Accounting separation

When an undertaking’s specific business has regulated tariffs or has exclusive or special rights (Universal Service for example), an undertaking must separate its accounting procedures between this business and « competing » businesses. TERA Consultants has the recognised expertise to undertake and/or test compatible accounting separation methods which uphold the regulatory and competition authorities’ requirements (common and joint cost allocation, defining incremental and avoidable costs, etc.).

Examples of missions

• Drafting a methodology to allocate costs between regulated and competitive activities
• Defining the allocation keys in fixed costs and common costs for a broadcaster
• Separating costs for a postal service’s exclusive and competitive rights businesses
• Evaluating cross-subsidies between regulated and non-regulated activities for a telecommunications operator
• Assessing public service costs and non-regulated public service broadcasting
• …