European Commission proposals published yesterday aim to encourage competition in the telecommunications industry by extending its regulatory remit to a range of new technologies such as mobile phones and cable TV.
"The new framework will ensure similar rules for all," said Mr Erkki Liikanen, EU telecoms commissioner.
"Technology is developing at enormous speed in this industry and we must create a new framework of rules to ensure the EU remains competitive," Mr Liikanen said. The Commission's proposals are aimed at cutting red tape, removing barriers to the creation of a single market in telecoms, and encouraging more competition in the sector.
Extension of the Commission's regulations to mobile phones would mean operators would have to offer customers a choice of long-distance carriers as well as enable them to take their phone number with them when they move to a rival company.
Mr Liikanen said he would make two more recommendations; one later this month and the other in February to open up local telecoms networks and reduce the cost of internet access for European users.
These recommendations would be aimed at encouraging development of competition on local loops - the last mile of connection between a telecoms network and the user's home - and bringing down prices for leased phone lines often used by businesses. The Commission thinks internet access charges in the EU are too high for intensive users compared with the US.
Mr Liikanen is keen to break down the regulatory burden on companies and bring the industry into line with the principles of EU competition law. "We generally welcome the broad thrust of the proposals. It's certainly time to look at relaxing the rules," said BT, the main British operator.
