Anacom formalizes interconnection prices and deadlines for installing a local loop

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Anacom announced its final decision regarding the Reference Offer for Access to the Local Loop (RUO) and the Reference Interconnection Offer (PRI) for 2005, which had already been previously communicated in early February. According to the decision, the maximum deadlines for the supply of an active local loop without a portability request are now 15 working days.

In cases where portability is required, the deadlines are subject to scheduling, although the testing deadlines cannot exceed 4 working days, the eligibility check for the order is 2 days and the completion information is also two days ( components that integrate the installation process).

In the case of non-active local loops without tests, the installation and supply times fall to 10 to 12 days. it may take between 3 to 11 days.

The analysis carried out by the regulator on the previous situation reveals that the period between the pre-order and information on the completion of a local loop installation required by a new operator was 119 working days. Regarding the deadlines for installing network lines, in the subscriber mode, the regulator has determined an average period of 14 working days, for orders placed during the first semester.

Both terms are considered excessive and not replicable since, according to PT Comunicações’ arguments, they resulted from an additional effort in the implementation of infrastructures associated with Euro 2004.

These changes must be introduced within a maximum period of 30 days and their non-compliance will be penalized differently when referring to the supply of active loops and non-active loops.

According to the resolution, there should be a compensation of 7.5 euros for each business day of delay to the maximum date foreseen for analysis and intervention in the loop. Additional maximum prices are also defined to be applied for unbundling under particular conditions that require installation of cables or other additional works.

Interconnection prices fall 10 percent

With regard to interconnection prices for 2005, Anacom’s reference proposal introduces a 10% cost reduction, extends the economic schedule to 14 hours and reduces the normal schedule to 10 hours.

According to this resolution, activation prices are reduced by 0.05 euros and prices per minute are reduced by 1 percent. Upon activation, the defined prices change to 0.60 euros at local level, 0.70 euros in single transit and 0.80 euros in interconnection in double transit.

These prices do not coincide with those of the proposal submitted by PTC considered by the regulator to be incompatible with the principle of cost orientation.

Related News:

2005-02-15 – Anacom wants to reduce prices on the local loop

2005-01-04 – Anacom imposes a 10% reduction in PTC interconnection prices

2004-12-16 – Anacom reduces maximum time for the supply of loops and determines fines for non-compliance