Out-Law / Your Daily Need-To-Know

The European Union yesterday passed a regulation that requires the opening of local telephone networks to competition by 1st January 2001 with the aim of accelerating the introduction of low cost broadband internet access to businesses throughout Europe. The new law requires the opening to competition of the last mile of copper wires connecting buildings to local exchanges.

Erkii Liikanen, European Commissioner for enterprise and the information society, said of yesterday’s progress, “It will complete the liberalisation of telecommunications markets in Europe.”

Germany, Finland, the Netherlands, Denmark, Italy and Austria already grant access to the local loop networks. In the UK, BT said it expects to meet the requirements of the new law. However, the telecoms watchdog Oftel has only required BT to make its local loop available to competitors from July 2001 and only requires BT to make available 360 of its 6,000 local exchanges by January 2001. BT said that it believes it is far ahead of Germany and other countries which have opened only a small number of lines to competition.

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