The Spanish Comisión del Mercado de las Telecomunicaciones (CMT) has today published a detailed resolution (dated 25 March 2004), in which it determined that the net cost to Telefónica de España, being the designated provider of Universal Service in the year 2002, was €110.1 million.
The CMT revised downward the figures put forward by Telefónica (which had claimed a total amount of €233.8 million), including amounts to cover the provision of:
- telephony in non-profitable zones
- telephony to users benefiting from special social tariffs
- special services to disabled users
and deducted €71.4 million worth of immaterial benefits accruing to Telefónica by virtue of being the provider of Universal Service throughout Spain.
The CMT concluded that the net cost of €110.1 million did not constitute an unfair burden for Telefónica (and noted that fixed-to-mobile substitution is not having an impact justifying a compensation), and hence no system of sector financing of Universal Service is being activated for the year 2002.
Note 1: Telefónica did not claim any compensation for the provision of public pay telephones. This stands in sharp contrast with the situation in other EU Member States.
Note 2: Four out of nine CMT Commissioners voted against the CMT resolution. Their statements of objection are appended to the CMT resolution.