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Communications Bill


Communications Bill
Part 2 — Networks, services and the radio spectrum
Chapter 1 — Electronic communications networks and services

    64

 

 64    Tariffs etc. for universal services

     (1)    It shall be the duty of OFCOM—

           (a)           to keep under review universal service tariffs; and

           (b)           to monitor changes to those tariffs.

     (2)    Universal service conditions may require one or more of the following—

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           (a)           the use of a common tariff, or of common tariffs, in relation to anything

mentioned in section 61(2);

           (b)           the use, in such cases as may be specified or described in the conditions,

of such special tariffs in relation to anything so mentioned as may be so

specified or described;

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           (c)           the fixing of tariffs used in accordance with the conditions by the use of

such methods, and by reference to such methods of computing costs, as

may be so specified or described.

     (3)    Universal service conditions must secure that customers of a designated

universal service provider are not required to subsidise other services by

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means of—

           (a)           the universal service tariffs of that provider; or

           (b)           other terms and conditions on which anything is provided, made

available or supplied to them in accordance with a universal service

condition.

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     (4)    For the purposes of subsection (3) customers of a designated universal service

provider subsidise other services to the extent that payments made by those

customers are used—

           (a)           to meet the cost of the provision, availability or supply (whether to

those customers or to other persons) of anything that is not required to

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be provided, made available or supplied in pursuance of a universal

service condition applying to that provider; or

           (b)           otherwise to pay for the provision, availability or supply of any thing

that is not so required.

     (5)    It shall be the duty of OFCOM, in setting a universal service condition about

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universal service tariffs, to have regard to anything ascertained by them in the

performance of their duty under subsection (1).

     (6)    References in this section to a universal service tariff are references to any of

the tariffs used by designated universal service providers in relation to the

things for the time being required by the universal service order.

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     (7)    In this section “tariff” includes a pricing structure.

 65    Directories and directory enquiry facilities

     (1)    This section applies where universal service conditions require a designated

universal service provider—

           (a)           to supply a directory capable of being used in connection with the use

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of an electronic communications network or electronic

communications service; or

           (b)           to make available directory enquiry facilities capable of being used for

purposes connected with use of such a network or service.

 

 

Communications Bill
Part 2 — Networks, services and the radio spectrum
Chapter 1 — Electronic communications networks and services

    65

 

     (2)    The universal service conditions applied to the provider must include the

conditions that OFCOM consider appropriate for securing that the provider

does not unduly discriminate against a source of relevant information—

           (a)           in the compiling of the directory or the answering of directory

enquiries; or

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           (b)           in the treatment in the directory, or for the purposes of the facilities, of

any relevant information from that source.

     (3)    In this section—

           (a)           references to relevant information are references to information

provided for inclusion in the directory or for use in the answering of

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directory enquiries; and

           (b)           references to a source of relevant information are references to a

communications provider or designated universal service provider

who provides relevant information.

 66    Review of compliance costs

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     (1)    OFCOM may from time to time review the extent (if any) of the financial

burden for a particular designated universal service provider of complying in

relation to any matter with any one or more of the universal service conditions

applied to him.

     (2)    Where—

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           (a)           regulations under section 62 require the financial burden of so

complying to be taken into account in determining whom to designate,

and

           (b)           the regulations provide for a particular method of calculating that

burden to be used for the purposes of that determination,

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            that must be the method of calculation applied on a review under this section.

     (3)    Where subsection (2) does not apply, the financial burden of so complying is to

be taken to be the amount calculated by OFCOM to be the net cost of

compliance after allowing for market benefits accruing to the designated

universal service provider from—

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           (a)           his designation; and

           (b)           the application to him of universal service conditions.

     (4)    After carrying out a review under this section OFCOM must either—

           (a)           cause the calculations made by them on the review to be audited by a

person who appears to them to be independent of designated universal

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service providers; or

           (b)           themselves carry out an audit of those calculations.

     (5)    OFCOM must ensure, in the case of every audit carried out under subsection

(4), that a report on the audit—

           (a)           is prepared; and

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           (b)           if not prepared by OFCOM, is provided to them.

     (6)    It shall be the duty of OFCOM, in the case of every review under this section,

to publish—

           (a)           their conclusions on the review; and

           (b)           a summary of the report of the audit which was carried out as respects

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the calculations made for the purposes of that review.

 

 

Communications Bill
Part 2 — Networks, services and the radio spectrum
Chapter 1 — Electronic communications networks and services

    66

 

     (7)    The publication of anything under subsection (6) must be a publication in such

manner as OFCOM consider appropriate for bringing it to the attention of the

persons who, in their opinion, are likely to be affected by it.

 67    Sharing of burden of universal service obligations

     (1)    This section applies where OFCOM—

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           (a)           have concluded, on a review under section 66, that complying in

relation to any matter with universal service conditions imposes a

financial burden on a particular designated universal service provider;

and

           (b)           have published that conclusion in accordance with that section.

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     (2)    OFCOM must determine, in the case of the designated universal service

provider, whether they consider it would be unfair for that provider to bear, or

to continue to bear, the whole or any part of so much of the burden.

     (3)    If—

           (a)           OFCOM determine that it would be unfair for the designated universal

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service provider to bear, or to continue to bear, the whole or a part of

the burden, and

           (b)           an application for a determination under this subsection is made to

OFCOM by that provider,

            OFCOM may determine that contributions are to be made by communications

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providers to whom general conditions are applicable for meeting that burden.

