TELECOMMUNICATIONS LAWFUL TARIFFS DIRECTIVE WHEREAS it is important to establish a framework that provides clarity on the rules and procedures the Authority shall follow to assess the lawfulness of tariffs, intervene to set tariffs, and review the tariffs of Telecommunications Operators; RECOGNIZING the necessity to provide clarity to Telecommunications Operators on how they shall notify the Authority about changing or introducing new tariffs; GIVEN the necessity to prevent Telecommunications Operators from charging unlawful tariffs for their services; NOW, THERFORE, in accordance with Articles 6(2), 6(6), 45(5), and 46(1), of the Communications Service Proclamation, the Authority hereby issues this Telecommunications Lawful Tariffs Directive. PART ONE GENERAL 1. Short Title This Directive may be cited as the “Telecommunications Lawful Tariffs Directive No. 797/2021.” 2. Definitions In this Directive, unless the context otherwise requires: 1) “Active Infrastructure” means the elements or components on the active layer of a Telecommunications Network, including, but not limited to, antennas, switches, servers, databases, radio access nodes, and transmission equipment. 2) “Authority” means the Ethiopian Communications Authority established under the Communications Service Proclamation No. 1148/2019. 3) “Collocation” means the placement of network equipment or systems that are used for service provision by a Telecommunications Operator together with network equipment or systems installed at premises of other Telecommunications Operator at a technically feasible location on the basis of agreement reached between them. 4) “Controlled Tariff” means a tariff for a service or a bundle of services, where the Authority has determined that the Telecommunications Operator providing those services holds Significant Market Power in a relevant market for those services. 5) “Controlled Retail Tariff” means a tariff of a Retail Service provided by any Telecommunications Operator that has been found to hold Significant Market Power in a relevant market for the Retail Service. 6) “Controlled Wholesale Tariff” means a tariff of Wholesale Services provided by any Telecommunications Operator that has been found to hold Significant Market Power in a relevant market for the wholesale service. 7) “Downstream Operation” means the business operations of a Vertically Integrated Operator that concerns with the supply of Retail Services, as if the supply of Retail Services were carried out by a legally separate entity. 8) “Downstream Retail Cost” means the cost of the Downstream Operation. 1