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BoR (11) 06b BEREC report NGA Country Cases - IRG

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<strong>BoR</strong> (<strong>11</strong>) <strong>06b</strong><br />

� Elaborate on the rationale for allowing or not allowing a decommissioning of MDFs, and<br />

any conditions involved. E.g., approval for a phase-out may be made contingent upon the<br />

availability of an equivalent alternative wholesale product. 3<br />

In order to ensure that the network transformation process has effectively begun, the<br />

decommission announcement is only possible when, for at least 25% of Telefónica‟s<br />

customers in the MDF (retail and bitstream), all services are provided through other means<br />

than copper cables from that MDF. Telefónica must also inform about the exact date to<br />

close the exchange.<br />

� In its <strong>report</strong> “<strong>NGA</strong> – Implementation Issues and Best Practice” 4 <strong>BEREC</strong> suggested that “in<br />

addition to the reference offer – wholesale customers should be able to obtain relevant<br />

information on roll-out of new infrastructures or technologies per geographical area. A<br />

reasonable window of announcement is necessary to create a level playing field on the<br />

retail market”.<br />

- Explain if such provisions are applied and what they look like.<br />

At least 6 months in advance, Telefónica must provide to the alternative operators using<br />

wholesale access services and to the NRA detailed information about any change<br />

foreseen in the architecture and characteristics of the copper access network, including<br />

those that even without affecting the wholesale access service conditions could imply a<br />

potential change on the retail service offer. Therefore, all network nodes relating to FTTN<br />

deployment must be announced six months in advance.<br />

Additionally, Telefónica must inform about the FTTH deployment plans by providing<br />

updated information at least 6 months in advance. Hence, Telefónica must provide the list<br />

of central offices which act as optical headers, the location and the area covered by each<br />

one as well as the date they will be operational.<br />

- Elaborate on your practical experiences with such provisions (e.g. have there been any<br />

practical problems with enforcing such provisions?).<br />

No remarkable problems have been detected.<br />

� Are there any provisions dealing with stranded assets? Investments by alternative<br />

operators get sunk if the closure of MDFs implies that pay-back periods are shorter than<br />

3 See ERG (07) 16rev2, Ch. 4.5.2 and in particular the flow-chart diagram illustrating procedural<br />

issues in the substitution phase.<br />

4 <strong>BoR</strong> (10) 08; Chapter E.2, p. 9.<br />

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