Actualizare preferințe cookie-uri
Press Releases

ANCOM Is Reviewing a Series of Wholesale and Retail Markets Corresponding to the Telephone Services Provided at Fixed Locations

29.08.2013

 
ANCOM has submitted to public consultation the outcomes of the review of the retail market corresponding to fixed access services and of the wholesale markets corresponding to call origination at fixed locations and transit services in the public telephone networks, on which Romtelecom had significant market power. ANCOM’s analysis shows that the competitive conditions on the access and call origination markets have changed since the adoption of the previous regulatory measures, while the trend is towards effective competition. On the other hand, regulatory measures are deemed necessary on the national transit services market, in order to prevent the occurrence of competitive deficiencies.
 
The analysis ANCOM undertook on the retail market for access services at fixed locations shows that the market features a high level of infrastructure-based competition (over the operators’ own access networks), viable alternatives to the access services offered by Romtelecom being available. The existing structural entry barriers to the market have considerably lowered, whereas Romtelecom’s market share has been constantly decreasing since the previous review (which took place in 2009). Additionally, the indirect competitive pressures exercised by the mobile telephone services are increasingly stronger and therefore, as far as market dynamics are concerned, the Authority estimates that the relevant market for fixed access market tends towards effective competition. Consequently, the Authority proposes to withdraw the obligations currently imposed on Romtelecom, namely the obligation to offer the subscribers the possibility to use the services of any provider of publicly available telephone services with which Romtelecom is interconnected and the obligation not to condition the provision of access services at fixed locations by the end-users’ consent to receive additional facilities not related to the required service. ANCOM proposes these obligations to be withdrawn within a one year timeframe.  
As for the services of call origination at fixed locations, based on similar criteria applied in the analysis of the retail market for fixed access services, ANCOM also concluded that the corresponding market tends towards effective competition. ANCOM, therefore, proposes to withdraw the obligations imposed on Romtelecom, namely the obligations of transparency, non-discrimination, supply of certain services and granting of access to certain facilities, as well as the price control obligation, within one year from the entry into force of the measures submitted today to public consultation.
The competitive conditions on the wholesale market of national transit services in the public telephone networks are, however, different. The Authority’s analysis still shows the presence of high and non-transitory barriers to entry, while it is unlikely that the alternative operators significantly improve their position in the market, given the national territory coverage of Romtelecom’s network and the large number of direct interconnection agreements concluded with operators of both fixed and mobile public networks. Thus, based on the market share and the other structural factors, the Authority proposes to designate Romtelecom as a provider with significant market power and to correspondingly maintain the obligations of transparency, non-discrimination, supply of certain services and access to specific network elements and associated infrastructure, as well as tariff cost-orientation.
The maximum tariff which Romtelecom will be able to charge for the provision of interconnection for call switched national transit over the public telephone networks will not exceed 0.18 Eurocents/minute, starting on 1 January 2014. Given that this tariff was determined by means of a cost calculation model and having regard to the requirements of proportionality in the adoption of regulatory measures, ANCOM proposes to withdraw the obligation of separate accounting imposed on Romtelecom, the financial statements for 2013 being included.
The documents are available for consultation on ANCOM’s website, here. The interested persons are invited to send their comments and suggestions, by 30.09.2013, to the ANCOM headquarters at the following address: 2 Delea Noua Street, Bucharest 3, or directly to the ANCOM Registry Office. Comments may also be sent by fax to +40.372.845.404 or by e-mail to: consultare@ancom.org.ro.
At the end of the public consultation period and after analysing the comments and suggestions received, in line with the national legislation which transposes the European Directives, ANCOM is to notify to the European Commission and to the national regulatory authorities from the other Member States of the European Union the set of proposed measures, which include the definitions of the identified relevant markets, the designated providers with significant market power, as well as the obligations the Authority intends to impose on the analysed markets and the reasons grounding these measures. The European Commission and the other regulatory authorities will then have one month at their disposal to transmit their comments and suggestions.

