Commission’s proposal for a Regulation to complete the Telecoms Single Market and to achieve a Connected Europe eCommunications Forum 4 th October 2013
Objectives To provide a brief background of the proposed Regulation published by the Commission 11 September. To discuss the preliminary views on the Regulation. To present anticipated next steps in the legislative process leading to the adoption of amendments to the current EU telecom package. Slide 2
The Electronic Communications Framework Review Current EU Framework comprises 5 Directives, 2 Regulations, and number of Decisions and Recommendations. Last review started in November 2007. A final text was adopted in December 2009, with a transposition deadline of May 2011. On 11 September 2013, Commission launched a Regulation aimed at the completion of the Telecoms Single Market. Slide 3
Commission’s desired timeline Publication of Proposal: 11 September 2013 European Council: 24/25 October 2013 Slide 4
Main themes To facilitate provision of electronic communication services and networks across different MS Enable Introduce coordinated Enhance concept of access to protection of single EU spectrum across end-users and authorisation the EU + harmonization for ‘European crossborder related rules providers’ access to ‘essential inputs’ Slide 5
Freedom to provide services and networks across MS Single EU authorisation. Concept of Home NRA & Host NRA EC veto on remedies imposed on European operators. European operators entitled to equal treatment by the NRAs of different MS in objectively equivalent situations. Preliminary opinion: Significant additional bureaucracy and less legal clarity. Different rules for European operators vs. local operators. Could lead to forum shopping practices by operators. Proposed veto on remedies goes counter to subsidiarity principle. Slide 6
Enable cross- border access to ‘essential inputs’ (1) Member States’ decisions to grant rights of use subject to approval by the Commission. All harmonised wireless broadband spectrum to be re- assigned through harmonised procedures by 2025. Preliminary opinion: Important shift in balance of powers from MS to the Commission with respect to a national resource. EC becomes ‘de facto’ Euro spectrum regulator. Possible impact on spectrum fees with negative implications on Government revenues. Slide 7
Enable cross- border access to ‘essential inputs’ (2) SMP operators obliged to offer virtual access to their networks via EU harmonised product. Symmetric obligation on operators to provided an assured service quality connectivity product. Preliminary opinion: Rational for proposals and implications are unclear. Not apparent that these measures will address an identified need in the European telecoms market. Slide 8
Net Neutrality Establishes freedom of end-users to access and distribute information and content, run applications and use services of their choice. Sets rules for internet traffic management. Allows deals between content providers and ISPs to ensure quality of service. Sets rules for minimum QoS and monitoring at an EU level. Preliminary opinion: Agreement with general principles. The detailed provisions need to be analysed carefully to assess possible implications. Slide 9
Harmonization of rules related to end-users Transfers USD provisions to the Regulation. Extends these to grant more rights and protection of end- users. Preliminary opinion: New end-user provisions generally in line with current local framework. Provisions in the Regulation will be established as maximum End User rights across the EU. Regulation will severely limit Malta’s ability to adapt end user rules to reflect local issues. European operators will still be subject to different rules under general consumer protection rules, etc. Slide 10
International calls and Roaming Charges for international fixed calls to be same as domestic tariff, unless objectively justified. Charges for incoming roaming calls prohibited. Current roaming regulation obligations will be reduced if operators join a coalition to apply domestic tariffs to roaming customers. Preliminary opinion: Likely negative implications on small operators and the EU mobile market. Proposed exemptions from the current Regulation undermine predictable regulatory environment. Slide 11
BEREC Chairman BEREC Chairman to be a full-time employee appointed by an open procedure for a three year term. Procedure to heavily involve the Commission. Administrative Manager of the BEREC Office to be appointed for a five year term, renewable once (currently one year appointment). Preliminary opinion: Current troika system is working well. Proposal likely to infringe on the independence of BEREC. Slide 12
Concluding general views Support the objectives of the proposed regulation - competition, investment and innovation, as well as the new objective of the overall competitiveness of the EU. Not convinced that Regulation will deliver the desired objectives. The Regulation would centralise many competences within the Commission significantly extending its powers in the sector. Particular concerns about spectrum provisions. Consumer related provisions would limit MS ability to react to national sector specific consumer issues. Likely that the majority of the objectives can be achieved with less administrative complexity, bureaucracy and regulatory cost. Slide 13
Next Steps BEREC input European Commission MCA / Malta European Initial position Parliament Negotiations between MS [Committees] Member States European Council in October & TTE Council of MCA’s EC Forum Ministers Feedback from local industry Slide 14
Thank You Malta Communications Authority Valletta Waterfront, Pinto Wharf, Floriana, FRN 1913 Tel: (+356) 21 336 840 Fax: (+356) 21 336 846
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