Amended proposal for a EUROPEAN PARLIAMENT AND COUNCIL DIRECTIVE on a common framework for general authorizations and individual licences in the field of telecommunications services
Date: 1996-07-31
Institutions: European Commission
Subjects: competition law, harmonisation of standards, systems interconnection, telecommunications, trade licence

COMMISSION OF THE EUROPEAN COMMUNITIES 

it 

* 

Brussels,  31.07.1996 
COM(96)  342 final 

95/0282  (COD) 

Amended  proposal  for a 

EUROPEAN  PARLIAMENT  AND  COUNCIL  DIRECTIVE 

on a common framework for general authorizations and individual  licences 

in the field of telecommunications  services 

(presented  by  the Commission  pursuant to  Article  189 a (2) 
of  the  EC-Treaty) 

EXPLANATORY  MEMORANDUM 

The  Commission  hereby  presents  a  modified  proposal  for  a  European  Parliament  and  Council 
Directive  on a common  framework  for general  authorizations  and  individual  licences  in the field of 
telecommunications  services.  The  modified  proposal  incorporates  those  amendments  proposed  by 
the European Parliament at First Reading which were accepted by the Commission. 

1. 

Introduction 

a) 

Background 

The Commission adopted  its proposal on  14.11.95,  and it was formally transmitted to the European 
Parliament and the Council on 30.1.96*. 

The  Economic  and  Social  Committee  gave  a  favourable  Opinion  on  24.4.962.  The  European 
Parliament  adopted  a  favourable  Resolution  at  its  First  Reading  on  22.5.96,  and  proposed  37 
amendments to the Commission's  proposal3. 

b) 

Purpose of the  Directive 

By  1 January  1998  full  competition  is to  be  introduced  in most  Member  States  in the  provision  of 
telecommunications  services  and  network  infrastructures.  The  proposed  directive  will  allow 
undertakings  to  benefit  from  a  Union-wide  market  for  telecommunications  and  as  such  is  an 
important part of the new regulatory  environment  supporting telecommunications  liberalization. 

While  more  competition  is  to  be  introduced  in  the  telecommunications  sector,  authorizations 
regimes  remain  necessary  in  order  to  ensure  that  certain  public  interest  objectives  are  attained, 
including the provision of universal  service.  At the same time,  national  regulatory  frameworks  must 
be competition-friendly,  and priority  must be given to  light authorisations  schemes.  In that  context, 
the proposed  directive  will  lay down  a common  framework  for national  authorizations  regimes and 
provide for mechanisms aimed at facilitating  the provision of cross-border networks and services. 

1 

2 

3 

O.J.  C 90,  27  0 3 . %,  page  5 

CHS/530 o fl  996 

A4-142/96,  PV  12905 

2. 

EP amendments accepted  by the Commission 

Of  the  37  amendments  adopted  by  the  European  Parliament  at  first  Reading,  the  Commission 
accepted 23 in full, 2 in part and  1  in principle, making a total of 26. 

Amendments accepted in full 

4, 5, 6, 7, 9,  11,  12, 13, 14, 15, 16, 17, 
18,  19, 21, 23, 24, 28, 30, 31, 32, 33, 34 

Amendments accepted  in part 

Amendment accepted in principle 

2, 20 

22 

The Commission accepted those amendments which : 

increase 
the 
authorizations, 

transparency  of 

the  proposed 

regulatory  framework 

for 

improve the clarity of the text, in particular with regard to its scope, 

offer  better guarantees to new entrants, 

introduce flexibility  in the procedures for  the granting of authorizations and the 
conditions attached to authorizations, 

support  the need to  review  in the future  the balance between  regulation  at the 
European level and at the national level, including the possibility of a European 
Regulatory Authority for telecommunications after  1998 

are consistent with other EU legislation. 

3.  Amendments not accepted  by the Commission 

The  Commission  has  not  accepted  11 of  the  37  amendments  (and  part  of  2  other  amendments) 
proposed by the European Parliament. The reasons are given below. 

