March 26, 2020 Results of Appeal for Opinions on Draft Ministerial Ordinance for Revisions to Rules for Calculating of Grants and Contributions, etc. related to Provision of Universal Telecommunications Services

The Ministry of Internal Affairs and Communications (MIC) decided to make an appeal for opinions on a draft Ministerial Ordinance for partial revisions to the Rules for Calculation of Grants and Contributions, etc. related to Provision of Universal Telecommunications Services.
MIC received a report today from the Information and Communications and Posts Administrative Council concerning an inquiry (Inquiry no. 3127, February 7, 2020), and MIC is announcing the report and submitted opinions along with views on the opinion.
MIC will promptly revise the rules based on the results of the appeal for opinions and the report.

1. Background

Grants and contributions under the universal service system are calculated using a long-run incremental cost (LRIC) method. The current Rules for Calculating of Grants and Contributions, etc. related to Provision of Universal Telecommunications Services (MIC Ordinance No. 64, 2002) correspond to the 7th LRIC model. MIC appealed for opinions from Saturday, February 8, to Monday, March 9, 2020 to apply the 8th LRIC model to the calculation of grants in and after fiscal 2020.

2. Future plans

MIC will promptly revise the Rules for Calculating of Grants and Contributions, etc. related to Provision of Universal Telecommunications Services based on the results of the appeal for opinions and the report.

3. How to obtain further reference information

The documents of the reference information will be posted to the Press Releases section of the MIC website (https://www.soumu.go.jp) today (Thursday, March 26), and they can be viewed, and copies taken, at the contact window of the Tariff and Telecommunications Access Policy Division (MIC Building 10th floor), Telecommunications Business Department, Telecommunications Bureau, MIC.