The bitter dispute between Eircom and the telecoms regulator over the price other operators pay to access Eircom's local telecoms network will be aired in the High Court today.
The legal challenge, which Eircom lodged in May against telecoms regulator, Ms Etain Doyle, is part of a long-running dispute over a process known as "unbundling the local loop".
Unbundling would enable competing firms to offer services directly to consumers over the last mile of the incumbent operator's local copper telephone network.
Eircom is alleging that the monthly charge of €13.53 per line that Ms Doyle has directed it charge other operators for using its network is too low and will not enable Eircom to recoup its investment in network infrastructure.
Eircom believes local factors such as the low population density in the Republic make the charge uneconomic, according to statements made by Eircom prior to taking the legal challenge.
In return, Ms Doyle published a table which showed the proposed monthly fee was towards the midrange of comparable charges levied by other incumbent telecoms operators in EU states.
Ms Doyle also criticised Eircom's lack of co-operation in the unbundling process and noted that the company had failed to supply all the relevant information.
Experts believe that opening the local telecoms networks of former state-owned firms will significantly increase the range of innovative high-speed internet and multimedia services available to businesses and consumers.
The European Commission passed a regulation last year which mandated the introduction of competition to local networks by January 1st, 2001, to stimulate the new economy.
However, progress on "unbundling" has been extremely slow in the EU and not a single telephone line has been unbundled in several states, including the Republic.
There is unlikely to be any progress in the Republic until today's court case is completed.
The legal challenge by Eircom is one of a series of bitter disputes between the incumbent operator and the telecoms regulator. They include a recent disagreement over the charges which Eircom wants to levy on operators to supply a new high speed internet service, which has been proposed by Eircom.
The dispute has delayed the launch of the high speed i-stream service - and the matter has not yet been settled.