National regulatory  authorities 
(Amendments  1  and 8) 

The  Commission  shares  the  concerns  of  the  European  Parliament  regarding  the  requirement  for 
effective  and independent  national  regulatory  authorities,  playing an active role in the development 
of  competition  and  able  to  ensure  appropriate  implementation  of  EU  legislation  (and  of  this 
Directive)  at  national  level.  For  this reason,  the  Commission  has  included  a new  provision  on the 
independence  of national  regulatory  authorities  in the  proposed  Directive on the adaptation  of the 
ONP  Framework  Directive  to  a  competitive  environment  (COM  (95)  543).  It  is  therefore  not 
necessary to duplicate that provision in this Directive. 

Limitation  of the facilitation  of entry  by new operators 
(Amendment 3) 

The  Directive  does  not  provide  for  specific  interventions  favouring  new  entrants  but  introduces 
climate which is conducive to new entry in general. 
It  does  not  appear  desirable  to  limit  the  benefit  of  this  approach  to  certain  categories  of  new 
entrants  ;  this  would  introduce  discrimination  against  certain  categories  of  new  entrants  which 
would be difficult  to justify. 
Incumbent  operators  are  likely to  remain  dominant  because availability  of alternative  networks is 
far  from  being  widespread  and  therefore  the  need  for  facilitation  of  new  entry  should  not  be 
obviated. 

Consistency with the proposed Directive on Interconnection 
(amendments 2 [reference to number portability] and 10) 

It is important to ensure consistency between the different  texts which are currently elaborated and 
discussed  and which  will form  the regulatory  package for  the liberalisation  of  telecommunications 
by  1998.  Both  amendments  would  be  in  contradiction  with  the  proposed  Directive  on 
Interconnection.  The EP  has  expressed  an  opinion  on  this  text  during  its  February  1996  plenary 
session. The Council has reached on it a Common Position during the Telecommunications Council 
of March  1996. 
As  far  as  the  reference  to  number  portability  in  Amendment  2  is  concerned,  the  European 
Parliament,  in  its  Opinion  on  the  proposed  directive  on  Interconnection,  suggested  amendments 
aimed  at  improving the  situation  of consumers, and the Commission  approved  these amendments. 
The  date  for  number  portability  (1  January  2003)  was  supported  in  the  European  Parliament 
Opinion  on  the  proposed  Directive  on  Interconnection.  This  is  not  the  position  taken  through 
Amendment  2 which  mentions  "the late moment  for  introduction  of number portability"  as one of 
the major obstacles faced  by new operators. 
The European Parliament Opinion on the proposed Directive on Interconnection  also supported the 
definition  of  universal  service,  which  would  be  changed  by  Amendment  10.  In  addition,  the 
substance  of  Amendment  10 proposed  in  the  present  report  on  that  definition  raises  a  problem, 
because affordability  cannot be defined  at the present time at the same level for all Member States. 

Fees not related to administrative costs 
(Reference to Article 7.1 b) in Amendment 20) 

Through  the  reference  to  Article  7. l b)  in  this  amendment  Member  States  would  be  allowed  to 
impose fees not related to administrative costs as a counterpart for access to rights of ways. 
The  Commission  is  of  the  opinion  that  such  rights  of  ways  cannot  be  seen  as  a  genuine  scarce 
resource, like for instance radiofrequencies  can be. This reference to amendment  7.1.b) would allow 
the  levy,  on  new  entrants  in  the  local  loop,  of  fees  not  related  to  administrative  costs.  It  will 
therefore  discourage the construction  of competitive  infrastructure.  The consultation  on the Green 
Paper  on  the  liberalisation  of  infrastructure  made  it  clear  that  there  is  much  concern  in  industry 
against such an approach. 
Of course,  the  granting  of rights of  ways  to  network  operators  can  be  accompanied  by  Member 
States  of  other  stringent  obligations,  such  as  environmental  or  town  and  country  planning 
requirements, or proof of access to sufficient  financial  resources. 

