Sunday, June 28, 2009

Germany: European Commission has begun infringement proceedings for failure to consult the EC and other NRAs on new MTRs

[ec] The Commission today opened an infringement procedure against Germany because the country's national regulator − the Bundesnetzagentur − did not consult the Commission and other national regulators prior to deciding on new levels of mobile termination rates. Termination rates are wholesale fees charged by operators to connect calls from one network to another operator's network. Contrary to Germany's obligations under EU telecoms rules, the Bundesnetzagentur's final decisions on mobile termination rates were adopted on 31 March 2009 before the Commission and other national regulators had the possibility to comment on the level of these rates. This lack of transparency is a first in the application of EU telecoms rules in the 27 EU Member States. Without prior consultation of other regulators, there is an increased risk that the regulatory approach to termination rates will differ among Member States and distort competition in the EU's single telecoms market. Already today, termination rates, and the methodology used to set them, vary widely across the EU. The Commission has therefore called for them to be better coordinated.

Commission takes legal action against Germany for circumventing the EU transparency mechanism when regulating mobile termination markets
see also IP/09/1008

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