Promoting effective competition between postal operators A consultation document

29 September 2000

Promoting effective competition between postal operators

A consultation document

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Executive summary

The Postal Services Act 2000 places a duty on Postcomm to exercise its functions in a manner which will further the interests of users of postal services, by promoting effective competition between postal operators. This consultation document is concerned with this duty. It is the first consultation document in what is expected to be a series of consultations on the issues involved in promoting effective competition between postal operators.

The Act also places a duty on Postcomm to seek to ensure the provision of a universal postal service. Issues relevant to how Postcomm might promote effective competition whilst seeking to ensure the provision of a universal postal service are explored later in this document.

This consultation document does not aim to analyse, assess or make recommendations on the various issues. Rather, Postcomm is interested at this stage in whether it has identified all the relevant issues, and the links between them. Questions on Postcomm’s approach have been identified throughout the document and you are invited to address these questions. There will be an opportunity in future consultation documents to give your views on, for example, the relative merits of the possible ways forward.

Postcomm would welcome the views of all interested parties. Responses to this consultation document are requested by 1 December 2000. Postcomm will consider its approach and work processes in the light of your comments and use this to inform the next stage of the process.

Table of contents

1. Introduction………………………………………………………………………………………………. 1

What is Postcomm?…………………………………………………………………………………… 1

Postcomm’s main duties……………………………………………………………………………… 1

The purpose of the document………………………………………………………………………. 1

Layout of this document……………………………………………………………………………… 2

How to respond………………………………………………………………………………………… 2

Indicative timetable……………………………………………………………………………………. 2

Confidentiality of responses………………………………………………………………………… 3

2. Promoting effective competition between postal operators…………………………. 4

What is effective competition?…………………………………………………………………….. 4

how best to create a regulatory environment that promotes effective competition between postal operators 5

The features of the postal services market…………………………………………………….. 5

Understanding the potential for successful entry……………………………………………. 6

Taking account of international developments……………………………………………… 10

Summary………………………………………………………………………………………………… 11

3. Seeking to Ensure the Provision of the Universal Postal Service…………………. 12

Postcomm’s duties in respect of the universal postal service………………………….. 12

The interaction between the promotion of effective competition and seeking to ensure the provision of the universal postal service 13

Further work…………………………………………………………………………………………… 14

Summary………………………

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