Ofcom has announced the connection and on-going rental charges for wholesale Local Loop Unbundling (LLU) services that have arisen from the consultation that took place earlier this year. These prices are due to come into effect on 1 January 2005.
The connection charges are being reduced both for fully unbundled lines where the copper pair is given by BT to another operator as a whole and partially unbundled 'shared access' lines where BT provides telephone services but provides unbundling of broadband service to another operator.
Rental charges for shared access lines will also be reduced. The price changes are between 36 and 71 percent giving companies which are looking at or already providing unbundled services a significant improvement on cost base.
The table above shows the old prices in May 2004 before BT's last price reduction. The current prices are today's charges whilst the final prices show what will be charged next year. The percentage changes are shown to old price and to current price (in brackets).
Ofcom hasn't determined a final price for rental of fully unbundled service until it has concluded the consultation on the valuation of BT's copper network which is due to end 11 February 2005.
Separate to the above announcement, Ofcom has also proposed removing the 90 day notification period, part of the Significant Market Power (SMP) conditions imposed on BT with respect to wholesale LLU services and LLU backhaul. This affects both charges, terms and conditions and technical information. Consultation on this proposal is due to end 17 January 2004. [seb]
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