The Competition Commission of South Africa has announced that is has reached an agreement regarding MTN’s proposed data price reductions.

The agreement comes after long discussions between the Commission and MTN after the publishing of the Data Services Market Inquiry last year.

As part of that that inquiry, Vodacom was also tasked with reducing its prices which came into effect on 1st April.

While MTN stated its intention to reduce the price of data in mid-March, we now have confirmation that this has been agreed upon by all parties.

So what can MTN customers expect?

The price of a 30-day prepaid bundle – up to 1GB – will be reduced. A 1GB bundle will now cost R99 from 1st May.

Customers will be also be granted a 20MB data bundle daily for use in the Ayoba app.

Also from 1st May, MTN will offer all of its customers zero-rated access to certain public benefit organisation websites up to a maximum of 500 websites. Access will be capped at 500MB per month per customer.

“The confirmation of the agreement with MTN means that all mobile operators have no formally ascribed to the voluntary commitments contained in the recommendation of the Data Market Inquiry for short-term price relief to consumers,” said Competition Commissioner, Tembinkosi Bonakele, in a statement.

“The Commission can now turn to focus on the medium-term recommendations around regulatory and legislative change as well as the development of free public WiFi and alternative broadband infrastructure,” the commissioner added.

The Competition Commission said it will continue monitoring pricing levels and profitability until the market becomes more competitive.