Retail International Leased Lines

Notification of Draft Measures Pursuant to Article 7(3) of the Directive 2002/21/EC

Under the obligation in Article 16 of the Directive 2002/21/EC, ComReg, has conducted an analysis of the market for retail international leased lines in Ireland.

Under Article 6 of the Directive 2002/21/EC, ComReg has conducted a national consultation, contained in ComReg document 04/59. This consultation ran from 04 June to 16 July 2004. The responses to this consultation (ComReg document 04/60) have been taken into consideration and ComReg has now reached decisions in market definition, designation of SMP and regulatory obligations, which are contained in ComReg document 04/120.

ComReg hereby notifies the Commission of its proposed removal of obligations consistent with Article 7(3) of Directive 2002/21/EC.

Section 1 - Market Definition

Please state where applicable:

1.1 / The affected relevant product/service market (s).
(Market Definition)
Is this market mentioned in the Recommendation on relevant markets? / The market for Retail International Leased Lines has been analysed and found not to be a relevant market, subject to ex ante regulation.
No / 5 – 15
1.2 / The affected relevant geographic market (s) / The national market of Ireland. / 9 – 10
1.3 / A brief summary of the opinion of the national competition authority where provided; / Not required.
1.4 / A brief overview of the results of the public consultation to date on the proposed market definition (for example,how many comments were received, which respondents agreed with the proposed market definition, which respondentsdisagreed with it) / The views of respondents on the market definition are contained in this document in Section 3. There were three respondents to the consultation:
  • eircom
  • EsatBT
  • Alto
/ 5 - 10
1.5 / Where the defined relevant market is different from those listed in the recommendation on relevant markets, asummary of the main reasons which justified the proposed market definition by reference to Section 2 of theCommission's Guidelines on the definition of the relevant market and the assessment of significant market power[1], and the three main criteria mentioned in recitals 9 to 16 of the recommendation on relevant marketsand Section 3.2 of the accompanying Explanatory Memorandum[2]. / ComReg has reviewed this market in order to assess if it is appropriate to maintain, withdraw or amend the existing regulation and considering the provisions of Article 16(3) of the Universal Service Directive. This was transposed into Irish law, by Regulation 14(9) of the Universal Service Regulations and Article 20(3) of the Framework Regulations.
ComReg concludes that this is not a relevant market subject to ex ante regulation. / 2, 16 - 23

Section 2 - Designation of undertakings with significant market power

Please state where applicable:

2.1 / The name(s) of the undertaking(s) designated as having individually or jointly significant market power.Where applicable, the name(s) of the undertaking(s) which is (are) considered to no longer have significant marketpower / No operator has been designated with SMP. / 16 - 23
2.2 / The criteria relied upon for deciding to designate or not an undertaking as having individually or jointly with otherssignificant market power / No operator has been designated with SMP. / 16 - 23
2.3 / The name of the main undertakings (competitors) present/active in the relevant market. /
  • Cable and Wireless
  • Colt
  • eircom
  • EsatBT
  • Energis
  • Global Crossing
  • MCI
  • CVC Acquisitions Company

2.4 / The market shares of the undertakings mentioned above and the basis of their calculation (e.g., turnover, number of
subscribers) / Section 4 / 17 - 18

Please provide a brief summary of:

2.5 / The opinion of the national competition authority, where provided / Not required
2.6 / The results of the public consultation to date on the proposed designation(s) as undertaking(s) having significantmarket power (e.g., total number of comments received, numbers agreeing/disagreeing) / There were three respondents to the consultation and their views are contained in Section 4 of this document:
  • eircom
  • EsatBT
  • Alto

Section 3 - Regulatory Obligations

Please state where applicable:

3.1 / The legal basis for the obligations to be imposed, maintained, amended or withdrawn (Articles 9 to 13 of Directive2002/19/EC (Access Directive))
3.2 / The reasons for which the imposition, maintenance or amendment of obligations on undertakings is consideredproportional and justified in the light of the objectives laid down in Article 8 of Directive 2002/21/EC (FrameworkDirective). Alternatively, indicate the paragraphs, sections or pages of the draft measure where such information is
to be found / Market if effectively competitive.
Propose to withdraw obligations. / 16 – 23
29
3.3 / If the remedies proposed are other than those set out in Articles 9 to 13 of Directive 2002/19/EC (Access Directive),please indicate which are the ‘exceptional circumstances’ within the meaning of Article 8(3) thereof which
justify the imposition of such remedies. Alternatively, indicate the paragraphs, sections or pages of the draftmeasure where such information is to be found

Section 4 - Compliance with international obligations

In relation to the third indent of the first subparagraph of Article 8(3) of Directive 2002/19/EC (Access Directive), please state where applicable:

4.1 / Whether the proposed draft measure intends to impose, amend or withdraw obligations on market players as
provided for in Article 8(5) of Directive 2002/19/EC (Access Directive) / Propose to withdraw obligations. / 29
4.2 / The name(s) of the undertaking(s) concerned / Not Applicable
4.3 / Which are the international commitments entered by the Community and its Member States that need to be
respected / Not Applicable

1 ComReg 04/120

[1]Commission guidelines on market analysis and the assessment of significant market power under the Community regulatory framework for electronic communications and services, OJ C 165, 11.7.2002, p. 6.

[2]Commission Recommendation of 11.2.2003 on Relevant Product and Service Markets with the electronic communications sector susceptible to ex ante regulation in accordance with Directive 2002/21/EC of the European Parliament and of the Council on a common regulatory framework for ECNs and ECSs, C (2003) 497