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| LRAIC |
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A number
of Danish interconnect prices are from 1 January 2003 regulated
by the LRAIC method. Broadly speaking, the idea behind LRAIC is
that the SMP operators’ interconnect prices must be based
on what the cost would be to produce these interconnect products
in a modern telecommunication network, which does not bear the burden
of historically related bad investments and the lack of up-to-date
technology. The Danish LRAIC prices are calculated in a model maintained
and annually updated by the Danish regulator.
LRAIC pricing is implemented in a growing number of European countries.
Use of LRAIC is based on EU’s recommendations.
Nordic Connect has obtained extensive experience in LRAIC through
the active participation of our consultants in the Danish process.
With this knowledge, Nordic Connect can assist with project management,
modelling and analyses and assistance or management of LRAIC processes
for operators and NRA’s. Nordic Connect is also capable of
sparring, in terms of feasibility studies and the development of
proposals for technical changes in LRAIC models. |
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