Postcomm advises on the European Postal Services Directive
Postcomm today published its advice to the Secretary of State for Trade and
Industry on how best to implement the new European Directive on postal
services. This follows a consultation seeking views on options for
implementation of the provisions in the Directive.
The Directive reduces the part of the postal market that can be reserved to
national monopoly postal operators from 350 grams to post weighing 100g from
1 January 2003 and 50g from 1 January 2006.
In the UK, Royal Mail and competing companies are licensed by Postcomm to
provide postal services. At present licenses are required to handle mail weighing
350g or less and costing less than £1.
Postcomm recommends keeping UK licensing at the present limit. If agreed, this
would be on the basis that licences above 100 grams (80p) after 1 January 2003
and 50 grams (65p) after 1 January 2006 would be granted by Postcomm with no
restrictions on the nature of the services provided. Postcomm concludes that
this is the best way to safeguard the universal service and to ensure that postal
users benefit from competition in the early stages of market opening.
Postcomm also recommends that changes should be made to its statutory
licensing powers so that it is clear that it can only licence services that fall within
the scope of the universal service.
Both these recommendations would require amendment of the Postal Services
Act 2000. Implementation is a matter for the Secretary of State.
The consultation also looked at implementing a number of other provisions in
the Directive concerning transparency and non-discrimination in relation to
special tariffs, prohibition of cross-subsidisation and complaint handling to
protect users of postal services. Postcomm recommends that these changes be
made through modifications to Royal Mail’s licence. Royal Mail has already
agreed to all the necessary changes being made.
The Postal Services Directive 2002/39/EC was adopted on 10 June 2002. It
amends Directive 97/67/EC with regard to the further opening of competition in
Community postal services. Member States are required to implement the
Directive by 1 January 2003.
The Secretary of State for Trade and Industry is responsible for implementing the
new Directive in the UK but as the Directive affects the regulatory regime under
which Postcomm operates, she asked Postcomm to carry out the necessary
consultations and to provide her with advice on how best to implement the
Directive’s provisions. On 4 September, Postcomm issued a consultation
document seeking views on options for implementation of the Directive.
The text of the advice to the Secretary of State, Implementation of the European
Directive on Postal Services in the UK, can be found on Postcomm’s website
www.postcomm.gov.uk. Copies are also available from Postcomm at 6 Hercules
Road, London SE1 7DB.
Postcomm – the Postal Services Commission – is an independent regulator. It has been
set up to further the interests of users of postal services. Postcomm’s main tasks are to:
Seek to ensure a universal postal service at an affordable uniform tariff
Encourage competition in postal services
License postal operators
Control Consignia’s prices and quality of service
Give advice to Government on the future of the post office network.
Postcomm’s policies are steered by a board of seven commissioners, headed by the
chairman, Graham Corbett CBE.
More information: Chris Webb Tel 020 7593 2114
Mobile 07779 635881
E [email protected].
or [email protected]
Jonathan Rooper Tel 020 7766 1210
Pager 07693 352732
E [email protected]
