The Committee of the Regions felt that the measures put forward in the proposal for a directive were justified and supported the EU’s development policy to promote the information society. In addition, so-called ‘alternative infrastructure’ should be treated in the same way as traditional data communications network, and as such it should also be made to serve the same objectives relating to the development of the information society. While the formation of strategic concentrations could provide worldwide services at reasonable prices, the Committee considered that an alliance of large data communications and communications companies could have detrimental effects on the content of services, introducing an element of bias. It therefore called for continued vigilance with regard to the enforcement of EU competition rules. At regional and local level, the increase in possible uses for cable TV networks could open up a whole range of possibilities for multi-faceted interaction with ordinary citizens. If nothing else, the dissemination of information by municipal and provincial bodies could be considerably enhanced.

The rapporteur supported the abolition of the restrictions on the use of cable television networks for the provision of telecommunications services other than voice telephony. Me HERMAN (EPP, B) could accept the legal basis chosen by the Commission (Article 90(3)), in spite of the PSE’s opposition. The rapporteur felt that if cable TV operators were allowed to compete with telecommunications operators there should be an element of reciprocity. He also felt that it was essential to make provision for transitional periods and recommended the liberalisation of audiovisual broadcasts via telephone lines by 2000. Mr BANGEMANN began by highlighting the differences between the Member States: on the one hand, France and Germany, which were not sufficiently liberalised, risked having to pay a great deal for their delay; on the other hand, Spain and Luxembourg would be ready by 1 January 1998. As far as the amendments were concerned, the Commissioner would incorporate those on voice telephony in the Directive on that subject. He agreed with Amendments Nos 1 and 2 but opposed the equalisation of charges among the various categories of service and geographical areas; he preferred charges to be based on the costs. He also supported the principle of the separation of accounts. As regards the universal service, it was vital to reconcile liberalisation or deregulation with harmonisation.

The Council adopted the following conclusions on the draft Commission Directive amending Commission Directive 90/388/EEC regarding the abolition of the restrictions on the use of cable television networks for the provision of telecommunications services. ‘The COUNCIL: - TAKES NOTE of the request put to it by the Commission, on 27 February 1995, concerning any comments the Council might have on the draft Commission Directive amending Directive 90/388/EEC regarding the abolition of the restrictions on the use of cable television networks for the provision of telecommunications services; - EMPHASISES that this draft is to be viewed in the light of the Telecommunications Council meeting on 17 November 1994, resulting in the Council Resolution of 22 December 1994 and statements made on that occasion; - NOTES that, when the draft was examined by the Council’s subordinate bodies, a series of complex questions, the main subjects of which are listed in the Annex, were put to the Commission by delegations; - NOTES that, after giving some initial answers, the Commission undertook to submit more precise written replies; - TAKES NOTE of the working document presented by the Commission; - TAKES NOTE of the public consultations held by the Commission following publication of its draft Directive in the Official Journal of the European Communities; - INVITES those Member States which so wish to forward their detailed comments as soon as possible to the Commission and to the other Member States, via the General Secretariat of the Council, particularly in the light of the Commission’s written replies; - EMPHASISES that these conclusions are without prejudice to Member States’ positions on the form and content of the draft Directive put forward by the Commission; - CALLS UPON the Commission to give the greatest consideration to these positions in following up the procedure initiated. Annex MAIN SUBJECTS OF THE QUESTIONS PUT TO THE COMMISSION - Scope; - distortion of competition, inter alia : = transparent and non-discriminatory access; = position of national operators; - discrimination; - operators concerned; - interconnections; - reciprocity; - timetable; - transitional periods; - interaction with public voice telephony; - accompanying measures; - authorisations; - accounting requirements.’

The ESC acknowledged that the abolition of restrictions on the use of cable television networks would enable new telecommunications networks to be developed. It took the view, however, that the restrictions should not be abolished until a clearly-defined regulatory framework had been established, primarily with regard to the universal service. The financing of the universal service was a matter of fundamental importance; before any steps were taken to liberalise the use of cable television infrastructures, it should be clearly specified which service providers would have to contribute to the fund for financing the universal service. It was particularly important to determine the contribution of mobile communications suppliers to the funding of the universal service before liberalising the use of cable television networks. The ESC pointed to the different penetration levels of cable networks in the various EU Member States and the very patchy impact that the draft Directive would have. Implementation of the directive would also even create unfair competition for some national telecommunications undertakings; some of them would be exposed to real competition, while others would only be theoretically exposed to competition, as there were no cable television networks in their countries. The ESC noted that the schedule had been discussed by the Council on 17 November 1994. The Council had not taken a decision on the abolition of the restrictions on the use of cable television before 1 January 1998. For all the above reasons, the ESC considered that it would be premature to bring the directive into force by 1 January 1996. Bearing in mind the decision taken by the Council of Ministers, the different stages of development of cable television networks in the various Member States and the different impact that the draft Directive would have on the various Member States, the ESC took the view that each Member State should be free to decide whether it wished to implement the proposed measure before 1 January 1998.