No uniform surcharge for calling a foreign mobile network

OPTA will not allow KPN to introduce a uniform surcharge over and above the charge levied for calling from a fixed phone to a foreign mobile network. OPTA is of the opinion that such a tax surcharge must reflect the actual costs involved. This surcharge will therefore differ from one country to the next. OPTA will also investigate whether the prices that KPN is required to pay to foreign dominant providers for transmitting a call to a mobile network can be reduced any further in the countries concerned. Because KPN has undertaken to assist with this, OPTA has agreed to the introduction of differentiated surcharges.

KPN recently presented OPTA with a proposal to raise the tariff charged for calling a mobile network in 21 countries by a uniform tariff of 47 cents (excluding VAT). OPTA ruled that a uniform surcharge does not constitute passing on charges in accordance with bilateral agreements entered into with foreign dominant providers of landline services concerning the tariffs payable for the termination of calls on mobile networks in those countries. These charges differ greatly in some cases. OPTA has not consented to a uniform surcharge.

At present, such surcharges now differ from one country to the next to reflect the agreed price for routing telephone calls to mobile networks in the country concerned. Differentiation on this basis will ensure that Dutch consumers who call a mobile network in a ‘cheap’ country will not subsidise calls to another ‘expensive’ one. In addition, the various surcharges will now be visible and hence more susceptible to price incentives provided by competitors.

OPTA would also like to subject those arrangements which KPN has made with the 21 dominant foreign providers for the transmission of calls to a mobile network in another country to closer scrutiny. OPTA is of the opinion that these providers should not be allowed to treat incoming calls from the Netherlands differently in financial terms from domestic calls from a landline to a mobile phone. KPN has given an undertaking to assist with this. In the European Member States the national regulatory authorities may be called on to help where necessary. If transmission can occur at a more affordable tariff, KPN must pass on any such reduction to its customers. KPN will report to OPTA on this within three months.

Since KPN has acceded to OPTA’s demands in relation to differentiated surcharges and transmission tariffs, OPTA has consented to the introduction of these surcharges.* This introduction is necessary to ensure that telephone calls from abroad to mobile networks in other countries are not routed through the Netherlands at KPN’s expense. Re-routing them in this way could be profitable, because KPN has recently lowered its international tariffs substantially.