New fee model applicable to electronic communications


In November 2008 approval was given to the draft Administrative Rules on the new model for fees charged by ICP-ANACOM and on the reduction of fees for the Land Mobile Service for public use (SMTP).

Approval by the Board of Directors was preceded by an opinion of the Advisory Board of ICP-ANACOM, issued at the request of the Secretary of State Assistant for Public Works and Communications, which contained a set of recommendations.

In turn, the Office of the Minister of Parliamentary Affairs submitted comments on the proposed tariff.

The LEC has introduced new concepts and a new order with respect to the revenues of the Regulatory Authority, defining the method of calculation to be used in determining fees.

The new model, referred to in Article 105 of the LEC, requires substantial changes to the prior model, particularly as regards the fee model applicable to the use of the radio spectrum, which is based on spectrum allocated, irrespective of the operator customer base.

In this context, Administrative Rule no 1473-A/2008 of 17 December was published, which approved changes to fees for the land mobile service (in UHF bands - decimetre waves).

In turn, Administrative Rule no 1473-B/2008 of 17 December was published, which approved the fees due for the issue of declarations providing evidence of the rights, for the exercise of the activity of provider of electronic communications networks and services, for the allocation of rights to use frequencies and numbers, for the use of radio spectrum and other fees payable to this Authority.

The approach used to calculate the fees for the use of the radio spectrum is based on charging for the allocated spectrum; on the other hand, in a separate plan for the use of frequencies, associated with radio licensing, it was necessary to ensure effective and efficient use of frequencies.

This approach also took into account two areas of concern: competition, and a concern of a social nature, associated with broadcasting services - radio and television.

Given the significant changes brought about by this new pricing model applicable to electronic communications, and taking into account its entry into force on 1 January 2009, it was decided to have a transitional period of two and five years (the latter period for broadcasting services), giving those who have to pay more the chance to prepare, and preventing, on the other hand, a sharp drop in the overall revenues of this Authority.