Analysis of Pole Sharing Based on an Economic Market Model Proposal

Abstract

This paper analyzes pole sharing based on an economic market model proposal. There is a history of conflicts between electricity and telecommunications companies about the infrastructure sharing over which energy and information are conveyed and supplied to consumers. The current pricing models that define the pole rental value per point to be paid by telecom have attracted many criticisms. This paper aimed to propose a study model of the pole attachment economics in order to establish the pole point rental on an objective basis, perhaps eliminating some of the criticism, which involves that matter from its inception. To support the model, it was devised the sharing representation regarding both their physical and financial assets, including the regulation mechanisms and the social welfare optimization principle on which public policies are based. A simulation of 1-year contract between an electric and a telecommunication company will be performed in order to determine the rental fair price to telecom ensuring the economic and financial balance of the electric company and the reasonable tariff to energy end consumers.