Opinion of the Economic and Social Committee on the 'Proposal for a Directive amending Directive 97/33/EC with regard to operator number portability and carrier pre-selection'
Date: 1997-12-11
Institutions: European Economic and Social Committee
Subjects: communications policy, liberalisation of the market, new technology, telecommunications, telephone

9.3.98

EN

Official Journal of the European Communities

C 73/107

Opinion of the Economic and Social Committee on the ‘Proposal for a Directive amending
Directive 97/33/EC with regard to operator number portability and carrier pre-selection’

(98/C 73/26)

On 30 October 1997, the Council decided to consult the Economic and Social Committee, under
Article 100A of the Treaty establishing the European Community, on the above-mentioned
proposal.

The Section for Transport and Telecommunications was instructed to prepare the Committee’s
work on the subject; it set up a study group and appointed Mr Mobbs as rapporteur.

At its 350th plenary session (meeting of 11 December 1997), the Economic and Social
Committee appointed Mr Mobbs as rapporteur-general and adopted unanimously the
following opinion.

1.

Introduction

1.1.
The Commission issued a Green Paper on a
Numbering Policy for Telecommunications Services in
Europe (1) on 20 November 1996. This resulted in wide
ranging consultation with all interested parties within
the EU on a variety of options for a common approach
towards certain numbering issues in order to reach the
agreed goals of a competitive and liberalized telecom-
munications market. The Committee issued its Opinion
on 28 May 1997 (2).

1.2. On 21 May 1997, the Commission issued a
Communication regarding the consultation on the Green
Paper on a Numbering Policy for Telecommunications
Services in Europe (3). The Committee issued an Opinion
on 29 October 1997 (4).

1.3. Whilst the 21 May Commission Communication
was issued before the Committee had produced its
28 May Opinion, the Committees’ views were generally
not materially different from those contained in the
Commission Communication on the Green Paper.

1.3.1. However only those aspects affecting Number

(1) COM(96) 590 final.
(2) OJ C 287, 22.9.1997, p. 15.
(3) COM(97) 203 final.
(4) OJ C 19, 21.1.1998.

Portability and Carrier Pre-selection (5) are addressed by
the Commission in its current proposal to amend the
Interconnection Directive (6).

2. The Commission proposal

2.1.
The proposal which follows from the public
consultation referred to in paragraph 1.1 above cites the
Council Resolution of 22 September 1997 (7), but the
Commission deals with only two actions.

2.2.
By 1 January 2000: Operator Number Portability
should be offered by all fixed local access providers

(5) Number portability: the possibility to transfer a telephone
number from one operator to the other. Number portability
thus allows customers to retain their telephone number
when they decide to change operator and removes an
important barrier to competition.
Carrier pre-selection: local operator/service provider will
automatically route long-distance and international calls
of a customer to the long-distance carrier of the customer’s
choice. The customer does not then have to dial or arrange
pre-programming of special carrier selection codes with
every call (‘equal access’).
Call-by-call carrier selection: a simple mechanism allowing
the customer to choose a carrier by use of code or
pre-programmed equipment for each call in the absence of
which a long-distance carrier is automatically chosen by
the local access provider (local operator) with the possibility
of the user overriding that choice on a call-by-call basis
(‘easy access’).

(6) Directive 97/33/EC of the European Parliament and of the
Council of 30 June 1997 on interconnection in Telecom-
munications with regard to ensuring universal service and
interoperability through application of the principles of
Open Network Provision (ONP) (OJ L 199, 26.7.1997,
p. 32). ESC Opinion: OJ C 153, 28.5.1996, p. 21.

(7) Council Resolution of 22 September 1997 on the further
development of a numbering policy for telecommunications
services in the European Community (OJ C 303, 4.10.1997,
p. 1).

C 73/108

EN

Official Journal of the European Communities

9.3.98

and all operators should offer number portability for
non-geographic special service numbers.

3. General Comments

The need for this facility to be provided by
2.2.1.
mobile operators requires more consideration and the
Commission proposes re-evaluating the position by the
end of 1998.

2.3.
By 1 January 2000: Carrier pre-selection (with
the default carrier to be determined by the subscriber
and with call-by-call override to be available to the user)
should be offered by all fixed local access providers with
significant market power in all Member States, where
full liberalization is required by 1 January 1998 and in
Member States where additional transition periods have
been agreed, by the end of that period.

Call-by-call carrier selection (1) is required to
2.3.1.
be offered by 1 January 1998. (The Commission does
not offer any new legislative proposal since it
is
considered that the existing Interconnection Directive is
sufficient.)

2.3.2.
The proposal refers to the arguments put
forward by the minority of opponents to carrier pre-
selection and then lists the main reasons why it does not
find the minority case against carrier pre-selection to be
convincing.

(1) Number portability: the possibility to transfer a telephone
number from one operator to the other. Number portability
thus allows customers to retain their telephone number
when they decide to change operator and removes an
important barrier to competition.
Carrier pre-selection: local operator/service provider will
automatically route long-distance and international calls
of a customer to the long-distance carrier of the customer’s
choice. The customer does not then have to dial or arrange
pre-programming of special carrier selection codes with
every call (‘equal access’).
Call-by-call carrier selection: a simple mechanism allowing
the customer to choose a carrier by use of code or
pre-programmed equipment for each call in the absence of
which a long-distance carrier is automatically chosen by
the local access provider (local operator) with the possibility
of the user overriding that choice on a call-by-call basis
(‘easy access’).

Brussels, 11 December 1997.

The Committee is pleased to see that the Com-
3.1.
mission continues to take positive action towards the
full liberalization of voice telephony. The two actions
proposed (Operator Number Portability and Carrier
Pre-Selection) follow the proposal contained in the
Commission Consultation Paper (2).

3.2.
The Committee supported this approach in its
latest Opinion (3). However, as far as carrier pre-selection
is concerned, the Committee added the comment that
‘this must include a comprehensive cost-benefit analysis’.

3.3.
In the course of its consultations starting with
the Green Paper (4), the Commission has referred to a
number of independent studies of cost-benefit analysis.
However, the Commission has not published its own
cost-benefit analysis. Accordingly, the Committee calls
on the Commission to make available an EU specific
cost-benefit assessment. In addition, the Commission
should comment upon the competitiveness of EU carrier
pre-selection in the global market place, especially in
the light of recent experiences in other countries, for
example, the USA.

3.4.
The consumer interest must be a priority in
assessing carrier pre-selection. In particular, consumers
should be fully informed of all carrier pre-selection
costs. The Committee recommends that these costs may
not include a charge on an existing subscriber for using
a second operator or service as is already law in some
Member States.

In principle, carrier pre-selection is considered
3.5.
to provide a level playing field and fair competition.
Yet, this should not be looked at in isolation but in the
broadest sense of full competition and the cost effect to
all consumers.

(2) COM(97) 203 final.
(3) OJ C 19, 21.1.1998.
(4) COM(96) 590 final.

The President

of the Economic and Social Committee

Tom JENKINS