128 Telecommunications Act 2005 2005, No.20 Regulator determines that a cost study would be an effective and necessary means of preventing anti-competitive conduct or would otherwise be effective and necessary in implementing any scheme of tariff regulation. (2) Where the Regulator requires a service provider to prepare or file or otherwise participate in the development of a cost study: (a) the service provider shall file with the Regulator a study of the service provider‟s costs of providing the different categories of service; (b) the Regulator shall issue an order on the cost categories, form, approach, procedures and timing of the cost study; and (c) the purpose of the cost study shall be to determine the costs to the service provider of providing different types of telecommunications services. (3) The Regulator shall consult with any service provider the Regulator proposes to be required to prepare or file a cost study before the regulator makes an order under subsection(1) 45. Price Cap Regulation Method-(1) subject to subsection (4), the Regulator may issue an order to require a service provider to propose or otherwise participate in the development of a method of price cap regulation. (2) where the Regulator requires a service provider to propose a method of price cap regulation: (a) the service provider shall file with the Regulator a proposal for implementation of a method of price cap regulation of the service provider‟s service tariffs; and (b) the proposal shall identify the proposed starting tariffs for relevant services, proposed groupings or baskets, the application of price cap formulas and the specific proposed price cap formulas for price cap regulation. (3) The Regulator may issue an order: (a) prescribing guidelines for the development of a proposal for a method of price cap regulation; or