The Bermuda Telephone Company (BTC) intends to more than double the cost of local calls using public pay-phones - from 20 cents to 50 cents. The company has also proposed increasing the charge for using directory assistance from 60 cents to $1.

In a third notice, the company has proposed introducing a Preferred International Carrier (PIC) charge payable by international carriers with equal access at $6.00 per PIC. BTC says this charge will be in lieu of the application of the current $30 change of record charge.

Director of Telecommunications Gregory Swan said yesterday that BTC had submitted a notice in accordance with the Telecommunications Act, which says that 21-days notice must be given for proposals to change tariffs so comments or objections from community can be submitted.

He said it was likely the Commission would start to review the tariff submission before the 21 days elapsed, but needed to wait until the 21 days was over to make a decision on the new rates.

He said: "Within the next few weeks, the commission will meet to discuss the tariff changes."

He also said it was by no means a done deal, and that it "is only a submission at this point".

BTC spokesperson Ona Fletcher said yesterday: "BTC has proposed the increase really to reflect the current costs and diminishing demand."

She said the new rates, which she emphasised were only proposals, would align Bermuda with the rates in other jurisdictions, and she gave the example of the Bahamian phone company which charges ten cents a minute for five minutes on public telephones.

The Royal Gazette reported in September 1999, that according to an internal report compiled by a BTC market analyst, the company expected to lose more than three quarters of a million dollars in 1999/2000 due to the high cost of operating public pay-phones.

The report said expenses for 1999/2000 to operate public pay-phones was projected to be $1,323,904, whereas income was only expected to be $544,000, leaving the company with a shortfall of $799,904.

Although BTC holds a monopoly in the market, the report suggested a number of options including increasing the cost of a call, having time limits, as well as renting, leasing or selling pay-phones.

In the report, the analyst pointed out that local pay-phone charges were not in line with other jurisdictions.

"While the costs of postage stamps (20 cents to 35 cents), newspapers (30 cents to 70 cents), bus fares ($2 to $4) and a can of soda from a vending machine (75 cents to $1) have nearly doubled, the cost of a local payphone call has not been changed since July 1983 when it was increased from ten cents to 20 cents."

BTC has 650 pay-phones across the Island but only 115 are accessible 24 hours a day. The others are located in buildings and businesses that are not open to the public at all times.