Summary
A new regulatory regime
1.1 A new regulatory framework for electronic communications networks and services entered into force on 25 July 2003. The framework is designed to create harmonised regulation across Europe and is aimed at reducing entry barriers and fostering prospects for effective competition to the benefit of consumers. The basis for the new regulatory framework is five EU Communications Directives.
1.2 The new Directives require national regulatory authorities (“NRAs”), such as Ofcom, to carry out reviews of competition in communications markets to ensure that regulation remains appropriate and proportionate in the light of changing market conditions. A series of market reviews has been carried out over the last 24 months and this review of the wholesale local access market has been one of the final reviews to be conducted.
Scope of this review
1.3 Ofcom has limited this review to setting out the overall framework for regulating the provision of wholesale local access services and co-location (by way of general remedies) and determining appropriate charges for specific services. Local loop unbundling (“LLU”) services fall within the wholesale local access market and co-location.
1.4 Ofcom considers that LLU process issues are dealt with more appropriately outside of this review. Ofcom has therefore appointed an independent Telecommunications Adjudicator (the “Adjudicator”) to work with industry to accelerate the implementation and delivery of fit for purpose and appropriately industrialised LLU products and processes. Progress of the work of the Adjudicator can be found at www.offta.org.uk. Ofcom will assist the Adjudicator and put in place formal obligations, if is appropriate and necessary for it to do so.