German Federal Network Agency approves postal rates for 2008
The Federal Network Agency today approved the rates for 2008 for letters weighing not more than 1000g in Deutsche Post AG’s (DPAG) letter service. Approval took place under the price cap regime.
The rates for private customers remain unchanged. Rates for bulk mail, that is to say for conveyance services with a minimum of 50 letter items posted, will be subject only to ex post controls by the Agency once DPAG’s exclusive licence expires on 1 January 2008.
“Our price cap decisions have kept prices stable for private customers since 2003”, Agency President, Matthias Kurth, said. “In comparison, price levels in most European countries have increased substantially over this period, countries such as France, the UK, the Netherlands, Denmark and Portugal having granted the regulated postal companies scope to raise prices.”
Today’s approvals were preceded by a benchmarking decision in which the basis for postage was fixed for the next four years. The price level for the years 2008 to 2011 results from the difference between the rate of inflation and the rate of growth in productivity. In the 2008 price cap round both benchmarks were approximately the same, so that the price level remained unchanged.
