NCC considers pricing regime for based transmission

The proposed pricing regime was contained in a study result presented by KPMG in Lagos at a Stakeholders Consultative Forum organised by NCC on the determination of a cost based transmission cable pricing among telecoms operators in Nigeria.According to NCC, KPMG was contacted two years ago to carry out the study as part of its […]

The proposed pricing regime was contained in a study result presented by KPMG in Lagos at a Stakeholders Consultative Forum organised by NCC on the determination of a cost based transmission cable pricing among telecoms operators in Nigeria.
According to NCC, KPMG was contacted two years ago to carry out the study as part of its regulatory oversight function to address competitive dynamics, pricing and related matters in cable transmission pricing among operators.
The NCC’s Executive Vice Chairman Dr. Eugene Juwah said the move was informed by the commission’s observations of arbitrary and discriminatory pricing inherent in the transmission line market segment.
Juwah who was represented at the forum by the NCC’s Executive Commissioner Stakeholder Management Dr. Okechukwu Itanyi noted that the commission engaged the services of KPMG to ensure for the execution of the project is guided by reality in the sector.
He explained that presentation of findings from the study to stakeholders is to further prove the commission’s participatory regulation to gather opinions and inputs for best pricing regime in the sector’s cable transmission market.
Juwah listed some of the issues raise by operators in the cable service border on discriminatory and arbitrary pricing, predatory pricing, denial of access to viable routes among others.
The essence of determining a cost based transmission cable pricing and development is to enable an extremely high degree of frequency reuse, requires minimal frequency coordination, which allows links to be deployed close to one another without interference, he said.
The KPMG Nigeria Head, Media, Telecoms and Technology, Mr. Joseph Tegbe, also said the primary objective of the project is to develop a cost based option for regulating the pricing of transmission cable in the Nigerian Telecoms Industry.