MCA seeks to determine dominant market position

The Malta Communications Authority has released a consultative paper in a bid to determine what constitutes a dominant market position in the Maltese telecommunications markets.

The proposed approach to determining operators with a Dominant Market Position (DMP) in the Maltese telecommunications market follows the framework established by the regulations issued under the Telecommunications (Regulation) Act. These regulations state that an organization, with a share of more than 25 per cent of a particular telecommunications market, is to be designated as having a DMP. Following this initial step, the Malta Communications Authority (MCA) may then carry out further analysis to evaluate an organisation’s market power where its market share is close to 25 per cent to determine DMP by referring to a range of market power criteria.

The Chairman of the authority, Joseph V. Tabone is asking all interested parties to make representations on the matter.

Determining what constitutes a dominant market position is one of the key regulatory measures designed to sustain the development of competition in the telecommunications market.

An operator designated as such must comply with additional licensing and legal obligations, the aim of which is to prevent any potential abuse emanating from enjoying such a position.

The consultative paper can be viewed on the MCA website, www.mca.org.mt or else can be obtained free of charge from the MCA offices in Sliema.

Representations will be received until 31 January, 2002.