The ‘local loop’ is the physical twisted metallic pair circuit in the fixed public telephone network connecting the subscriber’s telephone to the main distribution frame or equivalent facility.

Providing access to the local loop means that new entrants will be able to compete with notified operators in offering high bit-rate data transmission services for continuous Internet access and multimedia applications based on digital subscriber line (DSL) technology as well as voice telephony services.

A spokesman for the MCA said: “Local Loop Unbundling (LLU) is another way of delivering choice to consumers, encouraging growth of the market and delivery of new services. It presents new entrants with another potential delivery mechanism in providing services to a growing electronic communications market. Looking at the experience in other jurisdictions, LLU can be particularly useful in the early stages of competition when new entrants have limited networks of their own. It is not a magic formula for opening the market to increased competition but a potentially useful additional mechanism to stimulate growth and competition”.