URCA to alter access charges

1 Aug 2012

Bahamian telecoms watchdog the Utilities Regulation and Competition Authority (URCA) has opened discussion concerning changes to the reference access and interconnection offer (RAIO) published by fixed line incumbent Bahamas Telecommunication Company (BTC). As a player with significant market power (SMP), BTC is obliged to provide cost oriented interconnection to its networks, with charges based on the ‘efficiently incurred cost of providing these services.’ A recent study by the URCA showed that BTC’s current RAIO, published in June 2011 but based on data from 2009, was not ‘fully reflective of an efficient cost level.’ In order to keep the RAIO up to date and promote certainty in the market, URCA is looking to develop a clear policy for future alterations to access charges. The regulator has invited comments from industry players, suggesting a number of possible solutions including a glide path, annual changes through price determination and setting charges based on benchmarking of cost oriented services in the region.


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