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The European Parliament (EP) industry committee’s overwhelming su...

The European Parliament (EP) industry committee’s overwhelming support for international mobile roaming rate caps will send a “clear signal” to consumers and the telecom industry, Austrian MEP Paul Rubig said Thurs. Rubig, who authored the official report for the…

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Industry, Research & Energy (ITRE) committee on the EC plan to regulate wholesale and retail roaming charges, said the 49-3 vote will also put lawmakers in a strong bargaining position with the Council of Ministers. ITRE, in cooperation with the internal market committee (IMCO), has taken the lead on the proposal and was the last of several EP panels to vote on it before it comes up next month in plenary. MEPs backed a compromise package of 17 amendments, winnowed down from 348 originally filed in ITRE alone, Rubig said. One key amendment sets a maximum price mobile operators can charge each other for handling roaming calls from other networks of 0.23 euro cents, twice the average transmission rate across the 27 member countries. At the retail level, the “European consumer protection tariff” would allow companies to charge no more than 40 euro cents per minute to make roaming calls, and 15 euro cents per minute to receive them, well below the numbers suggested by the EC and Council, Rubig said. Prices were set in anticipation of a likely industry legal challenge, he said. On another major issue, ITRE approved an opt-out scheme requiring operators automatically to shift customers to the EU tariff unless they opt for a lower-priced package. Wholesale rates will kick in immediately for mobile operators, one month later for consumers, Rubig said. Legislators also approved an automatic “push” SMS system to alert roaming consumers about the rates, and a freephone number where they can get information on roaming and texting prices. In addition, phones must display an icon when a user is outside his or her home country. The regulation will sunset in 3 years if the EC determines the roaming market to be competitive, Rubig said; if not, a fresh initiative will be necessary. ITRE is “at odds” with the EC over the need for clear rates for data transfers, he said; the panel wants them established now. Still, he said, the compromise, which adopted many of IMCO’s amendments as well, gives the EP a “strong negotiating mandate.” Information Society & Media Comr. Viviane Reding said the vote showed that “loudly, the bell is now tolling for international mobile roaming charges in Europe.” All parliamentary committees charged with considering her proposal have signaled support for wholesale and retail regulation and greater price openness, she said. Mobile operators, not surprisingly, were less enthusiastic. They want any Euro tariff to be set at least 65 euro cents for making and 35 for receiving calls. In addition, they urged the EC to let operators and their customers decide on rate schemes instead of being stuck with caps.