Openreach


New pricing framework for Openreach

Issued August 8, 2008

Executive Summary

Openreach welcomes this urgent and essential review by Ofcom of the pricing framework for Openreach’s regulated copper access products. In this review, Ofcom has the opportunity to ensure the sustainable supply of Openreach’s regulated services and in turn lay the appropriate foundations to support competition in access services going forward.

The current pricing framework is based on a number of Ofcom determinations, the earliest of which was published in 2004. Given developments in the market and the changing economic conditions the pricing framework that is in place today is out of step with the underlying costs of providing services. This review is therefore crucial to provide a new pricing regime that can deliver the right long term economic framework and appropriate investment incentives to Openreach and the industry more broadly.

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Openreach welcomes comments on the content of this document. Comments should be addressed by email to duncan.oneill@openreach.co.uk.