ANACOM reduces fixed termination rates by 42%

ANACOM determined a fall in the wholesale termination rates of 42%. Consequently, the price to be charged shall fall from the current 0.1114 cents per minute to 0.0644 cents per minute. This reduction follows another of around 80% which ANACOM decided upon by adopting a provisional, urgent measure in 2013.

The termination rates are the prices that fixed network operators charge to other operators for call termination on their networks. Hence, by means of these reductions in termination prices, the conditions are ripe for more competitiveness in the offers of electronic communications’ services, including the phone service at a fixed location.

The new prices stipulated hereby by ANACOM shall come into force within 10 business days, calculated as from the approval of the decision, and they must be adopted by all operators who terminate voice calls at a fixed location and who have significant market power on this market.

The new prices already derive from the costing model approved by ANACOM in line with the European Commission recommendation pertaining to Terminations that these rates must be geared towards the costs of an efficient operator.

The fixed termination rates shall be updated again based on the results of said costing model in October 2017.