixed line network for access thereto and to other networks, such as international gateways
and the networks of other cellular operators. In addition, cellular operators may interconnect directly with other networks without connecting to the Company’s fixed line network.
Currently, the fees for interconnection are set forth in Decree No. KU.5061997, Decree No. KM.461998, Decree No. KM.371999 and Decree No. KM.302000.
Fixed line Interconnection with Indosat. Currently, the fixed line interconnection between the Company and Indosat is generally based on their agreement signed in 2005. Pursuant to the
agreement between the Company and Indosat, for interconnection of local and SLJJ calls, the operator of the network on which the calls terminate receives an agreed amount per
minute.
PERUSAHAAN PERSEROAN PERSERO P.T. TELEKOMUNIKASI INDONESIA Tbk AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS UNAUDITED continued SEPTEMBER 30, 2007 AND 2008,
AND NINE MONTHS PERIOD ENDED SEPTEMBER 30, 2007 AND 2008 Figures in tables are presented in millions of Rupiah, unless otherwise stated
103
48. TELECOMMUNICATIONS SERVICES TARIFFS continued c. Interconnection tariffs continued
i. Interconnection with fixed line network continued
Other Fixed Wireline Interconnection. Since September 1, 1998, the Company has been receiving a share of the tariffs from Batam Bintan Telekomunikasi “BBT”, which is a local
operator with a special coverage area on Batam Island, for each successful call that transits or terminates on the Company’s fixed line network. Under the interconnection agreement, for
local interconnection calls, revenues are shared on a “sender keeps all” basis. For local calls originating on BBT’s network terminating on a cellular network and vice versa which transit
through the Company’s fixed line network, the Company receives an agreed percentage of the prevailing tariff for local calls. For interconnection of SLJJ calls, the operator of the
network on which the calls terminate or transit receives an agreed percentage of the prevailing long-distance tariff. In addition, BBT is to receive a certain fixed amount for each
minute of incoming and outgoing international calls, from and to BBT that transit through the Company’s fixed line network and use the Company’s IDD service and 50 of the prevailing
interconnection tariff for incoming and outgoing international calls that transit through the Company’s fixed line network and use Indosat’s IDD service.
Other Fixed Wireless Interconnection. Fixed wireless networks may interconnect with the Company’s fixed line network at the Company’s gateway. At present, other than the
Company and Indosat, PT Bakrie Telecom “BT” also operates a fixed wireless network in Indonesia. The fixed wireless interconnection between the Company and BT is currently
based on the most recent interconnection agreement signed in 2005. Pursuant to the agreement, for interconnection of local calls, the operator of the network on which the calls
terminate receives an agreed amount per minute. For local calls originating on BT’s network terminating on a cellular network and vice versa which transit through
the Company’s fixed line network, the Company receives an agreed percentage of the prevailing tariff for local calls. For SLJJ calls that originate on the Company’s
fixed line network and terminate on BT’s network, BT receives an agreed amount per minute.
In the reverse situation and for transit long-distance calls through the Company’s fixed line network, the Company receives an agreed percentage of the prevailing long-distance tariff. In
addition, BT is to receive a certain fixed amount for each minute of incoming and outgoing international calls to and from BT that transit through the Company’s fixed line network and
use the Company’s IDD service and 25 of prevailing interconnection tariff of incoming and outgoing international calls that transit through the Company’s fixed line network and use
Indosat’s IDD service.
ii. Cellular interconnection
In respect of local interconnection calls, including transit calls, between a cellular network and the Company’s fixed line network, the Company receives 50 of the prevailing fixed-line
usage tariff for local pulse. For local calls from the Company’s fixed line network to a cellular network, the Company charges its subscribers the applicable local call tariff plus an airtime
charge, and pays the cellular operator the airtime charge. For local calls between cellular telecommunications networks, the originating cellular operator pays the terminating cellular
operator the airtime charges.
