moshe kahlon 224.88.
(photo credit: Courtesy)
Communications Minister Moshe Kahlon has ordered the cancelation of exit fees
for customers in the local telecommunications market.
The new ruling will
apply to the Internet, international calls, cable and satellite, and fixedline
telephony, as well as the carriers’ current subscribers.
the exit fees by mobile carriers, the next step is to limit the exit fees in the
telecommunications market,” said Kahlon. “When the law is passed, it will lift a
major barrier that will help improve competition, and customers will be free to
switch carriers without fear of fines.”
On February 1, the Communications
Ministry restricted exit fines for customers switching mobile carriers,
including for customers with current contracts. Customers can now switch
carriers with payment of a nominal fee for terminating the contract: 8 percent
of the average monthly bill times the remaining number of months of the
subscriber’s commitment period.
The measure is part of the ministry’s
policy to reduce barriers empowering subscribers and facilitate their switching
The Communications Ministry is also seeking to expand
competition by allowing customers to chose additional alternatives.
ministry’s favoring of the Israel Electric Corporation fiber optics
telecommunications infrastructure venture is one of these measures.
example of future exit fines is as follows: for an 18-month commitment period
with a 12-month exit point and an average monthly bill of NIS 500, the exit fine
will be 8% times NIS 500 times six months, for a total of NIS 240.