Out-Law / Your Daily Need-To-Know

Oftel this week set out the service levels that BT must offer to other operators wanting to unbundle BT local loops, following consultation with the industry. This is the first time that the telecoms regulator has formally intervened to set service level standards, and is designed to ensure that BT meets the needs of operators that want to provide high speed services over unbundled loops.

BT must pay a small sum of compensation if it fails to meet these service levels. BT will have to pay operators £10 for each working day an unbundled loop is unavailable and £80 per operator for each working day's delay in providing co-location facilities.

If, for example, BT promises an operator (and its customers) to deliver a loop on Monday and it is not available until Wednesday, the operator will be entitled to £20 compensation.

Oftel took the decision to set service level commitments when it decided that BT's original commitment did not meet operators' needs for providing services over unbundled loops. after concluding that a complaint made by operators had been justified. Oftel has concluded that BT's original offer did not meet operators' legitimate needs, and so Oftel has now set the service levels.

BT is required to amend the access network facilities agreement, which is the contract BT has with operators to provide the services necessary for local loop unbundling.

Details on service level commitments and compensation for local loop unbundling are available on Oftel's website.

The terms of the Access Network Facilities Agreement are also available on Oftel's website.

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