Press Releases

The Communications Authority approves Matáv’s LRIC based reference unbundling offer

Budapest, June 19, 2003

The Communications Authority has approved its new, long run incremental cost based reference unbundling offer of Matáv replacing the earlier, fully allocated cost based reference offer.

As prescribed by the Hungarian Telecommunications Act, as of January 1, 2003, service providers with significant market power have to apply the long run incremental cost (LRIC) calculation in respect of their reference interconnection and local loop unbundling offers. In line with this, Matáv filed a new reference unbundling offer (MARUO) on November 4, 2002.

The framework of the offer remains unchanged. It includes four services: full and partial unbundling of the local loop, internal and external co-location (local loop is defined in the offer as a twisted pure copper pair).

The majority of the approved LRIC-based fees changed marginally compared to last year:
- Monthly fee for full and partial local loop unbundling increased from HUF 3,177 to HUF 3,544 and from HUF 3,118 to HUF 3,290, respectively.
- Unbundling examination cost of a local loop increased from HUF 36,705 to HUF 39,099. The one-off fee for furnishing the unbundling with a 100 loop capacity block amounts to between HUF 93,071 and HUF 364,772. The one-off connection fee of the full or partial unbundling of the loop increased to HUF 24,680 and HUF 27,484 respectively.
- The related one-off fees for internal and external co-location have been converted into monthly fees amounting to between HUF 39,156 and 384,799, depending on the work that must be undertaken at Matáv’s buildings and sites and the installation of air-conditioning.

The reference unbundling offer complies with the current regulation as confirmed by the Communications Authority. Further modifications to the regulation may result in additional changes.