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
101
48. TELECOMMUNICATIONS SERVICES TARIFFS continued b. Mobile cellular telephone tariffs continued
ii. Usage tariffs
1. The local usage tariffs are charged to cellular subscriber who makes a call to the PSTN. For the use of network, the tariffs per minute are computed at 50 of the prevailing local
PSTN tariffs. 2. The long-distance usage tariffs between two different service areas charged to cellular
subscriber are the same as the prevailing tariffs for SLJJ applied to PSTN subscribers. Based on Decree No. KM. 791998 of the MoC, the maximum tariff for prepaid customers
may not exceed 140 of the peak time tariffs for post-paid subscribers. Based on Announcement No. PM.22004 of the MoC dated March 30, 2004, Telkomsel
adjusted its tariffs by eliminating the tariff subsidy from long-distance calls, resulting to a 9 tariff increase.
Under Decree No. 12PerM.KOMINFO022006 dated February 28, 2006 of the MoCI the cellular tariffs consist of the following:
• Connection fee
• Monthly charges
• Usage charges
• Additional facilities fee
The tariffs are determined based on certain formula with a “floor price”. For usage charges, the floor price should be the originating fee plus termination fee total interconnection fee
while for connection fee and monthly charges, the floor price depends on the cost structure of each cellular provider.
The implementation of the new tariff for a dominant operator has to be approved by the Government. A dominant operator is an operator that has operating revenues equal to or
more than 25 of total industry revenue for a certain segment.
On April 7, 2008, the MoCI issued Decree No. 09PERM.KOMINFO042008 “Mechanism to Determine Tariff of Telecommunication Services which Connected through Mobile Cellular
Network” which provides guidelines to determine cellular tariffs with a formula consisting of network element cost and retail services activity cost. This Decree replaced the previous
Decree of No. 12PERM.KOMINFO022006.
Under Decree No. 09PERM.KOMINFO042008 dated April 7, 2008 of the MoCI the cellular tariffs consist of the following:
• Basic services tariff
• Roaming tariff
• Multimedia tariff,
with the following structure: •
Connection fee •
Monthly charges •
Usage charges •
Additional facilities fee.
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.
