BellSouth Plan Approved: Competitors to Pay More for Access to Local Networks
Posted on: Thursday, 14 April 2005, 12:00 CDT
Apr. 14--State regulators have released BellSouth from some contract obligations that gave competitors low-cost access to high-performance parts of local phone networks.
The ruling might make phone service more expensive by reducing competition, and might cut the number of companies offering residential phone service in South Carolina, said Jack Pringle, lawyer for some small phone companies, including Greenville-based Nuvox Communications.
But BellSouth spokeswoman Marcia Purday said the ruling encourages competitors to build more infrastructure and innovate.
The S.C. Public Service Commission ruled Wednesday that -- starting June 8 -- BellSouth can charge competitors more when any of their new customers' calls go through certain parts of BellSouth's network.
Until the deadline, BellSouth and competitors must negotiate how big the price increases will be. Negotiated prices will be retroactively enforced from March 11.
The Office of Regulatory Staff, a state agency that weighs the interests of consumers and utilities, argued against a prior BellSouth plan during the debate. The agency's chief of staff, Dan F. Arnett, said Wednesday that the PSC had reached a reasonable compromise by giving competitors time to negotiate.
BellSouth expressed disappointment its plan was delayed.
The PSC's decision implements a Federal Communications Commission ruling in February that says BellSouth can charge more for access between high-performance parts of its network. But courts and utility regulators in several states have disagreed on whether that ruling affects pre-existing contracts among companies.
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BLS,
Source: The State (Columbia, S.C.)
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