Fixed line wholesale services pricing review 2009-10

The Analysys cost model provides estimates of the price of a set of current declared services, including:

• PSTN OA and TA
• ULLS
• LCS
• WLR
• LSS

The ACCC released the model for consultation in December 2008. In all 26 parties requested access to the Analysys cost model during the consultation period and, of those, four made submissions. Based on the responses to the consultation, where it was considered necessary and/or appropriate, the Analysys cost model was revised.

The Analysys cost model (version 2.0), included the inputs outlined in Appendix 2 of the draft pricing principles and indicative prices report.

Note: The updated Analysys model has been compressed. Users may need to update their compression software (e.g. WinZip) to access the model. If users have further problems, please contact John Skinner at john.skinner@accc.gov.au or 02 9230 3855.

The ACCC has commissioned two international benchmarking reports in relation to fixed network services:

• Ovum, Telstra ULLS Undertaking—ULLS international benchmarking, February 2009.
• Analysys Mason, International benchmarking analysis: WLR, LCS, LSS and PSTN OTA, 18 August 2009.

The ACCC has released an updated version of the Analysys Mason Assessment of possible modifications to the Analysys cost model.

The Specific Costs model calculates the monthly specific costs charge for the ULLS and LSS. The structure of the model reflects the discrete cost models that Telstra developed in previous regulatory proceedings for the LSS specific costs and ULLS specific costs and combines data from the two.

Parties who wish to receive a copy of the ACCC’s Specific Costs cost model should email john.skinner@accc.gov.au with correspondence copied to appreview@accc.gov.au.