Accessibility, including elements of complete territory coverage, non-discrimination, physical access regardless of disability or age, requires industries concerned to put an end to disconnection. Furthermore this obligation should be implemented with affordable price, because accessibility with high price can not be accepted. The obligations of accessibility with affordable price are attempts to lower the charges for access to the network for the economic reason to enhance the value of the whole system in the beginning. But these obligations are generally accepted in telecommunication and postal utilities but far more controversial in the energy and water utilities. The main reason is the absence of an economic argument to justify a low-user tariff on the grounds of easier access to the network, increasing its value to users as a whole. So implementing these obligations broader in telecommunication and postal sectors and putting them into practice in other sectors have suggested a move towards a special tariff system targeted to meet the demands of social policy rather than simply reflecting the economic of maximizing the value of the system. Affordable price should be related to the goal of general accessibility for specific categories of customers. With regard to affordable price, another account should be taken of the distinction between affordable price and discriminatory price. The two concepts do not controversial because of their different rationales.
Quality refers to a defined minimum service satisfying specific needs, which is different with quality in obligations of pure natural monopoly. This concept is so vague and evolutionary that it can not be setting generally and internationally. Vagueness gives rise to obstacles in the preliminary transaction and evolution troubles the future negotiation. So as the Commission said, there is a risk that these rights as set out in Community legislation remain theoretical, even where they are formally transposed in national legislation. And the implementation is still the problem. Then how could “universal service obligations” be called “universal”? The process of harmonization should be on a long way!
4.2.2 Other Social Obligations
Except universal service obligations, there are other social obligations such as safety and security, security of supply, environmental protection and availability of redress mechanism. Here it should be noted that availability of redress mechanism is a quite useful tools to protect the interest of consumers and should be studied more. The nationals of these obligations are based on value judgments of authorities. The common practices in Member States can be defined in Community level by the Commission.
4.3 Obligations of Competition
Restricted as their effect is discussed above, the obligations of competition are devised to greatly reduce the regulatory intervention in the market. But because of the advantages of competition, it is the responsibilities for the Commission to protect and maximize competitive opportunities. However industries of public service differ notably in their profitability, their production structure, their capital intensity, their methods of service delivery, and their demand structure. So it is impossible for the Commission to develop uniform obligations of competition. Under the circumstances of these industries three types of regulatory strategies will be discussed below.
Hourly technological changes bring diversity of product in telecommunication, postal and broadcasting sectors and the relevant market transparency is becoming relatively low. According to the theory of effective competition there are prerequisites to construct effectively competitive markets in telecommunication and postal sectors. Firstly it is indispensable that the new entries should have freedom access to the market so as to produce competitors. Secondly, the incumbent must have the obligation to negotiate interconnection their networks. Thirdly, competitors have the right to construct its own networks or use the incumbent’s infrastructure. One special problem should be noted here is that because of fierce competition predatory behaviour which may not exist in the other sectors should be prohibited through the form of maximum prices.
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