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Best practices to support the defining of adequate broadband internet access service

Starting: 10 Dec Ending

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P68

Sweden introduced a broadband USO in 2011. The current broadband USO was introduced in 2018 via Ministry decisions (on bandwidth and funding). The broadband universal service obligation covers the availability of connection. It applies to all primary residential premises or permanent establishments.

A list of online services based on social and digital inclusion (which reflects the listing of Annex V) was used to estimate the bandwidth needed for USO. A model was developed and used to estimate the connectivity levels (in Mbit/s) and investment needed. PTS data on infrastructure coverage is used to inform the model. PTS examined the cost of implementing 3 Mbit/s, 5 Mbit/s and 10 Mbit/s in 2017.

PTS estimates that, at present, approximately 300 households and permanent establishments lack commercially offered internet access. When an end-user notifies PTS of their inability to secure a broadband connection and meets certain requirements (where the cost of connection exceeds 5,000 SEK[79] (€464.55), PTS will secure an appropriate solution (not exceeding 400,000 SEK (€37,164)) which provides the end-user with functional internet access (specified in a Governmental regulation at a minimum speed of 10 Mbit/s). Where there is an indication of a lack of fixed infrastructure coverage, PTS investigates the availability of internet subscriptions via wireless infrastructure at these locations.

No QoS targets were set. No affordability targets were set. The broadband USO is currently funded by the State.

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P69

United Kingdom[80]

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Figure 39: United Kingdom


Figure 40: United Kingdom (continued)

P70

The United Kingdom introduced a broadband USO in March 2020. Legislation[81] was passed by Government in March 2018, Ofcom is now implementing it, with consumers able to commence making requests in March 2020. The legislation enshrines “affordable broadband connections and services must be provided throughout the United Kingdom”. It applies to premises of fixed location which is a residence or business and has a capped cost of connection per premise of £3,400 (taking into account shared infrastructure costs) in addition to other eligibility criteria that consumers must meet. The speed has been set at 10 Mbit/s by the United Kingdom government following technical advice from Ofcom. Ofcom set out its view that 10 Mbit/s was sufficient to allow multiple users to simultaneously use in the internet, including web browsing, video streaming, video calling and gaming in technical advice commissioned by the Government in 2016.[82] The Government considered multiple options including a standard broadband service, characterised by only a download speed of 10 Mbit/s; a superfast broadband service, characterised with download speeds of 30 Mbit/s but chose a more highly specified standard broadband service of 10 Mbit/s adding a specification of an upload speed of (1 Mbit/s), latency (medium response time), maximum sharing between customers (a contention ratio of 50:1), and a defined data cap based on current usage profiles (100GB per month), which it considered balanced end-users needs with the proportionality of costs to industry. The technical specification had an upload speed of 1 Mbit/s which was considered beneficial to meet the needs of small businesses who may be eligible for the USO.

The Government Order stated that affordable broadband connections and services must be provided throughout the United Kingdom with the bandwidth characteristics set out in the table above. Ofcom introduced a threshold for an affordable price at £45 per month including VAT, connection charges, monthly payments and other broadband charges.[83] This means that customers who do not have access to a service below £45[84] may be eligible to apply for the USO, depending on other eligibility criteria. To ensure an affordable USO, UPSs must offer uniform pricing – connections and services at the same prices as equivalent services they offer to non-USO customers. BT also committed to offering at least one broadband connection and service that meets the USO specification at no more than £45, where they are the only provider, therefore providing a further affordability safeguard for BT customers.

Ofcom used the evaluation criteria set out in the table above, which was largely considered in Ofcom’s technical advice to Government published in December 2016.

Ofcom provides analysis on the technical specification necessary to enable digital participation in society. Whilst both Ofcom and the Government considered what the USO should allow consumers to do, it was a high level/general approach i.e. it must deliver digital inclusion including but not limited to web browsing, video calling etc. In reality all of the activities listed in Annex V of the new Directive are likely to be possible through the USO specification.

The designation was based on seeking expressions of interest from operators which were then objectively evaluated against a defined set of criteria. Ofcom did not specify regional areas, asking operators to define the area in which they sought to be the USP. Ofcom did however stipulate that the smallest designation area that it would be willing to designate was a ‘local authority level’ provided that the specified area contained at least 5,000 eligible USO premises. Ofcom designated two USPs after receiving expressions of interest from 8 providers; (BT (incumbent) and KCOM (incumbent in the Hull area)). This designation is not time bounded. Ofcom then consulted on the process of direct designation before recommending BT and KCOM be designated.

