Price controls for wholesale ISDN30 services
- Start: 01 April 2011
- Status: Closed
- End: 10 June 2011
In this consultation we set out Ofcom's proposals to regulate Openreach's prices for wholesale ISDN30 services.
ISDN30 is a digital telephone line service that provides up to 30 lines over a common digital bearer circuit. These lines provide digital voice telephony, data services and a wide range of ancillary services. Retail ISDN30 exchange line services are used by businesses which need multiple lines (typically 8 lines or more) at a particular site.
Wholesale ISDN30 services are supplied by Openreach to other communications providers (OCPs) who use them to provide retail ISDN30 services to businesses. Openreach's charges for wholesale ISDN30 services are a significant cost input for OCPs competing to provide retail ISDN30 services. Simply put, the level of the wholesale price is likely to be reflected in the level of the retail price and therefore a high wholesale charge is likely to lead to a high retail price.
The intention behind our proposals is to ensure wholesale ISDN30 prices are set at an efficient level going forward, where charges are reflective of the underlying costs of provision. This would reduce retail ISDN30 prices and reduce the consumer harm caused by retail ISDN30 prices that are significantly above cost.
This note is to inform stakeholders of our decision in light of responses to our original consultation to re-consult on certain issues in relation to our Charge Control Review for LLU and WLR before the end of 2011. This means that we now expect to publish our statement in the first quarter of 2012, with the charge controls being implemented before 31 March 2012.
Also as modelling assumptions used in establishing the LLU and WLR charge controls inform the modelling for ISDN30, this delay to the LLU and WLR charge controls statement will delay the publication of the ISDN30 statement to the first quarter of 2012.