Teracom subject to further regulation for broadcasting radio in the terrestrial network

19/02/2010

The Swedish Post and Telecom Agency (PTS) has decided today on further regulation applying to radio broadcasting in the terrestrial network. This is part of PTS's efforts to rectify the inadequate competition in the market as there is only one national radio distributor in Sweden, Teracom. Today's decision replaces the one made by PTS in 2005.

This decision applies to the following market: radio transmission in the terrestrial network, formally known as the wholesale market for broadcasting transmission of national analogue terrestrial radio to end-users in Sweden.

This new decision implies that the only national radio distributor present in Sweden, Teracom, shall provide wholesale products at cost-oriented pricing. The intention is for Sveriges Radio (SR), a public service company, to be able to broadcast its programmes at fair prices. According to its licence conditions, SR is required to broadcast throughout Sweden and is thus dependent on Teracom.

Teracom must also provide PTS with access to financial information concerning the products that are regulated. Accounting separation of expenses and revenues makes it possible for PTS to ensure that Teracom does not use excess profit from radio broadcasting in order to subsidise other business areas.

"As SR can broadcast its programmes at fair prices, this creates the potential for maintaining the range of radio programmes and their quality," says Göran Marby, Director-General of PTS.

This decision was subject to a consultation procedure with operators, public authorities and the European Commission between May 2009 and February 2010 and enters into force today.

Read the decision (only in Swedish)

For more information, please contact:
David Troëng, head of Competition Department, tel. 070-861 72 19 or PTS's Press Office 08-678 55 55.

The Swedish Post and Telecom Agency (PTS) monitors the electronic communications and postal sectors in Sweden. The term ‘electronic communications’ includes telephony, the Internet and radio. The Agency works with consumer and competition issues, efficient utilisation of resources and secure communications. Read more at www.pts.se.


 

The Swedish Post and Telecom Authority, Box 5398, SE-102 49 Stockholm, tel. +46 8 678 55 00 pts@pts.se Contact PTS About the website