ITC RESPOND TO COMMUNICATIONS WHITE PAPER

THE ITC have published their response to the Government's White Paper on “A New Future for Communications”.
Supporting the White Paper's view that OFCOM's first regulatory objective should be the protection of consumers through the promotion of open and competitive markets, the ITC's response stressed that convergence would develop in unpredictable ways, and that OFCOM should be given flexibility in their powers.
The ITC stated that convergence is driving economic growth and improving consumer choice, but services are likely to develop in unpredictable ways. Consumer behaviour and preferences must guide public policy and OFCOM should, as far as possible depend on competition rather than regulation to deliver success.
Regarding Access (White Paper Chapter 2), the ITC welcomed the White Paper's view that OFCOM's first regulatory objective should be the protection of consumers through “promoting open and competitive markets”.
The ITC also maintained that OFCOM should have a statutory objective of reducing barriers to market entry and consumer switching costs, as the promotion of industry standards for interoperability have a potentially important role. Where proprietary standards prove to be too strongly entrenched, the ITC say OFCOM will need powers to require access to information on essential technical interfaces to allow the market to develop competing solutions.
Also welcomed was the Government's commitment to ensure that public service television channels are available to everyone free at the point of consumption, both before and after the switchover to digital television.
The ITC strongly supported the three-tier approach to content regulation proposed in the White Paper: “In the first tier, the core principle is fewer, simpler, clearly understood codes, effectively enforced".
This, says the ITC, will require an "effective regime of licensing for commercial operators and of statutory powers" for all broadcasters, including those who are not OFCOM content licensees such as the BBC and S4C. (GB)