Anticipation  of  deadlines 
(Amendments  25 and  29) 

Both dates proposed  by these amendments would  result in excessively  short deadlines. 
As  far as  harmonisation  is concerned  (amendment  25),  the  review  of  its  results  needs  to  be  done 
after  a  sufficiently  long  period  of  time,  following  the  liberalisation  of  the  telecommunications 
sector  in  1998.  Otherwise  there  is  a  risk  that  no  valid  conclusion  be  drawn  from  this  review 
process.  It  is  also  necessary  to  take  into  account  the  time  needed  for  setting  up  the  harmonised 
general  authorisations,  along  the  procedure  put  forward  in  Article  14  of  the  proposed  Directive. 
Therefore  the  Commission  considers  that  a  three  year  period  after  the  1  January  1998  is 
reasonable. 
As far as the deadline  for  bringing  into  line existing  licences  is concerned  (amendment  29),  it  does 
not  appear justified  to  advance  it  to  1 July  1998,  instead  of  1 January  1999.  Member  States  will 
need  time  to  take  the  administrative  steps  necessary  to  adapt  the  existing  authorisations  to  the 
provisions of the proposed  Directive. 

Amendments  linked  to comitology 
(Amendments  26 and  27) 

Both  amendments  would  differ  from  the  Council  decision  on  comitology  of  13  July  1987  : 
Amendment  26  on  the  limitation  of  the  number  of  representatives  in  the  European  Union 
Telecommunications  Committee  (EUTC)  to  only  one  per Member  State  and  Amendment  27  on  a 
reference to publicity of meetings of the EUTC. 

In  addition,  the  publicity  required  by  Amendment  27  would  be  difficult  to  implement,  given  the 
confidential  nature of data provided by undertakings. Rights of defense will be safeguarded  anyway. 

Research  & training  conditions  in  licences 
(Amendment  35) 

It is not justified,  in a competitive  environment,  to  impose  on  market  players  specific  conditions in 
these  fields.  Such  conditions  can  result  in  the  imposition  of  a  significant  financial  burden  on 
networks and services providers. In addition, Member States should be responsible for research and 
training policies. Finally, the amendment  could  also lead to the introduction of extraneous  elements 
in universal  service,  which  would  result  in erecting  new  barriers to  entry for  services  for  which  no 
strong social and economical  demand exists yet. 

Individual  licences for telephony  services  between  the Community  and  third  countries 
(Amendment  36) 

Individual  licences  for  voice  telephony  services  are  normally  justified  because  of  public  service 
requirements (Article  7 (d)) and these should be indistinctly applicable intra and extra-EC services. 

Individual licences  for town  and  country  planning  or protection  of environment  reasons 
(Amendment  39) 

Town  and  country  planning  or  the  protection  of  environment  are  legitimate  and  important  public 
interest  objectives,  which  as  such  are  recognised  by  the  proposal.  However,  the  possibility  of 
allowing Member States to issue individual licences in order to deal with town and country planning 
or the protection of environment  is not necessary. The proposal already provides for  possibilities to 
cover  such  concerns,  mainly  through  Annex  I.  Also,  some conditions  linked  to  town  and  country 
planning or to the protection of environment can be addressed by means of general authorisations. 

4. 

Conclusion 

The  Commission  has  accepted  26  of  the  37  amendments  proposed  by  the  European  Parliament 
either in whole, in part or in principle. 

In  accordance  with  Article  189a  paragraph  2  of  the  treaty,  the  Commission  amends  its  initial 
proposal, incorporating these amendments. 

Amended  Proposal  for  a European  Parliament  and  Council  Directive 
on  a  common  framework  for  general  authorizations  and  individual  licences 
in  the  field  of telecommunications  services 

Original  text 

Amended  text 

Recital  5 

Whereas  this  Directive  therefore  will  make  a 
to  the  entry  of  new 
significant  contribution 
the 
operators 
development  of the Information  Society ; 

the  market,  as  part  of 

into 

into 

the  market,  as  part  of 

Whereas  this  Directive  therefore  will  make  a 
to  the  entry  of  new 
significant  contribution 
the 
operators 
development  of  the  Information  Society,  bearing 
in  mind  that  major  obstacles  still  exist  for  new 
operators  in  the  sectors  that  have  already  been 
open  to  competition,  as  well  as  in  those  member 
countries where national  schemes of  liberalisation 
of  telecommunications  have  been  implemented, 
such  as  the  differentiated 
tariff  policy  of  the 
incumbent  operator,  insufficient  transparency  and 
high  costs  for  interconnection,  and  the  lack  of an 
asymmetrical  treatment  ; 

