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Portuguese regulator: “DTT network costs not excessive”

Portugal’s National Communications Authority (Anacom) has completed an investigation into DTT network costs, concluding that the amount charged is not excessive.

The procedure was launched after complaints by national TV channels RTP, SIC and TVI over excessive charges by DTT network operator Portugal Telecom/Meo.

According to the regulator, the evaluation took into account the costs incurred by Meo in 2013, as well as the costs for allocation of free capacity on Multiplex A. Namely, due to the lack of more TV channels on DTT, the costs have to be divided between those who are taking up space on Multiplex A.

However, Anacom issued a recommendation: as more channels are added, or there is a reduction in costs, Meo should take the initiative to lower prices.

The regulator also stressed that it can impose prices only after a market analysis that would justify regulatory intervention and that concludes that Meo has significant market power.

The draft decision is now under public consultation until September 7th, after which the final decision of the regulator will be published.

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