Brussels, 23/02/2001 (Agence Europe) - On Wednesday, the European Parliament is to examine, at first reading (codecision procedure), three of the seven proposals of the "package" presented by the Commission on 12 July last with a view to reforming the current regulatory framework for electronic communications. Generally speaking, these texts aim to stimulate the liberalisation of telecommunications markets by adjusting the regulation to the needs of the information society and to those of the digital revolution. The three proposals that will be the subject of Wednesday's debate cover the common regulatory framework relating to networks and electronic communication services (Paasilinna report), the authorisation of these networks and services (Niebler report) and access to the networks (Brunetta report).
The proposal of a framework directive on networks and electronic communications services essentially aims to fix certain principles and objectives addressed to National Regulation Authorities (NRAs), as well as a series of tasks for the management of rare resources, like radio frequencies and numbering. It plans to grant greater flexibility than in the past to NRAs, mainly regarding assessment of how appropriate it is and the decision to regulate a market. Thus, if a national authority considers that an operator enjoys the status of powerful company on the market (SMP concept for significant market power), it may impose certain obligations on that operator. The main amendment proposed by the Reino Paasilinna report (Finnish Social Democrat) aims to clarify the SMP concept proposed by the Commission to ensure that companies have greater legal security (see EUROPE of Wednesday 21 February, p.13).
Devoted to the proposal for a directive of the EP and Council on the authorisation of electronic communications networks and services, the report by Angelika Niebler (EPP, Germany) generally supports the approach adopted by the Commission. The Commission advocates the establishment of a simpler Community authorisation regime, which reduces to a minimum the regulatory obstacles to market entry, in order to stimulate the development of new services and allow providers of these services and the consumers to benefit from scale economies achieved on the single market. The Commission proposal mainly foresees a solution to the problem of how difficult it is to obtain "rights of way", often issued by regional bodies, by forcing the Member States to publish an account of their charges, procedures and conditions linked to the granting of "rights of way". Ms Niebler considers that, as a complementary measure, it would be desirable for a body to be set in place, with the NRAs, that would intervene in the case of dispute between an operator and the relevant regional bodies. She also considers unwarranted the Commission's approach founded on turnover for the apportionment of administrative charges. Ms Niebler expresses concern about the provisions that provide for the granting to Member States of the possibility to modify conditions, procedures, charges and taxes applicable to general authorisations and rights of way. She insists that this facility should only be used sparingly on the grounds of legal certainty and confidence, particularly to safeguard the investment of the undertakings concerned. On the subject of committee procedure (comitology), she is clearly opposed to the Commission assuming the right of harmonisation without the Parliament and the Council being able to intervene.
The report by Renato Brunetta (Forza Italia) on access to, and interconnection of, electronic communications networks and associated facilities, presses for clarification of a number of terminological ambiguities contained in the Commission proposal, which could prove to be the cause of dispute between operators and the NRAs. With reference, also, to the SMP concept, the rapporteur considers it is essential for the far-ranging powers that are to be granted to the NRAs on assessing market power to be offset by a Commission decision on the reference markets authorised. Mr Brunetta stresses, moreover, that, if the obligation to orient prices in relation to costs is the only solution possible in terms of obligations to be imposed on SMP operators, then the method of embedded direct costing (accounting separation) seems the most appropriate for assessing costs effectively borne by an operator during a given period, except for shared costs, which cannot be placed directly in relation to any given service. Finally, the rapporteur considers that strengthening the Commission's powers for the centralisation of harmonisation and coordination tasks in the context of the introduction of new procedures is highly desirable.
On the eve of the discussion of these proposals in Parliament, the GSM Europe lobby rose up against the provisions that will allow NRAs to impose obligations - on price especially - on companies that enjoy SMP status, which could endanger the development of mobile telephony on the Old Continent, one of the largest success stories that Europe has ever known.