BRUSSELS, Oct 14 (Businesshala) – Lawmakers on the European Parliament’s Industry Committee voted on Thursday for deeper cuts in the wholesale roaming tariffs paid by telecom operators to their counterparts than proposed by the European Union Commission, saying that This move will encourage competition.
Wholesale price limits typically pit telecommunications providers in southern European countries with those in northern Europe who must benefit from tourists calling home.
The former want to keep such caps as high as possible so that they can invest in the network to accommodate peak demand during the holiday season, while the latter, whose citizens go abroad for holidays, are more likely to invest in southern destinations. I want a low cap for the network.
The European Parliament’s Industry Committee has proposed a wholesale voice tariff of 0.015 euros per minute next year, which will be reduced to 0.01 euros in 2025, compared to the European Commission’s proposals of 0.032 euros and 0.019 euros respectively.
Lawmakers want to set wholesale rates for text messages at 0.003 euros per message by 2032, while the commission proposed 0.01 euros for the following year, dropping to 0.003 euros in 2025.
MPs want to cap data tariffs at 1 euro per gigabyte versus the EU executive’s proposed 2.5 euros next year and 1.5 euros in 2025.
Legislator Angelica Winzig, who is pushing the issue through the legislature, said the commission’s proposal was “not progressive enough to reflect market realities” where smaller operators struggle to offer sustainable rates. Does matter.
“This is why reducing the wholesale cap is beneficial to the market and consumers alike. It will enable greater competition, leading to better prices for consumers and enterprises,” she said in a statement.
The committee would need to get support from the entire assembly which is usually a formality, although disgruntled MPs can still come up with amendments.
Lawmakers backed the commission’s proposal four years ago for a 10-year extension of the rules that ended retail mobile roaming charges across the block.
The proposals also need the support of EU countries before they can become law. The first meeting between parliamentarians and representatives of EU countries is scheduled for 26 October.