ANACOM approves 10% reduction of the maximum prices of the Ethernet circuits between Mainland Portugal, Azores and Madeira

ANACOM approved the 10% reduction of the maximum prices of the circuits between Mainland Portugal and the Autonomous Regions of Azores and Madeira (CAM circuits) provided by MEO – Serviços de Comunicação e Multimédia and the maintenance of the maximum prices of the circuits connecting the different islands of the Azores (inter-island circuits), under the reference Ethernet leased lines offer (RELLO).

Concerning the prices of the traditional circuits, under the leased lines reference offer (LLRO), ANACOM also decided to maintain the prices in force.

The new prices of the CAM circuits shall enter into force on the date of approval of the draft decision which preceded this ANACOM decision, i.e., 2 October 2020.

The accumulated reduction of the maximum prices of the CAM circuits is around 94.5% since 2015, considering the reductions of CAM Ethernet circuits of 1 Gbps.

The main objective of this ANACOM decision is to improve market competition conditions, benefiting the operators and service providers that are alternatives to MEO, and need to hire these connections in order to develop their business activity and, ultimately, the consumers of the Autonomous Regions, with the intention being that they should benefit from greater diversity of retail offer under conditions equivalent to those provided to the rest of the consumers of electronic communication services in Mainland Portugal.

In compliance with the applicable procedures, this decision was preceded by notification of the draft decision, on 5 February 2021, of the European Commission, the Body of European Regulators for Electronic Communications (BEREC) and the national regulatory authorities of all the other European Union Member States.