Beware face value

Wednesday’s news release from the UK regulator was published under the unpromising heading of ‘Strengthening Ofcom’s consumer protection powers’.  Further examination revealed that UK legislation is being amended “as a result of revisions to the EU Electronic Communications Framework”.  So far, so bland.  But tucked away in the regulatory small print are some much more significant changes.  OK, so imposing a retail price cap on premium rate numbers is unlikely to set the pulse racing, but dig a little further… 

First we learn that the government proposes to widen Ofcom’s discretionary powers to recover costs in resolving disputes between warring parties. Apparently, the aim of this is ‘to encourage alternative dispute resolution where appropriate’ but I wonder whether many of those involved in disputes with BT would be persuaded by this rationale.

Secondly, in the context of net neutrality, Ofcom is expecting the revised EU Framework to grant it new traffic management powers, including the ability to require additional consumer information and to set a minimum broadband quality of service. ”This quality of service could be a minimum broadband speed to ensure a basic level of access for consumers”.  Watch this space.

Finally, Ofcom seems determined to extend infrastructure-sharing obligations beyond the BT network:

“As a result of revisions to the Framework Directive, the government intends to revise the Communications Act to empower Ofcom to require infrastructure sharing, including in cases where there is an absence of significant market power”.

This might be seen as a response to the complaints by Sky and others that it is ‘increasingly anomalous’ that Virgin Media’s cable network is closed to competition while BT's infrastructure is not. 

Appearances can be deceptive…