Digital Agenda for Europe
A Europe 2020 Initiative

Commission suspends Czech proposal to regulate wholesale termination rates

Article
The European Commission has expressed serious doubts about a new proposal from the Czech telecoms regulator (ČTÚ) regarding termination rates which would negatively affect consumers in the Czech Republic. The prices proposed by ČTÚ for certain termination services are twice as high as prices in other countries where proper price setting methodologies are applied. ČTÚ has imposed wholesale prices which do not take into consideration next-generation-network based efficient technologies. Termination rates are the rates telecoms networks charge each other to deliver calls between networks, and each operator has market power over access to customers on its own network. These costs are ultimately included in call prices paid by consumers and businesses.
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