Brussels gets tough on postal markets

Brussels will on Tuesday attempt to prevent backsliding by EU countries over reform of domestic postal markets, warning that practical barriers to competition as well as legal monopolies need to be removed.

European Commission officials are expected to tell a high-level conference – involving two commissioners and several ministers – that countries need to be proactive about changing practices in their postal markets or risk facing infringement actions.

Unusually, the move comes only four months after the 2008 postal directive took effect, requiring most EU countries to open fully their postal markets by the end of 2010.

However, the EU internal markets commissioner has already written to eight states – including Germany, Holland and Belgium – warning that “reforms at national level must be pursued rigorously”, and Tuesday’s event reflects worries that there could be some backsliding from the directive’s aims by member states.

EU officials are concerned, in particular, that practical obstacles may be used to prevent the opening up of postal markets, even if the required legal changes are made.
Another potential restriction is the extent to which countries are demanding that competitors provide universal service, covering a country’s entire geographical area.

Slovakia, meanwhile, has already come under fire from the Commission’s competition arm over a new law which Brussels claims extends the monopoly held by Slovenska Posta to so-called ”hybrid mail” services, used by banks, insurers, utilities and the like for mass mailings.