Brussels, 17/07/2012 (Agence Europe) - Incumbent operators represented by the ETNO association are delighted with the proposals by Neelie Kroes on investment in broadband, unveiled on 12 July last (EUROPE 10654). New operators, however, represented by the ECTA, accused the commissioner of, “having turned her back on competition”. Neelie Kroes' proposals include a reduction in regulatory pressure on the former monopolies, which will not have to lower their prices for access to the copper networks they control (“unbundling”). ETNO and ECTA are defending diametrically opposed positions on fibre-optic network prices. Incumbent operators must be allowed to raise their prices applied to their competitors in exchange for the use of their copper networks, in an effort to boost investment in fibre optics, argues ETNO. On the other hand, ECTA claims that the new operators are being penalised by the excessive prices demanded by the incumbent operators for using their current networks, which prevents them from investing in fibre-optic networks. Kroes' declaration puts an end to a long period of uncertainty in the sector, the president of ETNO, Luigi Gambardella, was pleased to announce. ETNO is particularly pleased that stable rules will prevail for eight years, which will help promote planned investment, and that derogations are envisaged for the cost orientation models advocated up until now. ECTA is wholly disappointed. Although its president, Tom Ruhan, welcomes and supports the non-discriminatory approach envisaged by Neelie Kroes, he considers that this will enable incumbent operators to benefit from “regulatory holidays” for new generation networks. ECTA is also highly critical of the suggestions on price methodology. Tom Ruhan said that, “incumbents will not only be allowed to regain full monopolies on future networks, they will also be allowed to continue overcharging consumers and starving competitors on existing networks”. (IL/transl.fl)