New Zealand’s Commerce Commission has opened a public consultation on a number of decisions relating to the cost models it will build to price the unbundled bitstream access (UBA) service and the unbundled copper local loop (UCLL) service. The paper sets out the Commission’s view on the regulatory framework, the type of hypothetical replacement network it will be modelling for the UCLL and UBA services and how it will address a number of key modelling decisions. The regulator’s preliminary view is that for the UCLL service, it will model a fibre-to-the-home network, with fixed wireless in remote areas; and for the UBA service it will model costs using Chorus’ copper-based inputs. In both models it proposes taking advantage of third-party assets where possible. The Commission also proposes a five-year regulatory period, and indicates that it will make a decision whether or not to backdate the prices it determines when releasing its draft decisions in December this year.
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