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Ill. Approves Telecom Cost-of-Service Rules

Fortnightly Magazine - October 1 1995

The Illinois Commerce Commission approved new rules for cost-causation principles used by telecommunications carriers in setting rates for competitive and noncompetitive services. The new rules rely on long-run service

incremental-cost studies to measure the cost of providing individual services and to check for subsidies between service groups. Carriers will also be required to use an aggregate revenue approach to test pricing for competitive and noncompetitive services. Re Implementation of Section 13-507 of the Public Utilities Act, No. 92-0211, July 19, 1995 (Ill.C.C.).

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