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NPT announces MTR reduction proposals

12 Sep 2014

The Norwegian Post and Telecommunications Authority (NPT) has outlined plans under which all operators designated as holding significant market power (SMP) in the mobile market will be required to reduced mobile termination rates (MTRs) to a maximum of NOK0.083 (USD0.013) per minute from 1 April 2015. Looking ahead, the regulator has also confirmed that the rates will be further reduced from 1 January 2016 – to a maximum of NOK0.075 – before falling further – to NOK0.065 – from 1 January 2017.

The NPT said it had reached its decision having conducted an updated market analysis of the sector, while it said it had also developed an updated version of the Long Run Incremental Cost (LRIC) model used for calculating the costs of termination. A national consultation on the proposals will now be undertaken, with submissions due by 9 October 2014, following which the regulator will review comments and publish an updated draft decision to the EFTA Surveillance Authority (ESA) for consideration. Following feedback from the EFTA, the NPT expects to finalise the ruling in the first quarter of 2015.


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