The communications regulator has proposed a cut in the price Eircom can charge rival operators for local loop unbundling (LLU).
This is the process which enables rivals to use the connections between the local exchange and customers' homes, and is usually used to provide broadband services.
ComReg is proposing a cut of more than 25% in the monthly rental charge - from the current €16.43 to €12.18.
The regulator says LLU is important for competition in the high-speed broadband market.
'ComReg believes that the successful implementation of these proposals will lead to greater competition and, ultimately, consumer benefits through increased choice and lower prices,' said chairperson John Doherty. The regulator is inviting submissions on the issue before making a final decision.
Last year, ComReg scrapped an interim decision to cut the price of one of Eircom's wholesale products after Eircom challenged the decision in the High Court.
BT Ireland welcomed the move, but the chief executive of Magnet said it did not go far enough. 'As an example, if we look at Northern Ireland, even with today's proposed reduction, it is still 33% cheaper to access the local loop there,' said Mark Kellett.
