Which Price Level for Copper Access in the Transition to Fibre?
Over the past few months, the question of the access price to the copper local loop during the transition to the fibre network has received a lot of attention from regulators and economic experts mandated by associations of operators (notably Plum Consulting and WIK Consult).
This article analyses methods and practices of cost-oriented access pricing in the light of three objectives of tariff regulation. Numerical simulations were made, basing particularly on cases of the UK and France.
A configuration of copper and fibre charges was proposed which satisfies all the three criteria and encourages the installation of fibre, which was not the case for the configurations proposed before.
Link to the Working Paper