Recital  12 

networks 

providing 

should  be 
Whereas  Member  States 
allowed  to  impose  specific  conditions  on 
public 
undertakings 
telecommunications 
and 
telecommunications  services  because  of 
their  market  power»  the  market  power  of 
an  undertaking  being  defined  by  the 
provisions  of  European  Parliament  and 
Council  Directive  ....  on interconnection  to 
public  telecommunications  networks  and 
public  telecommunications  services  in  the 
context  of  Open  Network  Provision 
(ONP) ; 

to 

financial 

resources,  and 

Whereas  Member  States  should  be  allowed  to 
impose  specific  conditions  on  undertakings 
providing  public  telecommunications  networks 
and telecommunications  services  because  of their 
market  power;  whereas  the  market  power  of  an 
undertaking  depends  on  a  number  of  factors 
including its share of the relevant product  market 
or  service  market  in  the  relevant  geographical 
market,  its  turnover  relative  to  the  size  of  the 
market,  its ability to  influence  market  conditions, 
its  control  of  the  means  of  access  to  end-users. 
its 
its  access 
experience  in  providing  products  and  services  in 
the  market;  whereas,  for  the  purpose  of  this 
Directive,  an  undertaking  with  a  share  of  more 
than  25%  of  a  particular  telecommunications 
market  in  the  geographical  area  in  a  Member 
State  within  which  it  is  authorized  to  operate 
would  be  presumed  to  enjoy  significant  market 
power,  unless  its  national  regulatory  authority 
determined,  in  accordance  with  the  Community 
competition  rules,  that  this  was  not  the  case; 
whereas,  for  an  undertaking  falling  below  this 
threshold  market  share,  the  national  regulatory 
authority  may  nevertheless,  albeit  only  for  the 
purposes  of  applying  the  provisions  of  European 
....  on 
Parliament  and  Council  Directive 
interconnection 
to  public  telecommunications 
networks and public telecommunications  services 
in  the  context  of  Open  Network  Provision 
(ONP).  determine  that  the  undertaking  enjoyed 
significant  market power ; 

Recital  13 

Whereas telecommunications  services have a role 
to  play  in  strengthening  social  and  economic 
cohesion,  inter alia by furthering  the  achievement 
of  universal  service,  in  particular  in  remote, 
peripheral, 
landlocked  and  rural  areas  and 
islands; whereas Member  States  should  therefore 
be  allowed 
service 
obligations by means of individual  licence ; 

impose  universal 

to 

Whereas telecommunications services have a role 
to  play  in  strengthening  social  and  economic 
cohesion,  inter alia by furthering  the  achievement 
of  universal  service,  in  particular  in  remote, 
peripheral, 
landlocked  and  rural  areas  and 
islands; whereas  Member  States should  therefore 
be  allowed 
service 
obligations  to  provide  the  universal  service  by 
means  of 
;  whereas 
obligations  to  contribute  to  the  financing  of 
universal  service  are  not  a  justification 
for 
imposing individual  licences ; 

impose  universal 

individual 

licences 

to 

Recital  19 

Whereas  the  functioning  of  this  Directive  should 
be  reviewed  in  due  course;  in  the  light  of  the 
development  of  the  telecommunications  sector 
and of trans-European networks, as well  as in the 
the 
light 
from 
harmonization 
one-stop-shopping 
procedures set out in this Directive; 

experience 
and 

gained 

of 

of 

Whereas the  functioning  of  this  Directive  should 
be  reviewed  in  due  course;  in  the  light  of  the 
development  of  the  telecommunications  sector 
and of trans-European  networks, as well as in the 
the 
light 
from 
harmonization 
one-stop-shopping 
procedures  set  out  in  this  Directive;  whereas  it 
seems  reasonable  that,  when  this  Directive  is 
reviewed,  the  possibility  of  the  creation  of  a 
European regulatory authority is considered ; 

experience 
and 

gained 

Article 1 

the 

the 

concerns 

conditions 

procedures  This  Directive 

This  Directive 
procedures 
associated  with  the  granting  of  authorizations  associated  with  the  granting  of  authorizations 
and 
such 
such  and 
authorizations,  for  the  purpose  of  providing  authorizations,  for  the  purpose  of  providing 
the 
telecommunications  services. 
any 
of 

for 
of 
provision 

and 
operation 

telecommunications 
establishment 
infrastructure 
the 
telecommunications  services. 

