The estimated cost of capital for broadcast transmission, 2015-2025

Plum estimated the weighted average cost of capital (WACC) for broadcast transmission services on a ten year forward looking basis for the Office of the Adjudicator Broadcast Transmission Services.  The assessment took into account differences between broadcast transmission and other regulated industries including the existence of long-term contracts and future risks to broadcast transmission due[…]

The cost of capital for broadcast transmission

Plum developed an explanatory note on the cost of capital and its application to broadcast network access. The note also addresses the argument that the WACC should be reviewed due to changed circumstances (in particular, the financial crisis’s impact on interest rates).