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Image header Agence Europe
Europe Daily Bulletin No. 9287
Contents Publication in full By article 36 / 40
GENERAL NEWS / (eu) eu/telecommunications

ETNO re-affirms position on review of regulatory framework on electronic communications

Brussels, 16/10/2006 (Agence Europe) - On 10 October, in its submission to the public consultation exercise which ends on 27 October, the European Telecommunications Network Operators' Association ETNO, which brings together Europe's historic operators, presented its point of view on the review of the regulatory framework for electronic communications. The Commission will bring forward a formal proposal on the review of the framework at the end of the year. Unlike new entrants, the historic operators refuse to countenance the separation of networks and services, as this would require separate units to be created between their infrastructure and their commercial activities. Using OECD studies to support their case, they believe that a forced separation would reduce incentives for investment and the competitiveness of the EU as a whole, at a time when massive investment is needed for the roll out of improved access networks. In an impact study published in June, the Commission rejected this option, but Commissioner Reding set the cat among the pigeons when she said, a little later, that she was not going to reject it, however. ETNO also called on national regulators no longer to intervene in markets since additional regulation puts the brake on investment. ETNO believes, on the contrary, that the review should put forward a detailed plan for the phasing out of ex-ante regulation, “to make sure regulation does not become an end in itself”. Finally, ETNO points out that regulatory intervention is not the miracle solution to broadband penetration, because there are other important factors which are slowing expansion. (il)

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