(Des Moines)– Rates for local telephone service in 20 exchanges have been deregulated by a state board, leaving telephone companies to set their own prices.
The Iowa Utilities Board determined there is effective competition in Council Bluffs and 19 other exchanges, including some local ones.
The board says the companies they deregulated had atleast one competitor that has captured atleast half of the business and residential customers. Deregulating the prices allows the telephone companies to set their own rates, which no longer need approval by the government.
The board says it will monitor rates for local telephone service in these markets to ensure that the market remains competitive and could take action to regulate again if prices become uncompetitive.
Local exchanges being deregulated are Armstrong, Laurens, Primghar, Spencer and Storm Lake.
(Story from the Associated Press).
