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Image header Agence Europe
Europe Daily Bulletin No. 10664
Contents Publication in full By article 11 / 38
ECONOMY - FINANCE - BUSINESS / (ae) state aid

Investigation into Italian broadband project in Trentino

Brussels, 26/07/2012 (Agence Europe) - The European Commission opened an in-depth inquiry, on Wednesday 25 July, to investigate whether a joint venture between the Italian Province of Trento and the Italian telecommunications operator Telecom Italia to build a fibre infrastructure is in line with EU state aid rules. At this stage, the Commission has doubts whether the project is carried out on terms that a private player operating under market conditions would have accepted. The Province of Trento injected €50 million into the joint venture Trentino NGN. Telecom Italia was only to make contributions in kind, such as the transfer of rights on its existing copper infrastructure. Such infrastructure is expected to be switched off once the fibre network becomes operational. Subsequently, by virtue of a call option, Telecom Italia could become the sole owner of the joint venture. (OL/transl.rt)

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