Ref: 07/01
Date: 18 January 2001

Operators will be able to have earlier access to the most popular of BT’s exchanges, Oftel has announced today.

Agreement to bring forward the popular exchanges in urban areas was reached at a meeting today of BT and operators interested in local loop unbundling and chaired by Anne Lambert, Oftel’s Director of Operations.

Oftel called the meeting to discuss solutions to teething problems revealed by the first orders for co-location space, as operators did not place as many firm orders for co-location as had been anticipated.

All participants attending the meeting reaffirmed their commitment to the unbundling process. Oftel put forward the proposal to advance operators’ top priority sites ordered in the second round of bidding, and this was agreed at the meeting.

BT has already completed initial surveys for many of these sites and is preparing co-location costs. It is hoped that the first orders for these sites can be placed next month.

The meeting also agreed on further work to be done to minimise costs where only a few operators placed orders for co-location space. There will also be further work to ensure that design and costings accurately reflect the needs of those operators committed to the process.

In addition, Oftel announced that it had started an investigation into the costs of co-location space.

Anne Lambert, Oftel’s Director of Operations, said

"This was a constructive meeting. All who attended were keen to solve the problems that have arisen so that the unbundling process can proceed according to the agreed timetable.

"Oftel was encouraged by the degree of commitment shown by many operators and BT. Oftel, BT and operators are making very great efforts to iron out the problems that have arisen.

"Oftel’s objective is to ensure that construction of co-location facilities begins in the highest priority exchanges before Easter.

"Work is also progressing well on distant location. Orders from operators to connect unbundled loops to equipment installed in nearby locations are being processed separately. This work can proceed at a faster rate than preparation of co-location space within BT’s buildings."

Notes to Editors

1. Last week, the first 25 sites – out of over 650 now being processed – reached the stage when operators could place firm orders for co-location. Orders were placed at 14 of these 25 sites with an average of 1 or 2 operators per site.

2. There are a number of possible contributory factors as to why this may have happened. Some of the operators who placed initial orders for space in September had since stated they were not pursuing local loop unbundling at present and so did not place orders. Other operators want to wait until their top priority sites become available, while others were concerned about co-location costs.

3. As agreed at today’s meeting, Oftel is working urgently with the operators and BT to address these and any other concerns so more orders are put in when further exchanges become available. BT has now completed nearly 700 preliminary site surveys

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