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Epic could soon be the only phone and internet provider to include a clause in its contracts allowing it to increase prices mid-contract, after Melita said it would remove the provision from its agreements.

Meanwhile, GO said its contracts had never included the ‘price indexation clause’ which also forces customers to pay an early termination fee if they terminate their agreement early.

Confirming that some of its contracts did include the clause, Epic told Times of Malta it had “no plans” to apply the provision but did not say whether it would seek to remove it.

“Some contracts do have the clause... however, there are no plans at present to increase prices in relation to this,” a spokesperson for the company said.

“From the start, Epic introduced no lock-in contracts for customers wanting flexibility, enabling subscribers to make changes to their plan at any point,” she said, adding the company was not planning on applying the provision.

The spokesperson added that "MCA guidelines do not ask operators to remove such hikes but to operate within the guidelines, which is what Epic as always does."

Regulator raps operators 

Last week, the Malta Communications Authority (MCA) restricted the clause to only being included in new agreements limited to six months as it warned consumers could face “unpredictable” price hikes midway through their contracts.

Coming into effect from January, the restriction will also mean those with existing contracts that include the clause will be able to terminate their agreements early without paying a fee once their first six months are up.

In a statement last week, the MCA said it had “serious concerns” about the indexation clause, describing it as “distorting effective competition in the market” by hindering consumers’ ability to compare price plans.

The authority also appealed to telecom companies to allow customers to cancel their contracts within the first six months should their monthly fee rise due to the clause, a request a spokesperson for Melita said the company would honour by removing the provision, whcih it has since removed.

“Melita readily accepts the MCA’s decision and will be removing this clause, which means customers can rest assured that their contracts will be unaffected,” she said.

The spokesperson for Epic said the company was assessing the MCA’s report and “will have discussions with the authority to be guided on this”.

In a statement on Thursday afternoon GO reiterated that it has never included such clauses in its service contracts and currently has no intention of introducing them.   

"Whilst global inflation has forced many other operators, both locally and internationally to increase prices, GO has undergone every effort to manage such costs and has not transferred such burden onto customers, keeping prices constant, whilst offering increased value to its customers," the company said.