6. Price-Setting for Passive Infrastructure Sharing 6.1. Basic Principles An infrastructure provider’s charges for infrastructure sharing shall be: (a) determined in a transparent manner, subject to any confidentiality claims to which the Authority has to agree; in order to assure transparency, details on how charges for infrastructure sharing have been determined, may need to be disclosed to the Authority upon request; (b) non-discriminatory in order to ensure that an infrastructure provider applies equivalent conditions in equivalent circumstances in providing equivalent services, as the infrastructure provider provides for itself, any non¬affiliated licensee or any subsidiary or affiliate of the infrastructure provider; (c) reciprocal for the same service in order that the infrastructure provider and infrastructure seeker pay the same rate for providing each other the same services, except for any applicable contribution towards an access deficit that may be approved by the Authority; (d) preferably such that non-recurring costs shall be recovered through non-recurring charges and recurring costs shall be recovered through recurring charges; (e) such that charges that do not vary with usage shall be recovered through flat charges and costs that vary with usage shall be recovered through usage-sensitive charges; and (f) initially based on a fully-allocated cost methodology; RURA reserves the right to call for a consultation process to determine whether a forward-looking long-run incremental cost methodology is applicable to Passive Infrastructure sharing. 6.2. Price setting methodologies 6.2.1 When determining the maximum prices for infrastructure sharing, there are three basic approaches: - leaving price-setting to the market, i.e. based on negotiations between licensees - price-setting based on benchmarking - cost-based price setting 6.2.2 Negotiation-based price setting is most adequate, if there is an efficient market of players with similar market power. However, in case of 7

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