Update for Joint Oireachtas Committee on Communications, Climate Action and Environment from ComReg - Date: 23 05 2017 Dáil Éireann

Page created by Jaime Brooks
 
CONTINUE READING
Update for Joint Oireachtas Committee on Communications, Climate Action and Environment from ComReg - Date: 23 05 2017 Dáil Éireann
Update for Joint Oireachtas Committee
 on Communications, Climate Action
   and Environment from ComReg

          Date: 23 05 2017
            Dáil Éireann
Presentation to JOC

  • Overview of ComReg

  • ComReg strategy 2017-2021

  • Forthcoming projects

  • Roaming

  • Highlights of last 12 months

                                   2
The Commission for Communications Regulation (ComReg)
Overview

• Established by Oireachtas in Dec 2002
• Three Commissioners, supported by highly skilled, multi-disciplinary staff
   •   Economics, engineering, accounting, law

• Regulate under Irish and EU law
• Key responsibilities:
   •   Promoting competition and consumer choice
   •   Upholding consumer rights
   •   Facilitate market development, innovation, efficient use of spectrum
   •   Ensure maintenance of Universal Service in Telecoms and Post

• Other Miscellaneous responsibilities:
   •   Emergency Call Answering Services, Domain Registry, Premium Rate Services
       Regulation & Numbering

                                          3
ComReg’s Strategy for 2017-2021
The communications market today

   • Economic importance of sector: turnover c. €5.5 billion p.a., c. 25K
    employed directly, wider impact on competitiveness of Irish economy
   • Increased competition has led to more choice and better prices
      • Four major competitors in fixed broadband; three major competitors in
        mobile
      • Bundles include broadband, voice, TV, mobile
      • In general prices have fallen over past 5 years
   • Investment has led to better services for many people, but not all
      •   Over €3.2 billion invested in infrastructure since 2009
      •   65% of broadband users on packages over 30 Mbps
      •   42% of mobile users using 4G networks
      •   But less availability of advanced services in rural area
   • Consumers want more mobility and greater data
      • Increased use of smartphones, tablets and laptops
      • 88% of all mobile phone users have Smartphones & Data usage
        increased by 500% in the last five years

                                         4
ComReg’s Strategy for 2017-2021
Key trends
   • Variation in consumer experiences
      • As expectations have grown some consumers in less populated areas have
        become less satisfied with their experience

   • Electronic communications becoming key to other markets
      • Effective regulation enables innovation in related markets e.g. social media,
        online video

   • Increase in connectivity
      • The next wave of innovation will involve how both devices and people are
        connected e.g. Internet of Things (IoT)

   • Evolution of fixed and mobile networks
      • Future electronic communications networks will require investment in new
        technologies e.g. 5G and fibre

   • Changing regulatory framework
      • New European Communications code currently being considered by European
        Council of Ministers and European Parliament

                                        5
ComReg’s Strategy for 2017-2021
Vision and mission
   Our vision for the communications sector

       • Consumers and businesses in Ireland have affordable, high quality, and
         widespread access to communications services and applications that support
         their social and economic needs

   ComReg’s Role and Mission

       • ComReg’s role is to ensure that communications markets operate in the
         interests of end-users and society.

       • Through effective and relevant regulation, we facilitate the development of a
         competitive communications sector in Ireland that attracts investment,
         encourages innovation and empowers consumers to choose and use
         communications services with confidence

                                         6
ComReg’s Strategy for 2017-2021
Strategic Intent

   • Competition
      • The market delivers innovation and the greatest possible choice of wholesale
        and retail operators

   • Consumer Protection
      • Consumers can choose and use communications services with confidence

   • Investment
      • Efficient investment enables affordable, high-quality and widespread access to
        communications services and applications

   • Enforcement and Compliance
      • Regulated entities comply with regulatory obligations

   • Organisation
      • We are an effective and relevant regulator

                                        7
Forthcoming projects
Promoting competition

   • Setting rules for operators with significant market power

      • ComReg will continue to develop regulation to allow access to incumbent networks
        by competitors, therefore ensuring better choice and price for consumers.

