farci wrote on Nov 5
th, 2007 at 11:24am:
http://www.guardian.co.uk/business/2007/nov/14/telecoms.eurocommission<<
The European commissioner for telecoms, Viviane Reding, today warned the telecoms watchdogs across Europe that she would no longer tolerate them "cosying up" to the industry they are supposed to regulating.
Their collective failure, she said, was stifling the development of the EC's information-based economy and cross-boarder competition. It was also keeping the prices paid by the EU's 500 million telecoms consumers artificially high.
Her speech has been seen as an effective warning to Ofcom that the commission will step in and act if the telecoms regulator fails to tackle poor customer service and overcharging by the UK's home phone and broadband providers.
Speaking in London on the first date of a European tour to promote the commission's proposed single set of telecoms regulations, Reding said:
"Today's telecoms reform proposals put Europe's citizens centre stage. In the past, Europe has made substantial progress by opening telecoms markets to new players and by progressively ensuring more competition. However, dominant telecoms operators, often still protected by government authorities, remain in control of critical market segments, especially of the broadband market."
She said it was absurd that 10% of EU citizens still had no broadband access, adding past failures by regulators across the EU had held back investment.
"We need a new dose of competition, an effective system of independent telecoms regulators, new investment into competitive infrastructures and more space for new wireless services are needed to put Europe's digital economy on track," Reding said.
"Too many of the national regulators have been too close to the firms they are supposed to be regulating. I want to shake the whole thing up."
Her statements will be welcomed by anyone unable to access broadband, and come as relief to consumers who have been on the receiving end of poor service from their telecoms provider.
Ofcom's critics have complained its "light touch" regulation of the UK telecoms market has led to consumers being treated appallingly by some firms, which operate safe in the knowledge no action would be taken against them. Critics have also complained it is almost impossible for consumers to switch supplier.
[...]
A spokeswoman for Ofcom said the UK telecoms market was one of the most competitive in the world and that many of Reding's proposals were pioneered in the UK. She also pointed out that competition has brought down prices substantially for British consumers.
"We are yet to see her proposals in full and will examine them in detail in due course," the spokeswoman said.
"However, we feel we do have the structures in place to regulate the telecoms market. We always want the company to deal with a complaint in the first instance but there are very clear procedures to help consumers – something we are upgrading in the next few weeks."
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