MEPs to clash with EU states on postal monopolies
Only three EU governments – Sweden, Finland and the UK – have already fully liberalized their postal service markets (Photo: EUobserver.com)
RENATA GOLDIROVA
11.07.2007 @ 17:51 CET
EUOBSERVER / STRASBOURG – The European Parliament and EU governments are likely to clash over national postal monopolies, as the assembly has endorsed plans to open the EU market for delivering light-weight letters and postcards to full competition from 2011.
On Wednesday (11 July), a broad majority of MEPs – 512 in favour and 155 against – set 31 December 2010 as the deadline for eliminating any remaining monopolies on mail weighing below 50 grams, the last category where postal companies face no rivals.
German conservative MEP Markus Ferber, in charge of the dossier, expressed satisfaction over the result, although he admitted making some concessions to have the idea flying.
For example, the twelve newest EU entrants as well as those with a particularly difficult topography including a large number of islands, such as Greece, will be granted two extra years to adapt to changes.
On the other hand, liberalising EU states may refuse to authorise competitors from those countries which will wait until 2011 or later. "This makes sense as long as not all markets are fully opened and is congruent with EU law", Mr Ferber said, adding this so-called reciprocity clause helped him to win majority in the assembly.
Only three EU governments – Sweden, Finland and the UK – have already fully liberalized their postal service markets, including items weighing below 50 grams. Germany, the Netherlands, Luxembourg, Bulgaria and Romania are set to follow suit and open up their markets before the 2011 general deadline.
The European Commission originally proposed to abolish any remaining exclusive rights and monopolies by 2009 at the latest, as they "prevent competition and the positive effects it has on innovation, quality and prices".
"It is not the implementation of abstract theories dreamed up in an ivory tower or based on ideological zeal", EU internal market commissioner Charlie McCreevy told MEPs in Strasbourg before the vote. "Market opening is not an end in itself, but: good for the consumer, good for business and therefore for the whole economy", he added.
EU capital's reluctance
However, such arguments are likely to fall on deaf ears in some EU capitals, with Mr Ferber eyeing a clash mainly on the so-called universal service – letters being delivered and collected at least once a day, five days a week no matter where, while a uniform tariff between rural and urban areas must also be secured.
Some countries have expressed their concern over funding of this universal service.
"If you look at results and surpluses of postal monopolies, it becomes clear there is no need for compensations", Mr Ferber told journalists.
However, in his compromise deal, he suggests EU states create a fund into which all postal operators pay. Alternatively, additional costs due to universal service can be financed by state subsidies, with the European Commission keeping an eye that national models do not contradict EU law.
In addition, EU capitals are likely to table a concrete list of individual deadlines and derogations regarding the liberalisation.
The postal services in the EU handle an estimated 135 billion items a year, having a turnover of around €88 billion – equivalent to approximately one percent of the bloc's GDP. Around 5.2 million people are employed in the sector.