This obligation will apply to both availability and affordability of a broadband connection. The criteria used are outlined in the table above.

Ofcom will monitor broadband USO compliance through performance reporting and record keeping requirements imposed on the USPs and have indicated that it will use formal information gathering powers to monitor the USPs performance against its obligations if they identify any areas of concern. USPs will be required to submit data to Ofcom on a regular basis which will be used to monitor compliance.

QoS targets have been defined for the USPs. They are obliged to provide the same QoS as they deliver to consumers connected on a commercial basis. Ofcom consider that commercial pressures and existing regulations ensure a good QoS for consumers connected on a commercial basis, and therefore linking USO QoS to this level will ensure that USO consumers are not worse off than non-USO consumers.

The Government Order stipulated that the USO would be industry funded. Government cited the fact that it had already committed considerable public spending to superfast broadband and improving connectivity and that an industry fund would ensure that the USO would be financed in the absence of additional public funding to support it. Ofcom will consult on funding regulations in the autumn of 2019.

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P71

Belgium

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P73

Different BIPT tools allow monitoring:
Availability via the BIPT coverage map https://www.bipt-data.be/en;

Quality via the barometer https://www.bipt-data.be/en

Affordability via the tariff comparison tool (http://www.bestetarief.be/index.php )

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P74

Croatia

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P75

None provided

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P76

Finland

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P77

Designation area - https://www.traficom.fi/sites/de-fault/files/media/regulation/Viestintapalvelujen_tarjontaan_velvollis-ten_yleispalveluyritysten_nimeamisessa_noudatettava_menettely.pdf

According to third paragraph of Finnish Information Society Code (ISC), section 85, Traficom shall amend USO decision if there are significant changes to the matters on which the decision is based. See:
https://www.finlex.fi/fi/laki/kaannokset/2014/en20140917.pdf

Funding - Please see Section 94 of Information Society Code: https://www.finlex.fi/fi/laki/kaannokset/2014/en20140917.pdf. The funding has never been used.

Other relevant publications
Traficom's website about right to basic communications services: https://www.traficom.fi/en/communications/broadband-and-telephone/your-right-basic-communications-services
National legislation (information society code): https://www.finlex.fi/fi/laki/kaannokset/2014/en20140917.pdf. USO is covered in sections 85 to 94.
Memorandum about the process of naming companies obligated to offer universal services (in Finnish): http://pilvi.viestintavirasto.fi/attachments/toimialatieto/Viestintapalvelujen_tarjontaan_velvollisten_yleispalveluyritysten_nimeamisessa_noudatettava_menettely.pdf
Government decree about minimum requirements set for universal phone services for disabled end-users (so called symmetrical broadband connection, in Finnish): https://www.finlex.fi/fi/laki/alkup/2014/20141247
Traficom's Memorandum on how to estimate a reasonable price for a universal communication services for phone and/or broadband (in Finnish): http://pilvi.viestintavirasto.fi/attachments/toimialatieto/UUSI_Muistio_yleispalvelun_hinnoittelun_kohtuullisuuden_arvioinnista_2.pdf
Regulation 58 on the quality and universal service of communications networks and services: https://www.finlex.fi/data/normit/42162/M58B2014MEN.pdf
Decree on companies obligated to offer USO internet connection (in Finnish): https://www.trafi-com.fi/sites/default/files/media/regulation/Yleispalve-lupaatas_laajakaista_2016_Elisa__DNA_ja_TSF.pdf
Memorandum for above mentioned decree (in Finnish): https://www.traficom.fi/sites/de-fault/files/media/regulation/Yleispalvelupaatosten_perustelumuistio_1029_921_2016.pdf

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P78

Malta

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P79

Ensuring Universal Access to a Broadband Connection – A review of the definition of functional Internet Access, within the context of the Universal Service Requirement Consultation Paper – 14 September 2010
https://www.mca.org.mt/sites/default/files/consultations/uso-broadband-cons-sep10.pdf

Provision of Access at a Fixed Location – Requirements to be complied with by the Universal Service Provider in relation to Functional Internet Access -Proposed Decision and Request for Interest in the provision of the Universal Service - 11th May 2011

https://www.mca.org.mt/sites/default/files/consultations/bb-uso-pdecision110511.pdf

Provision of Access at a Fixed Location – Requirements to be complied with by the Universal Service Provider in relation to Functional Internet Access – Response to Consultation and Decision Notice – 21st June 2011 https://www.mca.org.mt/sites/default/files/decisions/bb-uso-decision-notice-published-2012-21-st-june-2011-final.pdf