   • Review of eir’s regulatory governance model

      • Consideration of whether to mandate enhancements to governance or functional
        separation

                                        8
Forthcoming projects
Empowering consumers
   • Increased research into the needs, preferences and behaviours of both
     rural and urban consumers.
   • Making sure consumers are well informed
      • New price comparison tool
      • Answering consumer queries
      • Enforcing transparency about attributes of broadband service (Net Neutrality)

   • Improving the mobile user experience
      •   Authoritative tool for checking coverage
      •   Data on handset performance
      •   Data on impact of building materials on indoor coverage
      •   Licensing scheme for repeaters to improve indoor coverage

   • Effective redress for customer complaints
      • Setting standards for operator complaint handling
      • ComReg role in handling complaints and resolving disputes

                                        9
Forthcoming projects
Facilitating investment

   • Design process for assigning spectrum in 700 MHz band and other bands
     – including coverage obligations
   • Continue to provide advice and support to DCCAE’s National Broadband
     Plan project
   • Universal Service Obligation
      • Monitor and enforce quality of service and other obligations
      • Make decisions on eir’s funding applications
      • Consider if there is any need for broadband USO to complement the National
        Broadband Plan

                                      10
Forthcoming projects
Compliance and Organisation

   • Penalties for non-compliance
       • Need penalties with greater deterrent effect
       • Seeking powers to impose penalties directly, subject to court oversight
   • Organisational Priorities
       • More information for consumers, especially about mobile user experience
       • Increase capacity to design and deliver spectrum assignment projects
       • More and faster investigations of compliance with regulatory obligations
       • Faster reviews of competition rules, to keep them up to date with changing
         market conditions

                                        11
Roaming
EU roaming Changes 2007 – 2017

Date          Caps applied                        Impact

August 2007   Retail and wholesale charges        Retail prices for outgoing voice call
              for voice                           reduced by 92% since 2007
July 2010     Retail and wholesale charge for     Retail charges for sending SMS reduced
              SMS                                 by 92% since 2009
              Wholesale charges for data

July 2012     Retail charges for data             Data roaming up to 96% cheaper than
                                                  2012

April 2016    Transition period for               Surcharges capped
              introduction of Roam Like At
              Home

June 2017     New EU Roam Like At Home            Take your tariff abroad in the EU with
              comes into force                    certain exceptions allowed

                                             12
Roaming
Fair Use Policy for bundles with very large data allowances
  • From June 15 roaming providers cannot apply surcharges to retail tariffs.
  • For large or unlimited data bundles, a Fair Use Policy may be introduced
    under the regulations, to protect such domestic data bundle tariffs.
  • See examples below:

            Retail price (excluding VAT)    Minimum data allowance in FUP

                        €25                            6.5 GB

                        €50                            13 GB

  • Data usage in excess of the FUP can be charged at 0.77cent per MB
  • Operators must inform the NRA of any FUP
  • Transparency measures for consumers

                                       13
Highlights of the last twelve months
Other significant achievements
   • Spectrum Award
       • Award of 3.6GHz spectrum (May 22, 2017) for mobile and broadband users in
         rural and urban areas – State to get €78m. for spectrum

   • USO
       • Designated eir as Universal Service Provider for 2016-2021
       • New quality of service regime, with specific targets for quality in rural areas
       • Imposed penalties on eir for failure to meet quality of service targets in 2015

   • Promoting competition
       • Set wholesale prices for voice and data services
       • Published proposals for reductions in charges for services using eir’s next
         generation access network

   • Significant enforcement actions to uphold consumer rights
       • Several prosecutions for overcharging or incorrect billing
       • Action taken to ensure consumers are informed about contract changes

                                         14
You can also read