     (4)    The making of any of the following must be in accordance with regulations

made by OFCOM—

           (a)           a determination by OFCOM of the extent of the financial burden that

exists for the designated universal service provider of complying in

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relation to any matter with universal service conditions;

           (b)           an application for the purposes of subsection (3)(b);

           (c)           a determination by OFCOM of whether it is or would be unfair for the

designated universal service provider to bear, or to continue to bear,

the burden of complying in relation to any matter with universal

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service conditions;

           (d)           a determination of the extent (if any) to which that is or would be

unfair.

     (5)    The assessment, collection and distribution of contributions under subsection

(3) is not to be carried out except in accordance with a mechanism provided for

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in a scheme contained in regulations made by OFCOM.

     (6)    It shall be the duty of OFCOM to exercise their power to make regulations

under this section in the manner which they consider will secure that the

assessment, collection and distribution of contributions under subsection (3) is

carried out—

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           (a)           in an objective and transparent manner;

           (b)           in a manner that does not involve, or tend to give rise to, any undue

discrimination against particular communications providers or

particular designated universal service providers, or against a

particular description of them; and

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           (c)           in a manner that avoids, or (if that is impracticable) at least minimises,

any distortion of competition or of customer demand.

 

 

Communications Bill
Part 2 — Networks, services and the radio spectrum
Chapter 1 — Electronic communications networks and services

    67

 

     (7)    Regulations made by OFCOM under this section may provide for a scheme

containing the provision mentioned in subsection (5), and for any fund set up

for the purposes of such a scheme, to be administered either—

           (a)           by OFCOM; or

           (b)           by such other person as may be specified in the regulations.

5

     (8)    A person other than OFCOM is not to be specified in regulations under this

section as the administrator of such a scheme or fund unless he is a person who

OFCOM are satisfied is independent of both—

           (a)           the persons who are designated universal service providers; and

           (b)           communications providers to whom general conditions are applicable.

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     (9)    Section 392 applies to the powers of OFCOM to make regulations under this

section.

 68    Report on sharing mechanism

     (1)    This section applies where regulations under section 67 provide for a scheme

for the assessment, collection and distribution of contributions under

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subsection (3) of that section.

     (2)    OFCOM must prepare and publish a report setting out, in relation to the period

to which it applies—

           (a)           every determination by OFCOM that has had effect in relation to a time

in that period as a determination of the costs of providing anything

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contained in the universal service order;

           (b)           the market benefits for each designated universal service provider that

have accrued to him during that period from his designation and from

the application to him of universal service conditions; and

           (c)           the contribution made under section 67(3) by every person who has

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made a contribution during that period.

     (3)    The first report under this section must be prepared in relation to the period of

twelve months beginning with the coming into force of the first regulations to

be made under section 67.

     (4)    Every subsequent report must be prepared in relation to the period of twelve

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months beginning with the end of the period to which the previous report

applied.

     (5)    Every report under this section—

           (a)           must be prepared as soon as practicable after the end of the period to

which it is to apply; and

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           (b)           must be published as soon as practicable after its preparation is

complete.

     (6)    OFCOM is not required under this section—

           (a)           to publish any matter that is confidential in accordance with subsection

(7) or (8); or

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           (b)           to publish anything that it would not be reasonably practicable to

publish without disclosing such a matter.

     (7)    A matter is confidential under this subsection if—

           (a)           it relates specifically to the affairs of a particular body; and

 

 

Communications Bill
Part 2 — Networks, services and the radio spectrum
Chapter 1 — Electronic communications networks and services

    68

 

           (b)           publication of that matter would or might, in OFCOM’s opinion,

seriously and prejudicially affect the interests of that body.

     (8)    A matter is confidential under this subsection if—

           (a)           it relates to the private affairs of an individual; and

           (b)           publication of that matter would or might, in OFCOM’s opinion,

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seriously and prejudicially affect the interests of that individual.

     (9)    The publication of a report under this section must be a publication in such

manner as OFCOM consider appropriate for bringing it to the attention of the

persons who, in their opinion, are affected by the matters to which it relates.

Access-related conditions

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 69    Permitted subject-matter of access-related conditions

     (1)    The only conditions that may be set under section 41 as access-related

conditions are those authorised by this section.

     (2)    Access-related conditions may include conditions relating to the provision of

such network access and service interoperability as appears to OFCOM

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appropriate for the purpose of securing—

           (a)           efficiency on the part of communications providers and persons

making associated facilities available;

           (b)           sustainable competition between them; and

           (c)           the greatest possible benefit for the end-users of public electronic

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communications services.

     (3)    Access-related conditions may include conditions appearing to OFCOM to be

appropriate for securing that persons to whom the electronic communications

code applies participate, in cases where there are no viable alternative

arrangements that may be made, in arrangements for—

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           (a)           sharing the use of electronic communications apparatus; and

           (b)           apportioning and making contributions towards costs incurred in

relation to shared electronic communications apparatus.

     (4)    Access-related conditions may include one which—

           (a)           is of a technical or operational nature;

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           (b)           appears to OFCOM to be appropriate for securing the proper operation

of an electronic communications network in compliance with any SMP

services condition falling within section 83(3); and

           (c)           is applied to—

                  (i)                 a person who is required by such an SMP services condition to

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confer any entitlements to network access; or

                  (ii)                a person on whom such an entitlement is or may be conferred

in pursuance of a requirement imposed by such an SMP

services condition.

     (5)    Access-related conditions may include conditions containing any provision

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required by section 71(2).

 

 

 
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