Business and consumers are set to benefit after the European Parliament and Council last night edged closer to sealing a deal aimed at substantial reform to the European telecoms sector.  The series of proposals, put forward by the Commission in November 2007, will offer greater competition through accelerated market liberalisation of the industry, and greater choice and clarity for its users.

The proposals have been the subject of intense discussion in the Council and the Parliament over the last two years.  Last night the two sides reached agreement on a final sticking point relating to users’ access to the internet.  The agreement is still subject to a full vote in the European Parliament and formal adoption by the Council, which are both expected by the end of November.

Commenting on the outcome of the meeting, a UK government spokesperson said:

"We're very pleased that an agreement was reached during discussions between representatives of the European Parliament and Council last night. We sincerely hope that both sides will now take the relevant action to officially seal the deal as soon as possible.

"The telecoms sector is currently worth over £26 billion to the UK economy and telecoms companies employ 0.7% of the UK's total workforce. Improving the way the industry operates across Europe will only lead to further gains in terms of jobs, growth, innovation and investment.

"As well as the benefits for UK businesses, the new package of measures also introduces important advantages for customers, including  , more competitive choices, better information on personal security and increased access for disabled users."

The main features of the new telecoms legislation are:

·         more consumer choice through competition between operators;

·         greater consumer awareness, by making sure that people know if their personal details have been compromised;

·         better supervision of the sector, including through the creation of an EU supervisory authority;

·         greater independence for national telecom watchdogs;

·         new powers to ensure that networks are kept running;  

·         encouraging investment in new wired and wireless communication infrastructure; and

·         promoting market led liberalisation of spectrum to accelerate access to new broadband wireless services.

NOTES TO EDITORS

1)  The ‘telecoms package’ proposed by the European Commission streamlines existing telecoms legislation into two new directives (the so-called citizens’ rights and better regulation amending directives) and a regulation to establish a new Body of European Regulators for Electronic Communications (BEREC)

2) The European Parliament voted to adopt the package at second reading in its May 2009 plenary session, but introduced a controversial amendment (138) to the better regulation directive relating to the rights of citizens to access the internet.  The Council adopted the citizens’ rights directive and BEREC regulation at the 26/27 October General Affairs Council.  The remaining concerns over amendment 138 were the subject of a ‘conciliation’ process between the Council and Parliament.

3)  Agreement was reached at the conciliation stage on 4 November.  The deal is still to be agreed by a full vote in the European Parliament at the 23-26 November plenary session.  The Council is expected to formally adopt the remaining directive by the end of November.

4)  Member states are expected to transpose the new telecoms rules into national legislation within 18 months of their publication in the official journal.

5)  More information on the telecoms package here:

-       Department for Business, Innovation and Skills: http://www.berr.gov.uk/whatwedo/sectors/telecoms/2006review/page26449.html

-       European Commission: http://ec.europa.eu/information_society/policy/ecomm/tomorrow/index_en.htm

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