and/or 
for 

conditions 

concerns 

attached 

attached 

services 

the 

the 

to 

to 

Article 2 par.  1 (e) 

services"  means 

"Telecommunications 

(e) 
services"  means 
services  whose  provision  consists  wholly  or  services  whose  provision  consists  wholly  or 
partly  in  the  transmission  and/or  routing  of  partly  in  the  transmission  and/or  routing  of 
signals  on  telecommunications  networks.  This 
signals on telecommunications  networks. 
Directive  does  not  apply  to  radio  and  television 
broadcasting; 

"Telecommunications 

(e) 

Article 4 (2) 

Member  States  shall  ensure  that  the  conditions 
attached  to  general  authorizations  are  published 
in  an  appropriate  manner  so  as  to  provide  easy 
access  to  that  information  for  interested  parties. 
Reference  to  the  publication  of  this  information 
shall  be  made  in  the  national  official  gazette  of 
the Member State concerned. 

Member  States  shall  ensure  that  the  conditions 
attached  to  general  authorizations  are  published 
in  an  appropriate  manner  so  as  to  provide  easy 
access  to  that  information  for  interested  parties. 
Reference  to  the  publication  of  this  information 
shall  be  made  in  the  national  official  gazette  of 
the  Member  State  concerned  and  in  the  Official 
Journal of the European Communities. 

Article 5 (4) 

information 
Member  States  shall  ensure  that 
concerning  the  procedures  relating  to  general 
authorizations  is  published  in  an  appropriate 
manner,  so  as  to  provide  easy  access  to  that 
information.  Reference  to  the  publication  of  this 
information  shall  be  made  in the  national  official 
gazette  of  the  Member  State  concerned  and  in 
the  European 
the  Official 
Communities. 

Journal 

of 

information 
Member  States  shall  ensure  that 
concerning  the  procedures  relating  to  general 
authorizations  is  published 
in  an  appropriate 
manner,  so  as  to  provide  easy  access  to  that 
information.  Reference  to  the  publication  of  this 
information  shall  be  made  in the  national  official 
gazette of the Member State concerned. 

10 

Article 7 (1) 

to  general  authorizations 

Member  States  may,  in  addition  to  conditions  Member  States  may,  in  addition  to  conditions 
attached 
require 
to  general  authorizations, 
individual  licences  imposing  conditions  as  listed 
telecommunications  services, 
services  mentioned 
in  Annex  I,  point  4,  but  only  for  the  following 
individual  licences  imposing  conditions  as  listed  purposes : 
in  Annex  I,  point  4,  but  only  for  the  following 
purposes : 

those 
require 

the  attached 

in  Annex 

including 

for 

II. 

(a) 

(b) 

(c) 

to  allow  the  licensee  access  to  specific 
radio frequencies or numbers; 

(a) 

to  allow  the  licensee  access  to  specific 
radio frequencies or numbers; 

to  give  the  licensee  particular  rights  with 
regard to access to public or private land; 

(b) 

to  give  the  licensee  particular  rights  with 
regard to access to public or private land; 

to  grant  the  licensee  rights  to  provide 
infrastructure 
public  telecommunications 
between 
third 
countries; 

the  Community 

and 

(c) 

to  grant  the  licensee  rights  to  provide 
infrastructure 
public  telecommunications 
between 
third 
countries; 

the  Community 

and 

(d) 

impose  obligations  on  the 

licensee 
to 
relating  to  the  mandatory  provision  of 
public telecommunications  services; 

(d) 

to  impose  obligations  and  requirements  on 
the  licensee  relating  to  the  mandatory 
provision  of  public 
telecommunications 
services  as  defined  in  Annex  I.  points  4.5 
and 4.8 ; 

impose 

specific 

obligations, 

to 
in 
conformity  with  Community  competition 
rules,  where  the  licensee  has  significant 
market  power  as defined  by the  provisions 
of  European  Parliament  and  Council 
Directive  ...  on  interconnection  to  public 
telecommunications  networks  and  public 
telecommunications  services  in the  context 
of  Open  Network  Provision  in  relation  to 
the provision of public  telecommunications 
networks 
telecommunications 
services. 

and 

(e) 

impose 

specific 

obligations, 

to 
in 
conformity  with  Community  competition 
rules,  where  the  licensee  has  significant 
market  power  in  relation  to  the  provision 
of  public  telecommunications  networks 
and telecommunications  services. 

