Analyzed retail offers

In 2010, an analysis was made of the tariff applying to calls made from PTC's network to other operators' networks based on the methodology defined in the determination of 14 December 2004 on the imposition of obligations in the narrowband retail markets, which is currently based on the valuation of the components:

(i) price of termination on the PTC network;

(ii) price of termination on OSP networks; and

(iii) PTC intra-network retail price;

according to the following rule:

PTC-OSP retail price = PTC-PTC retail price+ OPS Termination Price - PTC termination Price

whereas each component of the calculation indicated refers to the average price, per call, in terms of overall PTC-OSP traffic.

On 30 November 2009, PTC submitted a proposal to ICP-ANACOM with new tariffs for communications destined to direct customers of other providers (PTC-OSP), which it was proposed would enter into force on 01 February 2010.  The proposal contained two separate tariffs - one applying to operators whose average termination prices are close to the average price of termination on the network of PT (Colt, Equant and PT Prime) - Tariff Group 1, and a second tariff applying to the remaining operators - Tariff Group 2.

After an analysis of the proposal presented by PTC, and without prejudice to future review of its consequences in terms of transparency for users regarding the existence of intra-network and extra-network tariffs with substantially different structures, particularly as regards the existence of free periods, ICP-ANACOM concluded that:

(i) Regarding tariff group 1, the proposal presented by PTC consists of a tariff equal to that practiced by PTC for intra-network calls, whereby it was in compliance with the applicable obligations;

(ii) Regarding tariff group 2, it was found that the average price per call resulting from the PTC proposal does not present deviations from that resulting from the application of the defined rule, whereby tariff group 2 was also deemed to be in compliance with the applicable obligations;

Accordingly, by determination of 13 January 2010, ICP-ANACOM decided not to oppose the tariff proposal submitted by PTC, without prejudice to any applicable obligations of transparency.

Subsequently, on 12 February 2010, and following a change in the FTS base tariff within the scope of the US occurring on 19 February 2010, PTC submitted a new proposal to ICP-ANACOM to amend the tariff for communications to direct customers of other service providers, which was due to enter into force on 1 March 2010.

The proposal submitted by PTC consisted of two different tariffs, in line with the tariff which existed at the time. According to PTC, the tariff proposal consists of reducing and merging the price per minute for Local and National calls applicable to Group 2, whereas Tariff Group 1 is identical to the PTC intra-network tariff. The price proposal presented by PTC is detailed in the following tables.

^{Source: PTC. Values without VAT.}

^{Source: PTC. Values without VAT.}

After an analysis of the proposal presented by PTC, it was concluded that both tariff group 1 and tariff group 2 were compliant with applicable obligations, and it was noted that the merger of the local and national price categories into a single category simplifies the tariff structure. The proposal comes in a context of technological evolution where call distance tends to have less influence on costs, and it also promotes transparency by replicating the structure of PTC's intra-network tariff.

As such, by determination of 23 February 2010, ICP-ANACOM decided to declare the conformity of the proposal with applicable regulatory principles, particularly with regard to the obligations set out in the determination of 14 December 2004.

On 8 November 2010, PTC submitted a new proposal to ICP-ANACOM for the tariff applying to communications to direct customers of other service providers, which is due to enter into force on 1 January 2011. This proposal follows the change in the FTS base tariff in the context of the US, submitted to ICP-ANACOM on 22 October 2010.

The proposal submitted by PTC in this respect consisted of two different tariffs, maintaining the distinction between operators whose average termination prices are close to the average price of termination on PT's network (tariff group 1), and the remaining operators (tariff group 2). The proposal did not set out changes to tariff group 1, while proposing an increase in the price of communications during peak hours (from 0.0338 to 0.0351 euros per minute) in tariff group 2.

After an analysis of the proposal presented by PTC, it was concluded that both tariffs (group 1 and group 2) were compliant with the applicable obligations, given that the average prices per call under each tariff did not differ significantly from the average prices resulting from the application of the established rule. Subsequently, by determination of 19 November 2010, ICP-ANACOM decided to declare that PTC's proposal was compliant with the applicable principles of regulations.

The price proposal approved in the determination of 19 November 2010 is detailed in the following tables.

^{Source: PTC. Values without VAT.}

^{Source: PTC. Values without VAT.}