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8 November 2009
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Commission to propose European telecoms regulator[fr][de

Published: Tuesday 4 September 2007    | Updated: Wednesday 5 September 2007   

Information Society Commissioner Viviane Reding faces tough negotiations with member states over the introduction of a European regulator for electronic communications. The proposal is going to be part of the Commission's review of the telecoms regulatory framework, which is due in mid-October. 

Background:

Almost ten years after the liberalisation of EU telecoms markets, the Commission's DG Information Society finds that "some important problems remain to be solved". 

This concerns in particular "a lack of consistency in the way that common rules are applied throughout the enlarged EU", which "makes it difficult to roll out electronic communication services under the same conditions" and results in the internal market being "fragmented into 27 different regulatory systems". The Commission believes that these objectives "cannot be sufficiently achieved by member states alone". 

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Other related news:

DG Information Society argues that "creating a European Authority working in close co-operation with the national regulatory authorities (NRAs) and the Commission represents an effective means to address the problems". In a draft proposal for a regulation that EurActiv has seen and which is currently in the Commission's inter-service consultation procedure, the DG, led by Luxembourg Commissioner Viviane Reding, advocates "establishing the European Electronic Communications Market Authority". 

According to the draft, the authority would be established as an agency based in Brussels. It would replace the European Regulators' Group (ERG) but would be working in close co-operation with national telecoms regulators as well as with the Commission. The new agency would serve three major purposes: 

  1. Improving the consistency of regulation in the EU; 
  2. reinforcing cooperation between the NRAs and the Commission, and; 
  3. creating a centre of expertise for regulatory issues linked to market analysis and the provision of cross-Community services.  

According to the draft, the authority's tasks will be to: 

  • Give its opinion when the Commission expresses "serious doubts about a measure proposed by an NRA;
  • assist the Commission in analysing national markets where NRAs fail to do so;
  • co-ordinate analysis of trans-national markets carried out by NRAs;
  • administer the European telephone numbering spaceexternal for pan-European services;
  • assist the Commission with respect to allocating European radio spectrum;
  • assist the Commission in identifying so-called cross-community services, which are "susceptible to EU or regional rather than national regulation"; 
  • help select companies to carry out cross-community services, and;
  • monitor regulatory compliance of cross-community services.

In addition, it will serve as a knowledge pool on telecoms regulation between member states, their NRAs and the Commission, including the publication of an annual report and keeping databases on cross-border issues such as radio-spectrum management and mobile roaming. 

Positions:

ETNO, representing the EU's formerly state-owned telecoms operators, said: "The regulatory framework should keep ensuring consistent regulatory objectives and principles across the European Union, while avoiding a one size-fits-all approach to remedies, given market specificities. Although some new services that are pan-European by nature may call for a more harmonised approach, no permanent additional layer of bureaucracy should be created, in line with the transitory character of the EU regulatory framework."

Ilsa Godlovitch, head of regulatory affairs at ECTA, the association of new-market-entrant telecoms operators, told EurActiv: "Competitive telecoms operators across Europe often find that the wheel is being invented several times over to solve similar problems. Therefore, we have always advocated closer co-operation between regulators, in order to spread best practices. In that respect, it is quite clear how helpful the European Regulators Group's taking a greater role over the past eighteen months has been. We would like to see that role still boosted, and any institutional mechanism to forward that - be it in the form of an agency or in some other form - would be welcome. 

"Ideally, we would like to see a solution that involves the Commission and an enhanced body of European Regulators working more closely together. The most important role of such a body should be to provide on-the-ground experience to the Commission and to make sure that decisions take account of national circumstances. There is a danger, however, which needs to be avoided; namely, that you get a lowest common-denominator approach. The structure should serve to harmonise best practices and not the lowest common denominator."

Next steps:

  • As of early September 2007, the proposal is in the Commission's inter-service consultation procedure. It is set to be put forward to the Parliament and Council on 17 October.
  • If the two institutions agree in first reading, the European Electronic Communications Market Authority could be set up in 2010.

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