Roaming Deal Strikes Balance Between Regulation and Competition

1.40.55pm UTC (GMT +0000) Thu 12th Apr 2007

The European Parliament's Industry Committee has backed a key report into mobile roaming charges that will cap charges on calls made and received abroad. Sharon Bowles MEP, Liberal Democrat Competition spokesperson, welcomed the final report. She said

"Our over-riding concern has been to deliver a concrete and speedy result for Europe's consumers after years of excessive mobile roaming charges. The current situation where consumers are charged a premium simply for crossing a border is unacceptable. This is not an effective internal market and hence, reluctantly, we have had to introduce regulation on the mobile phone industry

"It is only since the EU has threatened regulation that mobile operators have made any effort to lower roaming costs. The Commission has been investigating regulation for over two years and in that time mobile operators have cynically made small reductions hoping to stave off regulation. If operators were serious about reducing charges they would have also made efforts on data roaming charges.

"We propose a price cap that is not so low that it becomes a standard charge, it will enable competition at even lower prices. If it works and proper competition if created then regulation will be discontinued. If we see no movement and sms and data roaming continue to be overcharged, there will be further measures."

ENDS

Notes:

45 out of 49 MEPs voted for the final package in committee. It is expected to go to plenary in May.