Out-Law News 2 min. read

Mobile operators should not have to implement two sets of rules on roaming charges, says trade body


A telecoms industry body has called on a European Commissioner to clarify how she intends to further regulate 'roaming' charges.

In a recent speech at the European Parliament, EU Commissioner Neelie Kroes called on MEPs to back a new package of telecoms laws she is proposing to introduce which would, among other things, "end mobile roaming costs". Kroes said that she wants a finalised legislative package agreed on by around Easter 2014.

The Global System for Mobiles Association (GSMA), a trade body that represents mobile network operators (MNOs) across the world, said, though, that MNOs are still implementing rules on roaming which were introduced last year and that it was wrong to focus further reforms on roaming costs.

"Last week, the GSMA issued a major report ... that highlighted that Europe's mobile market has fallen significantly behind that of the United States," Tom Phillips, chief government and regulatory affairs officer at GSMA, said in a statement. "If not addressed, the stalling of mobile investment and innovation in Europe will be a major roadblock to economic recovery."

"The GSMA encourages [Neelie Kroes] to keep her focus on the big picture and to make bold and long-term recommendations. In this regard, it is unfortunate that the Commissioner should have used her recent platform with parliament to talk about roaming. Roaming has seen three successive waves of regulation, with Europe's regulators and mobile companies intensively implementing the latest requirements. The Commissioner should immediately clarify her intentions with regard to roaming, to avoid the industry investing in a roaming solution that has been superseded before it is launched," Phillips added.

Mobile network operators (MNOs) can currently charge consumers extra fees when those individuals access voice or data services abroad. Domestic MNOs face charges imposed by foreign operators to terminate connections on their networks so EU legislation currently allows MNOs to recoup money from consumers for doing so.

However, existing EU regulations place limitations on the amount MNOs can charge consumers for roaming. The 2012 Roaming Regulation updated the original Roaming Regulation, which introduced a cap on the roaming fees that can be charged by an MNO to a consumer, as well as a cap on wholesale roaming charges.

Earlier this year the Body of European Regulators for Electronic Communications (BEREC), which includes representatives of the national regulatory authorities, published guidelines for MNOs on how to interpret the 2012 Roaming Regulation.

GSMA last week called for "enlightened policy reforms" to be introduced to improve the mobile market in Europe after claiming that it had "lost its edge" and is "significantly underperforming" in comparison with the mobile market in the US.

"The GSMA believes the European Commission must launch a major regulation exercise to establish a light-touch, simplified approach to pan-European regulation," it said. "This would entail a complete review of the way regulation is implemented at a national level and would identify areas that could be more effectively coordinated at a European level, such as consumer protection. Incentives to kick-start broadband investment should be introduced immediately, including the elimination of planning and network sharing restrictions and the provision of subsidies for rural coverage."

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