Sec.  51.711   Symmetrical reciprocal compensation.

   (a) Rates for transport and termination of telecommunications traffic shall
   be  symmetrical,  except as provided in paragraphs (b) and (c) of this
   section.

   (1) For purposes of this subpart, symmetrical rates are rates that a carrier
   other than an incumbent LEC assesses upon an incumbent LEC for transport and
   termination of telecommunications traffic equal to those that the incumbent
   LEC assesses upon the other carrier for the same services.

   (2) In cases where both parties are incumbent LECs, or neither party is an
   incumbent LEC, a state commission shall establish the symmetrical rates for
   transport and termination based on the larger carrier's forward-looking
   costs.

   (3) Where the switch of a carrier other than an incumbent LEC serves a
   geographic area comparable to the area served by the incumbent LEC's tandem
   switch, the appropriate rate for the carrier other than an incumbent LEC is
   the incumbent LEC's tandem interconnection rate.

   (b) A state commission may establish asymmetrical rates for transport and
   termination of telecommunications traffic only if the carrier other than the
   incumbent LEC (or the smaller of two incumbent LECs) proves to the state
   commission on the basis of a cost study using the forward-looking economic
   cost based pricing methodology described in  Sec.  Sec. 51.505 and 51.511, that the
   forward-looking costs for a network efficiently configured and operated by
   the carrier other than the incumbent LEC (or the smaller of two incumbent
   LECs),  exceed  the costs incurred by the incumbent LEC (or the larger
   incumbent  LEC),  and,  consequently,  that such that a higher rate is
   justified.

   (c) Pending further proceedings before the Commission, a state commission
   shall establish the rates that licensees in the Paging and Radiotelephone
   Service (defined in part 22, subpart E of this chapter), Narrowband Personal
   Communications Services (defined in part 24, subpart D of this chapter), and
   Paging Operations in the Private Land Mobile Radio Services (defined in part
   90,  subpart P of this chapter) may assess upon other carriers for the
   transport  and  termination of telecommunications traffic based on the
   forward-looking costs that such licensees incur in providing such services,
   pursuant to  Sec.  Sec. 51.505 and 51.511. Such licensees' rates shall not be set
   based on the default proxies described in  Sec. 51.707.