Euro MP welcomes crack down on roaming costs (Liz Lynne)

Euro MP welcomes crack down on roaming costs

March 28, 2006 5:28 PM

Liz Lynne, Lib Dem MEP for the West Midlands, has welcomed proposals from the European Commission to bring down international roaming charges on the basis of internal market principles.

European telecommunications commissioner Viviane Reding today proposed an EU regulation to eliminate all unjustified roaming charges. The Commission's plan could lead to call costs coming down to levels close to prices charged for domestic calls between different mobile networks.

Speaking in Brussels today, Liz Lynne said:

"Although we are all supposed to be part of a single market where we can work and travel freely, consumers and businesses continue to pay ridiculously high prices for using their mobile phones on the Continent. As someone who regularly uses a UK mobile in other European countries, I know first hand how expensive it can be."

"Although British mobile customers are not the worst off in Europe, the Commission's investigations have shown that British travellers are still paying excessive prices. Despite warnings from the Commission, within the last six months one UK mobile operator has increased its prices for calling home to the UK from £2.37 to £3.39 - that's a 43% price hike!"

"There is no technical explanation for this and I am particularly delighted to see the "home pricing" principle being supported. Such action will fully open up European markets to proper and fair competition. European mobile operators will now have to compete with each other on equal terms."

"Ending overcharging will benefit tourists and business travellers alike. I look forward to seeing the full proposals later this summer."

ENDS

Notes to Editors

Although the details of the final proposal are still being drawn up, Commissioner Reding outlined the main elements of this regulation: (http://europa.eu.int/rapid/pressReleasesAction.do?reference=IP/06/386&format=HTML&aged=0&language=EN&guiLanguage=en)

. The new EU regulation should in any event address inter-operator tariffs (wholesale prices). The EU regulation would ensure that operators do not charge operators from other countries substantially more than the actual cost.

. To ensure that operator savings at the wholesale level are actually passed on to the consumer, the Commission sees also a need for regulation at the retail level.

. The new EU regulation could in particular eliminate all roaming charges for receiving a call when travelling in other parts of the EU. In addition, for calls made while travelling abroad in the EU, the new EU regulation could introduce the "home pricing" principle. A mobile customer

travelling abroad in the EU would always be charged only the prices that he is used to paying in his country of residence: he would either pay a local tariff when making a local call, regardless of where he is travelling in the EU (e.g. for calling a cab while travelling in Madrid); or a normal

international tariff for calls made to EU destinations, regardless of where he is travelling in the rest of the EU (e.g. for calling the family back home while on holidays).

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