EU May Take Germany To Court Over Digital Frequency Licenses
October 13 2009 - 12:11PM
Dow Jones News
The European Commission may take legal action against the German
telecoms regulator over concerns its planned auction of digital
frequency licenses may harm competition, the commission's telecoms
spokesman Martin Selmayr said Tuesday.
The commission "is deeply concerned" about the
Bundesnetzagentur's decision to ignore the commission's advice on
how to ensure fair competition in allocating digital frequency in
Germany, Selmayr said.
If the commission finds European Union laws aren't respected by
the German plan it "will not shy away from enforcing the E.U.'s
competition and single market rules in this important context,"
Selmayr added.
The German regulator plans a second-quarter 2010 auction of
licenses for frequencies to supply rural areas with mobile Internet
access. New entrants to the market E-Plus and 02 have both
complained the planned auction will benefit the incumbent mobile
operators, the commission said.
Under E.U. law national regulators have to allocate radio
frequencies for mobile services in an objective and transparent
way. They shouldn't try to freeze the competitive situation on the
market for the benefit of incumbent operators.
The commission takes issue with the regulator's argument that
how the digital frequencies are divided "is outside the scope of
the E.U.'s competence," Selmayr said.
-By Peppi Kiviniemi, Dow Jones Newswires; +3227411483;
peppi.kiviniemi@dowjones.com