The Bulgarian regulator took into account the recommendations of the European Commission after the notification of the market analyses

      The Communications Regulation Commission (CRC) took account of the recommendations of the European Commission (EC) after the notification of three market analyses deciding to introduce immediate symmetry between the wholesale tariffs from fixed to mobile and from mobile to mobile networks; approved a new more accelerated glide path for the wholesale termination rates for calls in mobile and fixed networks; took into account the comment to specify the obligation for cost oriented rates.
      The introduction of symmetry between the tariffs from fixed to mobile and from mobile to mobile networks will result at reduction of the rates from fixed to mobile network with 14 % for peak traffic (0.25 BGN) and 24% for off-peak traffic (0.19 BGN) respectively.
       The new glide path for mobile termination rates foresees reduction of the tariffs as of 01.07.2009 respectively from 0.25 BGN to 0.23 BGN for peak traffic (8%) and from 0.19 BGN to 0.17 BGN for off-peak traffic (10.5%).
As of the beginning of 2010 a new reduction will be imposed - 11% for peak and 12 % for off-peak traffic, respectively from 0.23 BGN to 0.205 BGN and from 0.17 BGN to 0.15 BGN.
      The last decrease is envisaged from 1 July 2010 when the rates will go down with 36.6 % for peak and 27 % for off-peak traffic and will reach levels of 0.13 BGN and 0.11 BGN respectively.
      Depending on the type of traffic and the call origination the total reduction of the mobile termination rates will be between 42% and 56%.
CRC defined as well the final wholesale fixed termination rates, reducing double transit rates between 62% and 67%, single, metro and local transit - between 17% and 60%.
      When defining the specific steps for reduction of termination rates, the influence of the global financial crisis was taken into account, as well as the increasing market risk for investments and the necessity to provide opportunity to the operators to invest in new technologies.
      CRC considered also the comments of the EC related to the introduction of cost-orientation obligation for mobile and fixed operators and while elaborating the system for costs allocation will propose the LRIC model to be used - for assessment of long-term incremental costs. The present step is in line also with the future recommendation of the EC on termination rates.