WLR for Tele2 - UKE

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WLR for Tele2

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2006-07-13

The President of the Office of Electronic Communications by its decision of 13 July 2006 modified an agreement between TP and Tele2 laying down the conditions for wholesale line rental. The introduction of wholesale line rental should contribute to increased competition in the telecommunications market and enable more effective competition from a retail offer provided by Telekomunikacja Polska S.A.

WLR enables a subscriber to switch to another operator with the service continued to be provided in the same location and over the same infrastructure. An agreement with TP is terminated following an order filed with Tele2 together with an authorisation to carry out the whole procedure on behalf of the subscriber. The order for WLR should also contain a request to preselect Tele2, if the subscriber has not ordered preselection before.

  

Basic and Full service

The President of UKE obliged TP to provide WLR for analogue and ISDN access. A two stage scenario was foreseen for WLR implementation, with Basic Service implemented within 2 months and Full Service within 18 months. According to the President of UKE, these deadlines are sufficient for implementing all necessary procedures by TP and Tele2 enabling the subscribers to use Basic and Full Services.

  

Who is responsible for complaints?

Tele2, based on data received from TP, is obliged to issue invoices and billings related to services provided to Tele2 subscribers. It is also responsible for all types of claims raised by subscribers due to non-provision or inappropriate provision of services.

Complaints about telecommunications services and charges are handled exclusively by Tele2. By no means is it possible for Tele2 to refer their subscribers directly to TP.

  

Charges for WLR

The basis for line rental settlements between Tele2 and TP will be a reference price amounting to PLN 37.83 for an analogue line and PLN 55 for a digital line (ISDN). Tele2 is entitled to a wholesale discount on the reference price amounting to 46.99%.

In order to set a reference line rental price for an analogue line the President of UKE calculated an average of two applicable tariff schemes: standard TP tariff scheme (plan TP standardowy) and start TP tariff scheme (plan TP startowy). These tariff schemes are the only tariff schemes that have been offered by TP recently to include full range of extra services and at the same time they are not bundled offers (i.e. they do not contain free minutes). When setting a reference price for a digital line (ISDN) the President of UKE based its calculations on line rental charges within a standard ISDN TP tariff scheme.

A wholesale discount for Tele2 amounting to 46.99% was set on a reference price calculated as described in the above. Thus, Tele2 will pay net PLN 20.05 of a monthly rental for an analogue line and net PLN 29.16 for an ISDN line.

Monthly line rental charges within WLR paid by Tele2 to TP

 

Reference price

Wholesale discount

Wholesale charge (net)

Analogue line

PLN 37.83

46.99%

PLN 20.05

ISDN line

PLN 55.00

46.99%

PLN 29.16

The discount includes an appropriate margin for Tele2 measured as Earnings before Interest, Taxes, Depreciation and Amortisation (EBITDA=20%). The costs incurred by Tele2 in relation to the provision of WLR consist of expenditure on marketing, attracting new customers, customer service, billing and invoicing and bad debt recovery. The wholesale discount should therefore enable Tele2 to generate profits from services provided on the basis of WLR while offering to end users a product at a competitive price compared to TP prices.

The decision of the President of UKE is immediately enforceable.

  

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    INTRODUCTION
    The President of the Office of Electronic Communications (President of UKE) is the national regulatory authority for the market of telecommunications and postal services. The President of UKE is also the specialised authority in the area of equipment conformity assessment, including telecommunications terminal equipment and radio equipment.

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    INTERNATIONAL ACTIVITY
    Here you can find information about the most import ant international events, significant for the development of telecommunications and postal markets In Poland and for the statutory activity of the Office of Electronic Communications.
    International activity of the President of UKE consists of, inter alia, cooperation with the European Commission, other EU institutions and Regulatory Authorities of EU Member State. It includes also the cooperation within organizations of which UKE is a member, i.e. the International Telecommunications Union (ITU), the Body for European Regulators of Electronic Communications (BEREC) and the European Committee for Postal Regulation (CERP).


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    CONTACT
    Contact details representatives of the Office of Electronic Communications (UKE).
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