The service is available to those who have ADSL or Cable Internet and all local and international calls are made through the internet.

David Thake, general manager of Keyworld, said yesterday the system would drastically reduce telephone costs for those subscribing to the new service. So long as the user has a high speed internet connection, he or she can make and receive calls from anywhere in the world. The system is not restricted solely to PhoneLine subscribers. Calls can be made to Maltacom or mobile phone lines to any PhoneLine user, however the cost will vary accordingly.

Mr Thake said there are three ways of connecting to the

service. A subscriber can use his computer as the telephone by downloading for free a software programme; for an installation fee of Lm15, the subscriber could instead be given a VoIP phone, which connects to the normal telephony line; or subscribers can retain their Maltacom phone and for a Lm20 fee and a special adapter connect the phone to the ADSL or cable connection.

A spokesman for the company told The Malta Independent that the system can be operated from anywhere in the world.

“So long as you are a subscriber you can user the system in any country. PhoneLine is ideal for businesses because the rates are extremely low and it is an attractive option for those who make a substantial amount of calls overseas. We have already received a number of subscriptions from abroad, especially people who have relatives in a number of countries. At the end of the day, it pays when calls are just 1c.”

There are two tariff plans. The Classic Plan has a rental fee of Lm1 per month and calls are charged 1c5. Heavy users can opt for the Super Saver Plan. The rental fee is Lm3 per month but calls are charged at 1c.

Calls made to Maltacom lines or mobile phones will be charged according to the plan they are on. For example, a call to a Maltacom line will cost 6c4 or 5c9 per pulse, while calls to mobile phones will cost 13c or 12c per minute. All incoming calls are free.

Asked how users will be billed, the Keyworld spokesman said the system was similar to the VoIP top up cards in use today.

“Every subscriber will be given a specific telephone number, 2540-XXXX, and an account that can be accessed online. The subscriber starts off with an initial account of Lm10 and this can be topped up accordingly. Users can also ask to have their account topped up automatically to, say, Lm10 when their balance goes down to Lm2, for example.”