Telecommunications Infrastructure (Leasehold Property) Bill — House of Lords, 2020-05-19
Topic: Technology
Andrew Adonis (Labour, Centre-left): The purpose of the amendment is to probe the Government’s thinking and provoke some debate on the issue of competition and open access in the provision of services on the back of the new infrastructure which the Bill makes possible. It is the same amendment that my colleague Chi Onwurah moved in the Standing Committee in the House of Commons. I draw colleagues’ attention to the very interesting debate in that Committee on 11 February 2020 at cols. 20-23. The interesting point about it is that the amendment itself is almost motherhood and apple pie. It is very weak. It is a declaration of what those of us with a history of engagement in telecoms competition issues think is the state of play anyway. The amendment says: "Any operator exercising … code rights is obliged to ensure that alternative operators can easily install the hardware needed to provide their own electronic communications service … The definition of ‘easily’ … to be provided by Ofcom", the regulator The significant thing about that debate is that the Government opposed the amendment. Indeed, it was pushed to a Division in the House of Commons Standing Committee and there was a straight vote on it. Highly peculiarly, given the usual position of the parties on these issues, all the Conservatives voted against having any requirement for open access and competition in the Bill, even though Chi Onwurah’s amendment, as I read it, was a statement of existing government and Ofcom policy Reading the Minister’s response—this is Matt Warman, the Under-Secretary in the department of the noble Baroness, Lady Barran—left me more concerned than before. I would like to probe the noble Baroness further on two particular points that came out in his response. First, he made a straightforward anti-competition declaration about the policy intended to result from the Bill. In col. 22, he said: "Far from improving competition in access to gigabit services, the amendment"— this amendment I am now moving before your Lordships— "may actually have the unintended consequence of doing the opposite. As the hon. Member knows, much of the cost of connecting premises is in the initial installation. The amendment could therefore seriously undermine the case for operators to make that initial installation, as they risk being undercut by second or third movers who would not have to bear the same costs."—[Official Report, Commons, Telecommunications Infrastructure (Leasehold Property) Bill Committee, 11/2/20; col. 22.] That is a classic statement of the reason that operators, including Openreach, always give for not allowing others to be able to access their wayleaves and technology, but it is not one that the Government have supported in the past. Do the Government believe that allowing operators to ban competition and introduce anti-competitive requirements in contracts is justified as a means of getting this investment? That is a direct question for the Minister. I would like to know what the Government’s policy is. Do they support anti-competitive practices On the operation of the existing law, in col. 21 Matt Warman said: "The Bill aims to support leaseholders to access the services they request from the providers they want"— a straightforward statement of pro-competition policy "It already ensures that leaseholders are not per se locked in to services provided by a single provider; nothing in the Bill prevents a leaseholder with an existing gigabit-capable connection from one service requesting an alternative network to come in and request code rights as well."—[Official Report, Commons, Telecommunications Infrastructure (Leasehold Property) Bill Committee, 11/2/20; col. 21.] Can the Minister point me to the provisions ensuring that "leaseholders are not per se locked in to services provided by a single provider" How does that provision square with the Government’s resistance in the House of Commons to this amendment, on the grounds that anti-competitive practices were justified to support operators making investments in extending fibre to the home? I beg to move.