FCC Proposal to End Accounting Authority Role Raises Questions

Inmarsat, which operates as a commercial accounting authority between earth or coast stations and ships engaged in international maritime mobile communications, is backing an FCC proposal to end its role as an accounting authority, though the Coast Guard raised some questions about the commission ending that role. Tuesday was the deadline for comments on a Further NPRM about accounting authority (see 1701030002), with replies due April 13. Inmarsat in comments posted Wednesday in docket 98-96 said any FCC move might require longer than a one-year transition and that the agency needs to eschew any new regulations on commercial entities that still operate as accounting authorities. It said current FCC rules on private accounting authorities about nondiscrimination among customers and reasonability of fees have been enough to ensure accounting authority services have been widely available and competitive. It said the FCC shouldn't make service provider and accounting authorities let users designate an accounting authority on a per-call or per-message basis if their systems can't accommodate such activities. The Coast Guard agreed with the FCC presumption that most maritime mobile satellite users can accommodate such a change but said it's unclear how the communications agency will accommodate those unaware of commission plans. It said the one-year transition suggested by the FCC "may be the absolute minimum of time necessary to properly notify all affected users," and there should be some disclosure of how the regulator plans to convey its plan to such interested parties as those that don't have contractual arrangements with Inmarsat or other private accounting authorities. The Coast Guard said there's little evidence a competitive market exists for accounting services in the maritime sector, raising concerns about possible anticompetitive conduct. It said the FCC should lay out procedures for mariners to file complaints on issues like discriminatory practices and unreasonably high costs.