MOBILE TELECOMMUNICATIONS: NEW COMMISSION WEBSITE EXPOSES INTERNATIONAL ROAMING CHARGES.

• Position: European Commission - Brief Article

International roaming charges occur when making or receiving a call abroad because the consumer is using a foreign network, which charges a wholesale rate to the home operator, who in turn charges a retail rate to the consumer. The European Regulators Group (ERG) recently claimed that the high cost of international roaming was often unjustified, and that reductions in wholesale charges are often not passed on to the consumer. The Commission has also indicated that the complexity of the system of international roaming charges, involving thousands of potential operator combinations, leads to a lack of transparency and prevents effective competition.

The new website certainly highlights some significant differences between countries and operators. Figures collated in September of this year, based on a 4-minute voice call at peak time revealed charges ranging from euro 0.20 (Finns calling home from Sweden) to euro 12.70 (calls to Malta from Latvia). However, Mrs Reding said that it was not the intention of the Commission to push prices to artificially low levels, or to start fixing prices. She also differentiated her approach from actions taken by DG Competition, which launched an anti-trust sector inquiry into roaming price levels in 2000. Mrs Reding said the DG Information Society was working ex ante and trying to stimulate...