HAKOM: Amendments to the Ordinance will make the Sale of Telecommunication Services Clear and more Transparent

Draft amendment to the Ordinance on the manner and conditions for the provision of electronic communications networks and services for which the public consultation procedure has been launched includes the provisions providing a clear and transparent conclusion of contracts in the electronic communications in case of remote conclusion of contracts or sale outside the provider’s shop.The provisions also equalize the minimum internet connection speeds compared to the maximum (advertised) speed for all service packages on the market.

ZAGREB, 13 January 2016 – The Croatian Regulatory Authority for Network Industries (HAKOM) has launched a public consultation procedure with the interested public for the Draft amendments to the Ordinance on the manner and conditions for the provision of electronic communications networks and services. Draft amendments primarily include the provisions ensuring a clear and transparent conclusion of the contract in the electronic communications in case of signing contracts online or sale outside the provider’s shop. The provisions also equalize the minimum Internet connection speeds compared to the maximum (advertised) speed for all packages on the market. A public consultation lasts for 30 days.

Pursuant to the latest amendments to the Consumer Protection Act from October last year, under the authority of the Ministry of Economy, the remote conclusion of contracts is specifically regulated as well as the sale outside the provider’s shop. Taking into account the sale volume which is being performed in this manner in the field of electronic communications as well as the dynamics of delivery of contracted services HAKOM is determined to regulate this type of sale through the sectors in order to ensure they are clear and transparent to its end- users.

In addition to it, all the procedures performed by the operators who are dealing with this type of sale would be unified and would contain all necessary information and notifications to avoid situations where the end -users are insufficiently informed when deciding on whether or not to use certain service. Furthermore, in order to completely protect the end- users from fraud and identity theft during the establishment of subscriber‘s relationship, where the aim of scammers is mostly to get hold of expensive devices, it was proposed that the delivery of devices must be made to the address listed as the address for sending the invoices.

In addition to it the regulation in public consultation procedure prescribes the amendments regarding the provision of Internet access services and the minimum delivered speeds. Currently this area is regulated in a way that there is a difference in the minimum delivered speed compared to the maximum advertised speed in the case of packages with speeds up to 10 Mbit / s and above it. Namely, if it refers to the package with a maximum (advertised) speed of up to 10 Mbit / s the minimum delivered speed should not fall under 50 percent and in the case of packages with speeds above 10 Mbit / s the minimum delivered speed should not fall under 70 percent. HAKOM proposes that the minimum delivered speed should be at least 70 percent of the maximum advertised speed, regardless of the package of services.
 

ABOUT HAKOM: HAKOM (www.hakom.hr) - Croatian Regulatory Authority for Network Industries – ensures preconditions for a fair market competition, stable growth and environment for innovations in the electronic communications and postal services market. HAKOM protects users’ interests and the possibility of choice among various communications and postal services at affordable prices, defines sustainable competitive conditions for operators and service providers under fair conditions for return on investment, and provides support to economic growth, public services and the quality of life in the Republic of Croatia by using modern technologies. HAKOM’ strategic goals are: to promote regulation of the electronic communications and postal services market, to support growth of investments and innovations in the electronic communications and postal services market, to provide efficient use of limited resources, to accelerate the growth of broadband products and services, to provide affordable offers of communications and postal services, to provide protection and informing of users, to build an efficient and comprehensive information system, to define and implement efficient processes, and to acquire multi-disciplinary competencies in market regulation.