(e) 

H 

Article  7 (2) 

Undertakings  wishing  to  provide  services  which 
are  not  yet  covered  by  a  general  authorization 
and  which 
cannot  be  provided  without 
authorization,  or  wishing  to  enjoy  additional 
rights  not  granted  by  the  applicable  general 
authorization,  may  apply 
individual 
licence-

for  an 

National  regulatory  authorities  must  within  two 
weeks  grant  a  temporary  individual  licence  to 
undertakings  wishing  to  provide  services  which 
are  not  yet  covered  by  a  general  authorization 
cannot  be  provided  without 
and  which 
authorization,  or  wishing  to  enjoy  additional 
rights  not  granted  by  the  applicable  general 
authorization,  or prove that the  service  has to be 
subject to an individual  licence  procedure  for the 
purposes of paragraph  1. Member States shall lay 
down  an  appropriate  procedure  for  appealing 
against  a  negative  decision  to  an  institution 
independent of the national regulatory authority. 

Article 7 (3) 

In  the  situations  addressed 
in  paragraph  2 
Member States shall, as rapidly as possible,  either 
consent  to the provision of the service  concerned 
or 
the  establishment  and/or  operation  of 
infrastructure  concerned  without  authorization, 
or  grant  the  relevant  general  authorizations  in 
accordance with Section II. 

In  the  situations  addressed 
in  paragraph  2 
Member  States  shall,  within  one  month,  either 
consent to the provision  of the service  concerned 
or 
the  establishment  and/or  operation  of 
infrastructure  concerned  without  authorization, 
or  grant  the  relevant  general  authorizations  in 
accordance with Section II. 

Article  9(3) second  indent 

-  it  shall  set  reasonable  time  limits;  inter  alia  it 
shall communicate  to  the  applicant  a decision  on 
the  application  as  soon  as  possible  but  not  later 
than  six  weeks  after 
the 
application. 

it  has  received 

-  it  shall  set  reasonable  time  limits;  inter  alia  it 
shall  communicate  to the  applicant  a decision  on 
the  application  as  soon  as  possible  but  not  later 
than  six  weeks  after 
the 
application.  Extension  is  possible  in  situations 
that are set out in advance,  in particular to ensure 
transparency  and  coordination  with  other 
Member States. 

it  has  received 

Article  10(1) 

any 

licences 

category 

Member  States  may  a  priori  limit  the  number  of  Member  States  may  a priori  limit  the  number  of 
of 
individual 
licences 
individual 
of 
for 
for 
telecommunications 
telecommunications  services,  only  to  the  extent 
establishment 
of 
required  to  ensure  the  efficient  use  of  radio 
telecommunications  infrastructure,  only  to  the 
frequencies  and  in  conformity  with  Community 
extent  required  to  ensure  the  efficient  use  of 
competition rules. 
radio 
in  conformity  with 
Community competition rules. 

category 
and 
operation 

any 
services, 

frequencies  and 

and/or 

for 

12 

Article  10 (2),  introduction 

Where  a  Member  State  intends  to  limit  the 
number of individual  licences granted,  it shall: 

Where a Member State is entitled by virtue of the 
preceding  paragraph  to  limit  the  number  of 
individual  licences granted,  it shall: 

Article  10 (4) 

Where  a  Member  State  finds,  either  on  its  own 
following  a  request  by  an 
initiative  or 
undertaking, either at the time of entry into  force 
of  this  Directive  or  at  a  later  time,  that  the 
number of individual  licences can be increased,  it 
shall  publish  this  fact  and  invite  applications  for 
additional licences. 

