ICP approves the Unbundled Access Offer to the Local Loop


/ Updated on 24.01.2008

The Reference Offer for Unbundled Access to the Local Loop (RUO) was approved by the Instituto das Comunicações de Portugal (ICP), with certain modifications in relation to the project put forward to service providers in May 2001. Portugal Telecom has ten days within which to publish its offer in light of the determination that has now been approved.

The local loop corresponds to the last section of the fixed telephony networks. Access to these network sections, exploited by the incumbent operator, allows the other operators to provide services to the end user, by using the local infrastructure that has already been installed, in broadband inclusively. It thus provides diversity in terms of offer, thereby complementing the networks of the new operators and benefiting the user.

On the set date, the exchanges at Lumiar and Laranjeiras, in Lisbon, and at Foz, in Oporto, must be able to offer services to the public. Furthermore, on said date, the 40 exchanges considered as priorities by the operators must also be prepared for equipment installation. By 1 October 2001, the 80 exchanges considered as priorities must also be prepared.

The monthly lease to be charged to the other operators by Portugal Telecom, remains unchanged in relation to the plan put forward in May: EUR 11.96 (PTE 2,398) for a narrow-band line, and EUR 13.78 (PTE 2,762) for a broadband line. These prices do not include VAT.

The prices that have now been approved are below the European average for narrow-band lines, and on a par with the European average for broadband lines. In addition, leasing a line presupposes the right to exploit it. Thus, the incumbent operator cannot charge the other operators any payment regarding traffic.

There have been some corrections to certain previous prices regarding the rentals for internal and external connections, access control and the co-installation rental. There have been no changes to the prices for installing and verifying eligibility and intervention in cases of malfunction. The new figures can be seen at Alterations to be introduced in the Reference Offer for Local Loop Unbundling 2001 (draft decision) - determination of 28.6.2001.

It should be noted that all prices contained in the determination are to be applied in the wholesale market, among the operators. The prices to be charged to the end user depend on the cost structure of the operators and the commercial offer they formulate in the interim.

Furthermore, the determination also sets rules for the relation among the parties, access to the exchanges, leasing premises, installation and equipment compliance, service interruption or suspension, service quality and deadlines regarding infrastructure availability, among other points.


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