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Belgium (country regulation overview)
Ovum, Sep 2010, Pages: 21
The Belgian telecoms market has seen significant activity on the wholesale services front in the past year. The regulator, Institut Belge des Services Postaux et des Telecommunications (BIPT), has finalized several decisions which had been pending since 2008, including the analysis of local-loop unbundling (LLU) and bitstream access markets.
Although the fixed broadband penetration rate in Belgium was 29.1% at the end of 2009, which is higher than the EU average of 24.8%, subscriber growth slowed by 1.7 percentage points. To stimulate growth in broadband adoption and encourage competition in the market, the BIPT has imposed a price cut on LLU and wholesale broadband tariffs. In addition, the BIPT has revised existing LLU regulations to expand the spectrum used for VDSL2 LLU services from 12MHz to 17MHz. The regulator has also implemented new wholesale broadband access regulations to introduce VDSL2 services. These regulations are expected to encourage the introduction of innovative broadband services with higher speeds, and improve the penetration of broadband in the country.
In June 2010, the BIPT cut the MTRs of operators with significant market power (SMP) to bring Belgium’s relatively high mobile termination rates (MTRs) in line with the EU average of €0.067. It also released a timeline to further reduce MTRs by 76–81% over two years, and achieve parity between the major operators by 2013. These initiatives are likely to result in lower retail tariffs, which will benefit end users.
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