frequencies.  Thev 

Member  States  shall  periodically  review  whether 
any opportunities exist to increase the availability 
of 
the 
Commission every two years on the situation and 
any  measures  taken.  Where  a  Member  State 
finds, that  the  number  of  individual  licences  can 
be  increased,  it  shall  publish  this  fact  and  invite 
applications for additional licences. 

inform 

shall 

Article  11, second  paragraph 

In addition,  where  resources  are  scarce,  Member 
States  may  allow 
their  national  regulatory 
authorities  to  impose,  in  a  non-discriminatory 
manner,  a  fee  for  the  granting  of  an  individual 
licence.  This  fee  shall  reflect  the  need  for  the 
optimal  use  of  this  resource  as  well  as  for  the 
introduction  and  the  development  of  innovative 
services and competition. 

In  addition,  where  the  resources  mentioned  in 
Article  7 ( 1)  (a)  are  scarce,  Member  States  may 
allow  their  national  regulatory  authorities  to 
impose,  in a non-discriminatory  manner,  a fee for 
the  granting  of  an  individual  licence.  This  fee 
shall  reflect- the  need  for  the  optimal  use  of  this 
resource  as  well  as  for  the  introduction  and  the 
and 
development 
competition. 

innovative 

services 

of 

Article  13, Title 

Coordination of authorization  procedures 

Coordination of general authorization  procedures 
and individual  licence  procedures 

(Article  13 to  be  moved  and placed  after  Article 
15) 

13 

Article  13(1) 

An  undertaking 
to  provide  a 
intending 
telecommunications  service  or  to  establish  a 
telecommunications  infrastructure  in  more  than 
one  Member  State  may  request  the  national 
regulatory  authorities  concerned  to  coordinate 
their authorizations  procedures  in order to  issue 
the  necessary  authorizations  on  substantially  the 
same conditions. 

Pending harmonization on the basis of Article  14. 
the  national  regulatory  authority  concerned  shall 
allow  derogations  to  their  general  authorizations 
at  the  request  of  an  undertaking  intending  to 
provide  a  telecommunications  service  or  to 
establish  a  telecommunications  infrastructure  in 
more  than  one  Member  State  in  order  to  enable 
the undertaking  to  operate  in the Member  States 
concerned on substantially the same conditions. 

individual 

the  necessary 

The national regulatory authority  concerned  shall 
issue 
licences  oh 
substantially  the  same  conditions  on  the  request 
of  an  undertaking 
to  provide  a 
telecommunications  service  or  to  establish  a 
telecommunications  infrastructure  in  more  than 
one Member State. 

intending 

Article  14, Title 

Harmonization 

Harmonization of general authorizations and 
procedures 

Article  14 (2), first  paragraph 

Wherever  necessary,  the  conditions  attached  to 
general  authorizations  for  the  provision  of  the 
telecommunications  services  listed  in  Annex  II, 
the  grant  of  general 
the  procedures 
authorizations  and  individual  licences,  and  the 
setting of fees  shall be harmonized. 

for 

Wherever  necessary,  with  a  view  to  ensuring 
light-handed  regulation,  the  conditions  attached 
to general  authorizations  for the  provision  of the 
telecommunications  services  listed  in  Annex  II, 
the  procedures 
the  grant  of  general 
authorizations  and  individual  licences,  and  the 
setting of fees shall be harmonized. 

for 

14 

Article  20  (3) 

At  the  request  of  a Member  State  or  on  its  own 
initiative  the  Commission  shall  examine  any 
conditions,  criteria and/or procedures set out in a 
national  authorization,  in  particular  with  regard 
to  the  justifiability  of  the  measures  and  their 
compliance  with  the  principle  of  proportionality. 
The  Commission  shall,  within  one  month  of 
receipt  of  a request  and  following  the  procedure 
in  Article  17,  decide  whether  the 
set  out 
the 
Member State  may  continue 
measure.  The  Commission  shall  communicate  its 
decision  to  the  Council  and  to  the  Member 
States. 

to  apply 

At the  request  of  a Member  State  or  on  its own 
initiative  the  Commission  may  examine  at  any 
time  any  conditions,  criteria  and/or  procedures 
set  out  in  a  national  authorization,  in  particular 
with  regard  to  the justifiability  of  the  measures 
and  their  compliance  with  the  principle  of 
proportionality.  The  Commission  shall,  within 
one  month  of  receipt  of  a  request  and  following 
the  procedure  set  out  in  Article  17,  decide 
whether the Member State may continue to apply 
the measure.  The Commission  shall communicate 
its  decision  to  the  Council  and  to  the  Member 
States. 