Consultation on Universal Service Obligations on Electronic Communication Services
5th November 2014

https://www.mca.org.mt/sites/default/files/consultations/Consultation%20on%20the%20Universal%20Service%20Obligations%20on%20ECS.pdf

Decision on Universal Service Obligations on Electronic Communication Services 12th May 2015https://www.mca.org.mt/sites/default/files/USO%20Decision%202015_0.pdf

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P80

Slovenia

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P81

Analysis link (only in Slovenian language):

https://www.akos-rs.si/files/Javna_posvetovanja/2017/22_12/Analiza-funkcionalnega-dostopa-do-interneta.pdf

Analysis of household demand for higher speeds of Internet access and e-content and Monthly household expenditure on electronic communications services (only in Slovenian language):

https://www.akos-rs.si/raziskava-o-mesecnih-izdatkih-gospodinjstev-za-storitve-elektronskih-komunikacij-v-oktobru-2018-in-analiza-stanja-povprasevanja-po-visjih-hitrostih-dostopa-do-interneta-in-e-vsebinah

General Legal Act on data transfer rates suitable for functional internet access (only in Slovenian language):

https://www.uradni-list.si/glasilo-uradni-list-rs/vsebina/2018-01-1155?sop=2018-01-1155

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P82

General Legal Act on Quality of Universal service (only in Slovenian language):

https://www.uradni-list.si/glasilo-uradni-list-rs/vsebina/2018-01-1154?sop=2018-01-1154

General Act on the manner of criteria observance in respect of price options offered for determination of packages to be used by low-income customers or customers with special needs in the framework of the Universal service provision (only in Slovenian language):

https://www.uradni-list.si/glasilo-uradni-list-rs/vsebina/2013-01-2490?sop=2013-01-2490

General Legal Act on the method for calculating the net costs of universal service (only in Slovenian language):

https://www.uradni-list.si/glasilo-uradni-list-rs/vsebina/2018-01-1156?sop=2018-01-1156

Decree on measures for disabled end-users (only in Slovenian language):

https://www.uradni-list.si/glasilo-uradni-list-rs/vsebina/2014-01-1598?sop=2014-01-1598

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P83

Spain

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P84

Sustainable Economy Act 2/2011, March 4.
https://www.boe.es/buscar/act.php?id=BOE-A-2011-4117

Impact Analysis Report of Sustainable Economy Act 2/2011, of March 4
http://www.minhafp.gob.es/Documentacion/Publico/GabineteMinistro/Varios/100319%20Memoria%20LES%20corta.pdf

General Telecommunications Act 9/2014, of May 9.
https://www.boe.es/buscar/act.php?id=BOE-A-2014-4950

Order ETU/1973/2016, of December 23, designating Telefonica España, SAU, as the universal service provider for the elements concerning the connection to the public network of electronic communications and the telephonic service available to the public and the
https://www.boe.es/diario_boe/txt.php?id=BOE-A-2016-12448

Order IET/190/2014, of June 16, regulating the conditions concerning the quality of the service in the provision of electronic communication services.
https://www.boe.es/buscar/doc.php?id=BOE-A-2014-6729

Royal Decree 726/2011, modifying the Regulation on the conditions for the provision of electronic communications services, the universal service and the protection of consumers established by Royal Decree 424/2005, of April 15.
https://www.boe.es/diario_boe/txt.php?id=BOE-A-2011-9012

Royal Decree 424/2005, of April 15, establishing the Regulation on the conditions for the provision of electronic communications services, the universal service and the protection of consumers.
https://www.boe.es/buscar/doc.php?id=BOE-A-2005-6970

Order PRE/531/2007, of March 5, publicising the agreement of the Delegated Commission of the Government for Economic Matters, of January 23, 2007, approving the conditions to guarantee the affordability of the offers applicable to the services included in the universal service.
https://www.boe.es/buscar/doc.php?id=BOE-A-2007-5043


Annual Plan for the Inspection of Telecommunications
https://avancedigital.gob.es/inspeccion-telecomunicaciones/Paginas/PAIT.aspx

Recent CNMC Decisions on the determination of the operators obliged to contribute to the national fund of the universal service
https://www.cnmc.es/en/ambitos-de-actuacion/telecomunicaciones/servicio-universal-contabilidad-regulatoria

Public consultation on the Universal Service: Designation process of the universal provider and other aspects (2009)
https://avancedigital.gob.es/es-ES/Participacion/Documents/Banda%20ancha/Texto_consulta_servicio_universal.pdf

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