Axon proposes a methodology in the wake of a potential merger of two communication networks in Jamaica

The Jamaican telecoms Regulator, the Office of Utilities Regulation (the OUR), has published the draft methodology for the calculation of fixed interconnection rates, with the support of Axon Consulting.

Within the document, the OUR proposes a solution that would take into account the potential merger between LIME (the incumbent) and FLOW (a cable operator). It is uncommon for an incumbent to merge with another operator in this way, which provides Axon with further unique expertise in analysing telecommunication markets for regulators and operators.

This is a key milestone in Jamaican regulation. The outcome of the methodology will affect the payments for interconnection between operators and will most likely have a direct effect on the final prices paid by subscribers. Axon Consulting will support the OUR to implement the methodology outlined in the document in a state of the art Bottom Up LRIC model (BULRIC).

Click here to download the consultation document (sections 6.21 and 6.22 refer to the merger).

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