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Page 1: CSI Cost share

BT/ Industry contract forum 26BT/ Industry contract forum 26 thth March 2004 – BT Wholesale March 2004 – BT Wholesale

CSI Cost share

CSI COST SHARE

Nick Cox

SCF 26 March 2004

Page 2: CSI Cost share

BT/ Industry contract forum 26BT/ Industry contract forum 26 thth March 2004 – BT Wholesale March 2004 – BT Wholesale

CSI Cost share

CSI COST SHARE

ONOA

ONOB

ONO OWNED = 60% ONO OWNED = 50%

BT OWNED = 50%BT OWNED = 40%

ONO A PAYS FULL CONNECTION COST

ONO A PAYS 60% RENTAL COST

ONO B PAYS FULL CONNECTION COST

ONO B PAYS 50% RENTAL COST

Current CSI Pricing

BT

Page 3: CSI Cost share

BT/ Industry contract forum 26BT/ Industry contract forum 26 thth March 2004 – BT Wholesale March 2004 – BT Wholesale

CSI Cost share

CSI COST SHARE

OFTEL / OFCOM recommends that Connection charges should be cost shared going forward and also recommends that BT should recover a share of costs to cover CSI interconnect circuits delivering transit to terminating operators. Liability for this element of cost now being with the originator.

Both issues are linked ie implementation must be of both or not at all.

OFTEL / OFCOM DETERMINATION

Page 4: CSI Cost share

BT/ Industry contract forum 26BT/ Industry contract forum 26 thth March 2004 – BT Wholesale March 2004 – BT Wholesale

CSI Cost shareCSI COST SHARE

ONOA

ONOB

ONO OWNED = 60% ONO OWNED = 50%

BT OWNED = 50%BT OWNED = 40%

ONO A PAYS 60% CONNECTION COST

ONO A PAYS 60% RENTAL COST

ONO B PAYS 50% CONNECTION COST

ONO B PAYS 50% RENTAL COST

Connection Cost Share

BT

Page 5: CSI Cost share

BT/ Industry contract forum 26BT/ Industry contract forum 26 thth March 2004 – BT Wholesale March 2004 – BT Wholesale

CSI Cost share

CSI COST SHARE

BT

ONOA

ONOB

ONO OWNED = 60% ONO OWNED = 50%

BT OWNED = 50%BT OWNED = 40%

ONO A PAYS 60% CONNECTION COST

ONO A PAYS 60% RENTAL COST

ONO B PAYS 50% CONNECTION COST

ONO B PAYS 50% RENTAL COST

TRANSIT Cost recovery

Page 6: CSI Cost share

BT/ Industry contract forum 26BT/ Industry contract forum 26 thth March 2004 – BT Wholesale March 2004 – BT Wholesale

CSI Cost shareCSI COST SHARE

BT

ONOA

ONOB

ONO OWNED = 60% ONO OWNED = 50%

BT OWNED = 40%ONO A TRANSIT = 10%

BT OWNED = 30%ONO B TRANSIT = 10%

ONO A PAYS 60% CONNECTION COST

ONO A PAYS 60% RENTAL COST

ONO B PAYS 50% CONNECTION COST

ONO B PAYS 50% RENTAL COST

TRANSIT Cost recovery

Page 7: CSI Cost share

BT/ Industry contract forum 26BT/ Industry contract forum 26 thth March 2004 – BT Wholesale March 2004 – BT Wholesale

CSI Cost shareCSI COST SHARE

HOW WILL WE APPLY THIS?

Connection charge cost share & Transit circuit cost recovery must be implemented together.

Page 8: CSI Cost share

BT/ Industry contract forum 26BT/ Industry contract forum 26 thth March 2004 – BT Wholesale March 2004 – BT Wholesale

CSI Cost share

CSI COST SHARE –industry agreementTIMESCALES

• Present at industry forum Standard Contract Forum 8th March.

• Briefing document by End of week -12th Mar

• Response from industry 2 weeks -26th March

• Industry offer by end of 2nd April

• Report back to OFCOM 22nd April.

Page 9: CSI Cost share

BT/ Industry contract forum 26BT/ Industry contract forum 26 thth March 2004 – BT Wholesale March 2004 – BT Wholesale

CSI COST SHARE

ANY QUESTIONS