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Study on Unbundled Partial Circuits Released

Commission releases draft benchmarking study on Unbundled Partial Circuits

The Commerce Commission has today released a draft benchmarking report prepared by Covec Limited on Unbundled Partial Circuits (UPCs) for public consultation. This draft report relates to Telecom New Zealand Limited’s commitment to the Commission last month to introduce cost-based pricing for the UPC service by 30 September 2004.

Notwithstanding an announcement late last week that Telecom and TelstraClear have reached a commercial agreement covering all price and non-price terms for the supply of UPC services, the Commission is continuing with the process set out in Telecom’s commitment to introduce cost-based pricing of the UPC service to the industry.

The completed benchmark report will assist the Commission in assessing whether Telecom will be making the UPC service available at cost-based prices and in assessing whether there are reasonable grounds to investigate the merits or otherwise of regulating access to Telecom’s fixed public data network under Schedule 3 of the Telecommunications Act 2001.

A copy of the draft report is available on the Commission’s website, www.comcom.govt.nz, select Telecommunications Regulation. The Commission invites submission from interested parties by
16 August 2004. The Commission will issue its final benchmarking study at the end of August.

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