ANCOM Is Reviewing a Series of Wholesale and Retail Markets Corresponding to the Telephone Services Provided at Fixed Locations

29.08.2013

 
ANCOM has submitted to public consultation the outcomes of the review of the retail market corresponding to fixed access services and of the wholesale markets corresponding to call origination at fixed locations and transit services in the public telephone networks, on which Romtelecom had significant market power. ANCOM’s analysis shows that the competitive conditions on the access and call origination markets have changed since the adoption of the previous regulatory measures, while the trend is towards effective competition. On the other hand, regulatory measures are deemed necessary on the national transit services market, in order to prevent the occurrence of competitive deficiencies.
 
The analysis ANCOM undertook on the retail market for access services at fixed locations shows that the market features a high level of infrastructure-based competition (over the operators’ own access networks), viable alternatives to the access services offered by Romtelecom being available. The existing structural entry barriers to the market have considerably lowered, whereas Romtelecom’s market share has been constantly decreasing since the previous review (which took place in 2009). Additionally, the indirect competitive pressures exercised by the mobile telephone services are increasingly stronger and therefore, as far as market dynamics are concerned, the Authority estimates that the relevant market for fixed access market tends towards effective competition. Consequently, the Authority proposes to withdraw the obligations currently imposed on Romtelecom, namely the obligation to offer the subscribers the possibility to use the services of any provider of publicly available telephone services with which Romtelecom is interconnected and the obligation not to condition the provision of access services at fixed locations by the end-users’ consent to receive additional facilities not related to the required service. ANCOM proposes these obligations to be withdrawn within a one year timeframe.  
As for the services of call origination at fixed locations, based on similar criteria applied in the analysis of the retail market for fixed access services, ANCOM also concluded that the corresponding market tends towards effective competition. ANCOM, therefore, proposes to withdraw the obligations imposed on Romtelecom, namely the obligations of transparency, non-discrimination, supply of certain services and granting of access to certain facilities, as well as the price control obligation, within one year from the entry into force of the measures submitted today to public consultation.
The competitive conditions on the wholesale market of national transit services in the public telephone networks are, however, different. The Authority’s analysis still shows the presence of high and non-transitory barriers to entry, while it is unlikely that the alternative operators significantly improve their position in the market, given the national territory coverage of Romtelecom’s network and the large number of direct interconnection agreements concluded with operators of both fixed and mobile public networks. Thus, based on the market share and the other structural factors, the Authority proposes to designate Romtelecom as a provider with significant market power and to correspondingly maintain the obligations of transparency, non-discrimination, supply of certain services and access to specific network elements and associated infrastructure, as well as tariff cost-orientation.
The maximum tariff which Romtelecom will be able to charge for the provision of interconnection for call switched national transit over the public telephone networks will not exceed 0.18 Eurocents/minute, starting on 1 January 2014. Given that this tariff was determined by means of a cost calculation model and having regard to the requirements of proportionality in the adoption of regulatory measures, ANCOM proposes to withdraw the obligation of separate accounting imposed on Romtelecom, the financial statements for 2013 being included.
The documents are available for consultation on ANCOM’s website, here. The interested persons are invited to send their comments and suggestions, by 30.09.2013, to the ANCOM headquarters at the following address: 2 Delea Noua Street, Bucharest 3, or directly to the ANCOM Registry Office. Comments may also be sent by fax to +40.372.845.404 or by e-mail to: consultare@ancom.org.ro.
At the end of the public consultation period and after analysing the comments and suggestions received, in line with the national legislation which transposes the European Directives, ANCOM is to notify to the European Commission and to the national regulatory authorities from the other Member States of the European Union the set of proposed measures, which include the definitions of the identified relevant markets, the designated providers with significant market power, as well as the obligations the Authority intends to impose on the analysed markets and the reasons grounding these measures. The European Commission and the other regulatory authorities will then have one month at their disposal to transmit their comments and suggestions.
top

All rights reserved 2025

All rights reserved 2025