The end of TP's empire

The Office for Electronic Communication (UKE) has called on Telekomunikacja Polska (TP) to lower fees for access to its local loop and allow alternative operators to enter the land-line market.

Jacek Strzałkowski, a UKE spokesperson, says: "I may be calling through a different network now, but I still have to pay TP SA a subscription fee." He stresses that with prices lowered, other companies will be able to operate land lines, and customers will have a choice of operators.

Currently, the high fees set by TP stifle any competition and no alternative operator can challenge the state company when it comes to land lines. Operators such as MNI, Tele2 Polska and Telefonia Dialog have pressed the UKE to open up the market.

UKE is forcing TP to lower the fees for access to the local network by at least 38 percent. The regulator says that the monthly fees proposed by TP are much higher than the EU average, which amount to EUR 9.90 (zł.40.60) for full access per line, while TP set its rate at about EUR 14.80 (zł.60.70). UKE is also calling on TP to allow broadband data transfers.

Karol Wieczorek, a spokesperson for Tele2, says that high prices are the biggest barrier for Tele2, which has been trying to enter the market for more than a year. Wieczorek says that his firm has about one million active customers. TP has until July 25 to react, and if it doesn't UKE may take the initiative and set a lower price for local loop access fees.