Update on Implementation of the new regulatory framework

The five Directives which form the main part of the new EU regulatory framework for electronic communications and networks (see Oftel News 55) have all now been adopted.

The Data Privacy Directive came into force on 31 July 2002 and must be implemented by 31 October 2003. The Framework Directive, the Authorisation Directive, the Access Directive and the Universal Directive came into force on 24 April 2002 and are due to be implemented from 25 July 2003.

In June the European Commission issued for consultation its draft Recommendation on Relevant Product and Service Markets, setting out the different markets that it expects Oftel and other national regulators to review before the Directives are implemented.

The Commission has also now finalised its Guidelines on Market Analysis and the Calculation of Significant Market Power and established the European Regulators Group for electronic communications, networks and services, a high-level advisory body comprised of representatives of national regulatory authorities.

In July the Commission held the first meeting of the Communications Committee (COCOM) which replaces the work of the Open Network (ONP) Committee, as the committee which formally advises the Commission on issues relating to the EU telecoms Framework

Oftel is continuing to prepare for the new Regulatory Framework. In addition to maintaining up-to-date details on its website,Oftel is also holding bi-monthly meetings with stakeholders of the Policy Focus Group.

Oftel News 55 outlined Oftel's work to implement the new European framework through the draft Communications Bill. As it now seems that the Bill will not be enacted in time to implement the new Framework by July 2003, it is now proposed that the new Framework will now be implemented in the UK by Statutory Instruments (SIs) that will exist for a transitional period until the Communications Bill comes into force. It is planned that drafts of the necessary SIs will be published for consultation in October 2002.

Copies of the all the Directives and other relevant documents are published on Oftel's website at www.oftel.gov.uk/ind_info/eu_directives/index.htm.

For further information on implementing the EU Directives contact Vince Affleck (tel: 020 7634 8819 / e-mail vince.affleck@oftel.gov.uk).

Market reviews programme

Oftel is also gearing up to undertake the market analyses required by the Framework Directive. It must define markets, assess whether they are competitive or not (primarily by assessing whether any player has significant market power), and propose appropriate remedies.

This process is consistent with Oftel's existing strategy of regular market reviews and uses similar measures of effective competition.

Oftel has already started preparatory work , but the reviews will formally commence when the Commission finalises its Recommended List of markets later in the autumn.

These reviews are a significant piece of work and Oftel is dedicating substantial resources to ensure that they are completed and proposals put in place by July 2003.

For further information on the review programme please see Oftel's website. Oftel has set up a number of review teams, and details of these are published at www.oftel.gov.uk/ind_info/eu_directives/eu_mr/index.htm.