RESTRICTEDWORLD TRADE
ORGANIZATIONS/C/W/191
27 April 2001
(01-2133)
Council for Trade in Services
SCHEDULE OF COMMITMENTS IN BASIC TELECOMMUNICATIONS
Certification
BRAZIL
The attached Schedule of Commitments in Basic Telecommunications has been
communicated to the WTO Secretariat by the Govern ment of Brazil with a request to initiate its
certification in accordance with the "Procedures for th e Certification of rectifications or improvements
to schedules of specific commitments" adopted by the Council for Trade in Services (S/L/84).
Accordingly, if no objections are communicated to the Secretariat within 45 days from the
date of this communication, this certification pro cedure shall be considered completed.  The attached
Schedule of Commitments in Basic Telecommunicatio ns will enter into force and will be deemed to
constitute an integral part of the Schedule of Specific Commitments of Brazil under the GATS
(GATS/SC/13) upon ratification by Brazil.S/C/W/191
Page 2BRAZIL  -   SCHEDULE OF SPECIFIC COMMITMENTS
Modes of supply: 1) Cross-border supply 2) Consumption abroad 3) Commercial Presence 4) Presence  of  natural persons
Sector or Sub-sector Limitations on Market Access Limit ations on National Treatment Additional Commitments
2.C.  TELECOMMUNICATION SERVICES:
(i) Value added service is not defined as  a telecommunication se rvice in the Brazilian legislation. These services can be suppl ied with no restrictions and to any supplier
of VAS is accorded access to and use of telecommunication services on reasonable and non-discriminatory terms and conditions.
(ii) The present schedule does not include any commitment related with the activities which have their information transported b y a telecommunication service. The
content and  treatment of those activities are regulated by their respective sectors.
(iii) The Executive Branch, in the use of  its legal prerogative, may consider the establishment of  limits regarding foreign pa rticipation in the capital composition of
telecommunications service providers.
(iv) The sub-sector (g)- Private leased circuit services- compri ses the lease of any type of network capacity for the supply of telecommunication services, which includes
the supply of  space segment facilities of satellites that occupy  orbital positions notified by Brazil and by foreign countrie s.
(v) The supply of space segment facilities of  satellites that occu py orbital positions notified by foreign countries is allowed  whenever they offer better technical,
operational or commercial conditions. Otherwise, satellites that occupy orbital positions notified by Brazil must be used. Regu latory decisions on this regard will be based on
a transparent, objective and non-discriminatory process.
(vi) This schedule does not include telecommunication services supplied for distribution of radio or television programming for  direct reception by service consumers.
ALL SERVICES
The services listed herein cannot be supplied
through resale.(3) Licenses shall be granted only to
suppliers duly constituted accordingto the Brazilian legislation, whichrequires head office and managementlocated in the Brazilian  territory, andownership of the majority of the
voting shares by natural persons
resident  in Brazil  or companies dulyconstituted according to the Brazilianlegislation, which requires headoffice and management located in theBrazilian territory.Brazil adopts the attached
Reference Paper, with added
notes.S/C/W/191
Page 3Modes of supply: 1) Cross-border supply 2) Consumption abroad 3) Commercial Presence 4) Presence  of  natural persons
Sector or Sub-sector Limitations on Market Access Limitations on National Treatment Additional Commitments
Local, long distance and international
services, for public and non-public use,provided with the use of any networktechnology (cable, satellite, etc)
a. Voice telephone  services 
(CPC 7521)(1) None
(2) None(1) None
(2) NoneBrazil adopts the attached
Reference Paper, with addednotes.
b. Packet-switched data transmission 
services (CPC 7523**)
c. Circuit-switched data transmission
services (CPC 7523**)(3) Until 12.31.2001, up to two suppliers
of local, long distance inter-regionaland international voice telephone
services will be allowed and up to
four suppliers of long distance intra-regional voice telephone services willbe allowed. After this date, otherlicenses may be granted.(3) None
d. Telex  services ( CPC 7523**)
f. Facsimile services (CPC 7521**+ 
CPC 7529**)
g. Private leased  circuit  services
(CPC 7522**+ CPC 7523**)(4) Unbound, except as indicated in the
horizontal section.(4) Unbound, except as indicated in the 
horizontal section.S/C/W/191
Page 4Modes of supply: 1) Cross-border supply 2) Consumption abroad 3) Commercial Presence 4) Presence  of  natural persons
Sector or Sub-sector Limitations on Market Access Limitations on National Treatment Additional Commitments
o. Mobile services
Analog/ Digital cellular
services  (CPC 75213)
Global mobile satellite services
(CPC 75299)
Paging services (CPC 75291)Trunking services (CPC 75299)(1) None
(2) None
(3) Duopoly for the cellular services
until 12.31.2001 in the States ofAmazonas, Roraima, Amapá andMaranhâo.
