ANACOM forces MEO to cut prices of ducts and poles by up to 35%

Deepak Gupta July 30, 2022
Updated 2022/07/30 at 12:49 AM

ANACOM approved the downward revision of the prices of the maximum monthly fees of the reference offers for access to ducts (ORAC) and access to masts (ORAP) by MEO – Serviços de Comunicações e Multimédia.

This ANACOM decision was preceded by a public consultation and was previously notified to the European Commission.

ANACOM: MEO should reduce maximum monthly prices for ORAC by 35% and ORAP by 20%

According to the ANACOM publication, the reduction of monthly prices to be implemented, with effect from 15 February 2022, aims to ensure that all the wholesale offers in question comply with the obligation to guide prices towards costs imposed on MEO, as it has significant power in the respective wholesale market, thus ensuring the promotion of competition and the development and installation of very high capacity networks.

According to the decision now approved, MEO must reduce the maximum monthly prices for ORAC by 35% and ORAP by 20%.

This decision by ANACOM, like the regulatory measures imposed on access to ducts and masts in the past, contributed to a reduction in the cost of deploying high capacity networks, allowing all operators to have access to similar conditions to invest in the development of their own infrastructure.

ANACOM forces MEO to cut prices of ducts and poles by up to 35%

This growth of networks to new areas of the territory may imply an increase in the intensity of use, by operators, of MEO's physical infrastructures, which, as is known, are endowed with a huge capillarity and extension.

With this price reduction, the costs of implementing the networks fall, which is expected to translate into the emergence of new and more appropriate offers, at better prices, with the benefit of consumers.

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