Net neutrality provisions green-lighted Tuesday by the European...

Net neutrality provisions green-lighted Tuesday by the European Parliament Industry, Research and Energy (ITRE) Committee are better than those proposed by the European Commission (CD Sept 12 p5), but still contain “dangerous loopholes,” said French citizens’ advocacy group La Quadrature du Net. The provisions are part of a broad “connected continent” reform package aimed at creating an EU single telecom market. ITRE’s response to the EC proposal inserted strict rules to prevent telcos from degrading or blocking Internet connections to rivals’ services and applications, the committee said. Companies will still be able to offer specialized services of higher quality, such as VOD and business-critical, data-intensive cloud applications, as long as they don’t interfere with Internet speeds promised to other customers, ITRE said. Blocking or slowing the Internet would be allowed only in exceptional cases such as when specifically ordered by a court, it said. But La Quadrature Legal and Policy Analyst Miriam Artino said the vote “is a sign of the massive lobbying influence of big telecom operators.” The loopholes involve discrimination, the Internet’s open character and the definition of specialized services, wrote telecom consultant Innocenzo Genna on his blog (http://bit.ly/PLVEvZ). Genna said his clients include new entrants such as mobile virtual network operators, small ISPs and other non-incumbents. Under the ITRE version, telcos can still discriminate against online services by simply charging or differentiating the price of connectivity to favor one service over another, he said. That issue was present in the EC’s original proposal and hasn’t been addressed, he said. ISPs would still be allowed to establish a two-tier environment: A discounted Tier-1 Internet with selected services, and a pricier Tier-2 with all the rest, he said. To avoid the problem, the draft regulation should clearly state that ISPs can’t charge different prices for Internet access unless there are objective justifications such as quality, not just commercial deals between the ISP and a few online providers, Genna said. A second problem is that the ITRE version doesn’t describe what the “open Internet” is, he said. It should mean that ISPs can’t in any way control which online offerings their subscribers choose and how, he said. Not only should blocking, throttling and bandwidth limitation be banned, but the principle should cover any potential instrument an ISP could use to control user choice, Genna said. Lawmakers made some improvement in the EC definition of specialized services but it still leaves room for ISPs to market as such services products and offerings that are normally accessible on the open Internet, he said. The loopholes will have to be closed when the draft measure goes to plenary vote April 3, Artino said. The many Parliament members (MEPs) who proposed constructive amendments at the committee stage now have the chance to introduce new ones across party lines to ensure that the “general interest prevails over the short-term commercial interests of the telecom industry,” she said. The draft’s gray areas may lead to its rejection in plenary, Genna said. Approving a measure that’s still potentially dangerous to net neutrality “could be a risk for many MEPs which will be soon into elections” in May, he wrote. One MEP also voiced concern about the single telecom package’s net neutrality provisions. It “lacks the necessary guarantees for net neutrality in order to protect consumers against abuse of power by internet service providers,” said Marietje Schaake, of the Alliance of Liberals and Democrats for Europe, and the Netherlands, in a written statement. Net neutrality has been “traded off against abolishing roaming costs,” a “nice message to campaign on,” she said. regressed on net neutrality, said BEUC-The European Consumer Organisation. Net neutrality is essential for consumers to avoid Internet fragmentation and stop operators from becoming economic gatekeepers by prioritizing their and their commercial partners’ content, said Director General Monique Goyens. By failing to set clear safeguards between “Internet access services” and “specialized services” such as DTV, Parliament has allowed telcos to take content off the Internet and sell it as a specialized service, she said. That inevitably reduces consumer choice and harms Internet innovation, Goyens said. ITRE members also voted to end mobile roaming charges within the EU by Dec. 15, 2015, but asked the EC for guidelines for exceptional cases where companies would be allowed to apply such charges. MEPs also approved amendments to make spectrum trading and leasing easier, ITRE said. Digital Agenda Commissioner Neelie Kroes called the vote “great news” for the telecom sector. Also Tuesday, ITRE confirmed a deal with the EU Greek Presidency on a measure to make cross-border electronic deals and e-identification easier. The draft law requires EU countries to recognize each other’s electronic identification systems, the committee said. MEPs also endorsed a compromise with governments on draft legislation to make broadband infrastructure cheaper to build by enabling broadband companies to share plans and costs with other sectors such as gas and transport, the committee said. A plenary vote on all three pieces of legislation is set for April 3. Striking a deal on the telecom reform package with the European Council will be one of the next parliament’s first priorities after May elections, ITRE said. The council defines the general political direction and priorities of the European Union.