
e-mail: pr@mobiltel.bg
22.01.2010 - CRC breaks the law with the decision it announced today
The sanctions imposed on Mobiltel are in Vivacom’s interest
Mobiltel considers that the decision taken today by the Communications Regulating Commission (CRC) is at variance with the Electronic Communications Act and goes beyond the power of the regulator. According to the decision of CRC the mobile operator has to be sanctioned for failing to comply with the price limitations, imposed by the regulator. The telecom will appeal against the decision of the regulator.
Mobiltel strictly observes the obligations for decreasing the prices, imposed by CRC. Up to now the company has concluded 17 contracts for mutual connection; the implementation of prices, imposed by CRC is agreed per 13 of them and the commission is informed in due time. On the remaining 4 negotiations are still held. We consider that by not taking decisions on the controversial clauses the National regulatory organ does not follow the Electronic Communications Act. Instead, the commission fixed a sanction at that upon only one of the contracted parties.
We emphasize that the clauses in these 4 agreements foresee the implementation of the prices, fixed by CRC as of 01.04.2009, regardless of the date of signing the annexes. Although Vivacom refused to sign a correction of the contract, the schedule for decreasing the prices is effectively implemented because since 01.04.2009 Vivacom pays according to the prices, fixed by CRC.
Today’s decision of Communications Regulating Commission (CRC) is without any ground it is at variance with the Electronic Communications Act and will be appealed.
As early as two months ago at the meeting between the three operators and the prime-minister Boiko Borisov was declared that the Bulgarian market of mobile telephone services is distinguished for high competition. It leads to constant falling of the prices to the end consumers and the prices are decreased on average by 30% per year. On the other hand, such competition on the fixed market is non existent.
We remind the according to the 14th report of the European Union for the condition of the European market of electronic communications Bulgaria is the state with second cheapest prices of mobile talks – 6 Eurocents per minute. The position of Mobiltel as concerning the trade prices (terminal prices) is that the company supports their decrease and observes the imposed deadlines despite that the current schedule of their decrease is significantly steeper than the European practices according to which the trade prices fall on average by 12-13% on annual basis. At the moment the mobile operators apply the second decrease of terminal price with another more than 35% as to July 2010 after CRC cancelled its own decision and imposed second decrease of the terminal price.

