Premature end to TSO meeting not necessarily bad

A meeting of interested parties looking at the model the telecommunication commissioner will use to determine the telecommunications share obligation (TSO) was cut short by a day.

A meeting of interested parties looking at the model the telecommunication commissioner will use to determine the telecommunications share obligation (TSO) was cut short by a day.

The meeting was to present the commission's model to various industry players for discussion and comment, however the commission's manager for network access Osmond Borthwick says the participants had less to say on the day itself.

"They heard our plans for how we're going to proceed. They heard from the Federal Communications Commission (FCC) expert that we brought over from the [United] States about how the model that they developed worked."

The commission had flown Dr Bill Sharkey out to explain the workings of the hybrid cost proxy model (HCPM) that it will be using.

Borthwick says the parties made comments and asked questions about the model.

"But the whole thing ran out of steam as the day proceeded."

However Borthwick says this shouldn't be seen as a lack of interest all round.

"There's been a lot of discussion to this point and it's not the first time people have sat round the table with these issues. There were a couple of main objectives for us - the opportunity to talk about our way forward and in particular our proposal to use the FCC model and if any parties had any particular views at this stage then they could bring it to our attention."

Borthwick says the opportunity was there for interested parties to ask questions about the workings of the model.

"From their point of view it may have been useful to learn about the proposed approach. We also asked for feedback on how the commission should use the figure Telecom provided and there was some fairly high-level discussion on that but again, people said they'd get back to us in writing."

The commission is expected to outline its assessment of the TSO costs early in the new year.

As IDGNet reported earlier this week, (New TSO figure from Telecom could be half original estimate) Telecom has released its assessment of the TSO costs - depending on the cost of raising capital it is either $226.5 million for six months or $112 million at the lower rate.

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