Act being modernized
Fast, nationwide expansion of gigabit networks is also the German government's declared aim in amending the Telecommunications Act. It also marks the implementation of the European Electronic Communications Code, which entered into force on December 20, 2018 and paves the way for a more modern legal framework in Germany. Issues such as market regulation, approval procedures, frequency policy, consumer protection, and universal service are key points in the forthcoming amendment to the Telecommunications Act. At the same time, the modernization of the Telecommunications Act creates legal foundations for the German government's plans in the coalition agreement. Two ministries - the Federal Ministry for Economic Affairs and Energy and the Federal Ministry of Transport and Digital Infrastructure - are responsible for implementing the EU Code and drafting the Act.
Necessary modification to drive investment in new networks
To carry out the required network build-out, Deutsche Telekom believes that greater scope and legal certainty is required for investment and collaboration projects. Obstacles in the way of expansion also need to be removed. This is the only way it is going to be possible to expand fiber and 5G in Germany. The amendment to the Telecommunications Act will be largely measured by whether it manages to create investment incentives and cut red tape. The burden on investing network operators needs to be reduced and not increased even further.
Deutsche Telekom considers there to be a need for further clarification in some points of the amendment to the Telecommunications Act. One important feature, for example, is a legally binding deadline of three months for approving new cell towers. It would be damaging if the use of an operator's own mobile communications network by another provider at regulated prices and conditions were to be fostered by the Act. This would weaken companies that actually build out networks. National roaming means that no new cell towers will be built and not a single mobile coverage gap in Germany will be closed. The approval procedure also urgently needs streamlining in terms of laying cables and the use of innovative new methods for cable laying needs to be made easier.
If consumers are going to benefit from fiber lines quickly, focus needs to be placed on introducing open-access models that give users greater freedom of choice in terms of products and providers. Open access means that fiber networks are open to third parties - on the basis of freely negotiated conditions that are, however, legally protected.
Discontinuing the transferability of telecommunications costs (the automatic inclusion of cable TV fees in ancillary rental costs) will also give users more freedom of choice. As soon as telecommunications costs are no longer allowed to be included in the rental costs, tenants will have far more choice when selecting their TV and broadband provider - and at fair prices. In addition, the expansion of fiber networks to residences will no longer be blocked.
SA