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EU agrees mobile roaming prices EU close to roaming charge deal
(about 2 hours later)
European Union member states and members of the European Parliament have reached a preliminary deal on cutting mobile roaming charges.European Union member states and members of the European Parliament have reached a preliminary deal on cutting mobile roaming charges.
Under the deal, it will cost a maximum of 49 euro cents (£0.34, $0.66) to call home from another EU state, and 24 cents to receive a call. Under the deal, it would cost a maximum of 49 euro cents (£0.34, $0.66) to call home from another EU state, and 24 cents to receive a call.
These caps would drop a little in 2008, and more in 2009.These caps would drop a little in 2008, and more in 2009.
If MEPs and the telecoms ministers formally back the deal the new prices could come into force over the summer. If MEPs and European telecoms ministers formally back the deal the new prices could come into force over the summer.
A vote is expected next week in the European Parliament, while telecoms ministers are due to consider the package on 7 June. A vote is expected next week in the European Parliament, while telecoms ministers are due to consider the package on 7 or 8 June.
The European Commission drew up its plan to regulate roaming rates after discovering that some roaming calls cost up to six times those of local mobile calls.
It says roaming charges are now regularly as high as one euro per minute.
CompromiseCompromise
PROPOSED ROAMING CAPS Making a call Parliament opening bid: 40c European Commission: 44c Parliament compromise: 45c German EU presidency: 60c Industry (GSMA): 65cPreliminary deal: 49c falling to 43c in 2009 Receiving a call Parliament opening bid: 15c European Commission: 15c Parliament compromise: 20c German EU presidency: 30c Industry (GSMA): 35cPreliminary deal: 24c falling to 19c in 2009 Charges per minute, excluding VAT Case study: EU roaming law The EU's German presidency had pushed for price caps of 60 cents to make a call, and 30 cents to receive one.PROPOSED ROAMING CAPS Making a call Parliament opening bid: 40c European Commission: 44c Parliament compromise: 45c German EU presidency: 60c Industry (GSMA): 65cPreliminary deal: 49c falling to 43c in 2009 Receiving a call Parliament opening bid: 15c European Commission: 15c Parliament compromise: 20c German EU presidency: 30c Industry (GSMA): 35cPreliminary deal: 24c falling to 19c in 2009 Charges per minute, excluding VAT Case study: EU roaming law The EU's German presidency had pushed for price caps of 60 cents to make a call, and 30 cents to receive one.
The European Parliament originally wanted caps of 40 cents and 15 cents.The European Parliament originally wanted caps of 40 cents and 15 cents.
Brussels drew up its plan to regulate roaming rates after discovering that some roaming calls cost up to six times those of local mobile calls. MEPs at a press conference in parliament were divided on how soon the new charges would come into effect.
It says roaming charges are now regularly as high as one euro per minute. "I hope this package can deliver for consumers this summer," said Austrian MEP Paul Ruebig, who led the negotiations for the parliament.
Member states have been pushing for a system whereby consumers would opt in to the capped rates. British MEP Giles Chichester said he expected operators to compete with each other to be the first to offer the new rate.
MEPs originally said consumers should be switched automatically on to the new rates, unless they deliberately opted for a different package. "I would be astonished if mobile operators do not take the hint," he said.
But telephone companies would have one month from the time the regulation is published in the official journal - probably in July - to offer customers the new pricing plan.
So some customers may not have a chance to switch until some time in August.
Three-year limit
In October, consumers would be switched to the new rate automatically, unless they had deliberately chosen a different package.
The price ceilings would drop in 2008 to 46 cents for making calls abroad and 22 cents for receiving them, the negotiators agreed.
In 2009 they would drop further, to 43 cents and 19 cents respectively.
After three years, the caps would be lifted.