(4) Unbound, except as indicated in the
horizontal section(1) None
(2) None
(3) None
(4) Unbound, except as indicated in the
horizontal section.Brazil adopts the attached
Reference Paper, with addednotes.S/C/W/191
Page 5Modes of supply: 1) Cross-border supply 2) Consumption abroad 3) Commercial Presence 4) Presence  of  natural persons
Sector or Sub-sector Limitations on Market Access Limitations on National Treatment Additional Commitments
2.E. Others
Value Added Services
Electronic mail
Voice mail
On-line information and data base retrieval
Electronic data interchange (EDI)(1) None
(2) None
(3) None(1) None
(2) None
(3) NoneThe use of PTTNS will be
ensured to any supplier ofValue Added Services,according to the applicableregulations.
Enhanced/value-added facsimile services,including store-and-forward, store-and-retrieve
Code and protocol conversion
On-line information and/or data processing
(including transaction processing)(4) Unbound, except as indicated in the
horizontal section.(4) Unbound, except as indicated in the
horizontal sectionS/C/W/191
Page 6
REFERENCE PAPER
Scope
The following are definitions and principles on the regulatory framework for the basic
telecommunications services.
Definitions
Users mean service consumers and service suppliers.
Essential facilities mean facilities of a public telecommunications transport network or service
that
(a) are exclusively or predominantly provided by a single or limited number of
suppliers; and
(b) cannot feasibly be economically or technically substituted in order to provide a
service.
A major supplier is a supplier which has the ability to materially affect the terms of participation
(having regard to price and supply) in the relevant market for basic telecommunications services
as a result of:
(a) control over essential facilities; or
(b) use of its position in the market
1.  Competitive Safeguards   
1.1 Prevention of anti-competitive practices in telecommunications
Appropriate measures shall be maintained for the purpose of preventing suppliers who,
alone or together, are a major supplier from engaging in or continuing anti-competitive
practices.
1.2-  Safeguards
The anti-competitive practices referred to above shall include in particular:
(a) engaging in anti-competitive cross-subsidization;
(b) using information obtained from competitors with anti-competitive results; and
(c) not making available to other service suppliers on a timely basis technical
information about essential facilities and commercially relevant information
which are necessary for them to provide services.
2. Interconnection
This section applies to linking with suppliers providing public telecommunications
transport networks or services in order to allow the users of one supplier to communicate withS/C/W/191
Page 7
users of another supplier and to access services provided by another supplier, where specific
commitments are undertaken.
2.2  Interconnection to be ensured
Interconnection with a major supplier will be ensured at technically feasible point in the
network. Such interconnection is provided
(a) under non-discriminatory terms, conditions (including technical standards and
specifications) and rates and of a quality no less favourable than that provided
for its own like services or for like services of non-affiliated service suppliers or
for its subsidiaries or other affiliates;
(b) in a timely fashion, on terms, conditions (including technical standards and
specifications) and cost-oriented rates that are transparent, reasonable, having
regard to economic feasibility, and sufficiently unbundled so that the supplier
need not pay for network components or facilities that it does not require for the
service to be provided ;1
(c) (c) upon request, at points in addition to the network termination points offered
to the majority of users, subject to charges that reflect the cost of construction
of necessary additional facilities. 2
2.3 Public availability of the procedures for interconnection negotiations
The procedures applicable for interconnection to a major supplier will be made publicly
available.
2.4 Transparency of interconnection arrangements
It is ensured that a major supplier will make publicly available either its interconnection
agreements or a reference interconnection offer.
2.5  Interconnection : dispute settlement
A service supplier requesting interconnection with a major supplier will have recourse,
either:
(a) at any time or
(b) after a reasonable period of time which has been made publicly known to an
independent domestic body, which may be a regulatory body as referred to in
paragraph 5 below, to resolve disputes regarding appropriate terms, conditionsand rates for interconnection within a reasonable period of time, to the extent
that these have not been established previously.
                                                     
1 According to the Brazilian legislation, the pr ovisions related herein to cost-oriented
rates and economic feasibility apply only to the suppliers of  voice telephone services
(CPC 7521); the conditions related to unbundling must be agreed between the suppliers.
2 The charges must be agreed between the suppliers taking into account a ceiling for the
use of  networks of voice telephone services providers.S/C/W/191
Page 8
3. Universal  service 3
Any Member has the right to define the kind of universal service obligation it wishes to
maintain. Such obligations will not be regarded as anti-competitive per se, provided they are
administered in a transparent, non-discriminatory and competitively neutral manner and are notmore burdensome than necessary for the kind of universal service defined by the member.
4.  Public availability of licensing criteria
Where a  licence is required, the following will be made publicly available:
(a) all the licensing criteria and the period of time normally required to reach a
decision concerning an application for a licence and
(b) the terms and conditions of individual licences.
 The reasons for the denial of a licence will be made known to the applicant upon request.
5. Independent regulators
The regulatory body is separate from, and not accountable to, any supplier of basic
telecommunications services. The decisions of and the procedures used by regulators shall be
impartial with respect to all market participants.
6. Allocation and use of scarce resources
Any procedures for the allocation and use of scarce resources, including frequencies,
numbers and rights of way, will be carried out in an objective, timely, transparent and non-
discriminatory manner. The current state of allocated frequency bans will be made publiclyavailable, but detailed identification of frequencie s allocated for specific government uses is not
required.
__________
                                                     
3According to the Brazilian legislation, the obligations concerning Universal Service are
intentionally asymmetrical.