07 May 2009

EU - Commission acts on termination rates

The European Commission has set out clear guidance for EU telecoms regulators on the cost-based method to be used when calculating termination rates – the wholesale fees charged by operators to connect the call from another operator's network which are part of everyone's phone bill. The guidance is in the form of a "Recommendation" that national regulators are obliged to take "the utmost account" of. The Recommendation indicates specifically that termination rates at national level should be based only on the real costs that an efficient operator incurs to establish the connection. see Frequently Asked Questions. see also Ending the Fixed-Mobile-Subsidy: the new Commission Recommendation on Termination Rates in the EU Speech by Viviane Reding, Member of the European Commission responsible for Information Society and Media.