Article 22 (2) 

Before  1  January  2000  the  Commission  will 
review  whether  an  amendment  of  the  provisions 
of  this  Directive  is  necessary,  on  the  basis  of  a 
report to be supplied to  the European Parliament 
and  Council.  The  report  shall 
include  an 
assessment,  on  the  basis  of  the  experience 
gained,  of  the  need  for  further  development  of 
structures 
regards 
the 
authorizations, 
to 
in  particular 
harmonization  and  to  trans-European  services 
and  networks,  the  institutional  arrangements,  as 
well  as numbering plans and number portability. 

in  relation 

regulatory 

as 

Before  1  January  2000  the  Commission  will 
review  whether  an amendment  of  the  provisions 
of  this  Directive  is  necessary,  on  the  basis  of  a 
report to  be supplied  to  the European Parliament 
and  Council.  The  report  shall 
include  an 
assessment,  on  the  basis  of  the  experience 
gained,  of  the  need  for  further  development  of 
structures 
regards 
the 
authorizations, 
to 
in  particular 
harmonization  and  to  trans-European  services 
and networks. 

in  relation 

regulatory 

as 

15 

Article  24 

and 

_L  Member  States  shall  bring  into  force  the laws, 
regulations 
provisions 
necessary to comply with this Directive  by  1 July 
1997.  They 
the 
shall 
Commission  thereof. 

administrative 

immediately 

inform 

and 

administrative 

Member  States  shall  bring  into  force  the  laws, 
regulations 
provisions 
necessary  to  comply  with  this  Directive  and 
publish  the  conditions  and  procedures  attached 
to  authorizations  by  1  July  1997.  They  shall 
immediately inform the Commission  thereof. 

When  Member  States  adopt  these  provisions, 
these shall contain a reference to this Directive or 
shall  be  accompanied  by  such  reference  at  the 
time  of  their  official  publication.  The  procedure 
for  such  reference  shall  be  adopted  by  Member 
States. 

When  Member  States  adopt  these  provisions, 
these shall contain a reference to this Directive or 
shall  be  accompanied  by  such  reference  at  the 
time  of  their  official  publication.  The  procedure 
for  such  reference  shall  be  adopted  by  Member 
States. 

2 Member  States  shall  notify  to  the  Commission  Deleted 
a  list  of  representatives  to  the  European Union 
Telecommunications  Committee  not  later  than 
two months after publication of this Directive. 

Annex  I (4.5a)  (new) 

(4.5a)  Compliance  with  substantive  obligations 
concerning  coverage  of  low  population  areas  in 
particular. 

Annex  I (4.6.) 

4.6.  Conditions  applied  to  operators  having  a 
significant  market  position,  as  notified  by 
Member  States  under  the  directive  on 
interconnection, 
ensuring 
interconnection  or  specific  monitoring 
requirements. 

aiming 

at 

4.6.  Conditions  applied  to  operators  having  a 
significant  market  position,  as  notified  by 
Member  States  under 
on 
interconnection, 
ensuring 
aiming 
interconnection  or  the  control  of  significant 
market power. 

the  directive 

at 

Annex  I (4.9a)  (new) 

(4.9a.)  Specific  conditions  related  to  the  supply 
of  leased  lines  in  conformity  with  Directive 
92/44EEC  as  modified  by  Directive  96/.. .EC 
amending  Council  Directives  90/387/EEC  and 
92/44/EEC  for  the  purpose  of  adaptation  to  a 
competitive environment  in telecommunications 

16 

ISSN 0254-1475 

COM(96) 342  final 

DOCUMENTS 

EN 

06  15  08 

Catalogue number  : CB-CO-96-341-EN-C 

ISBN 92-78-06126-3 

Office for Official Publications of the European Communities 

L-2985 Luxembourg 

47-