The telecommunications market is a significant catalyst for the smooth running of various economic and social aspects of society. But in order for everything to function as smoothly and effectively as it should – as with just about any other area in life – it needs to be covered by carefully tailored regulations. A framework that allows the market to adapt to ever changing conditions, something that’s essential to any heterogeneous and agile sector. So it should come as no surprise that across the European Union, close attention is being paid to drafting and implementing telecommunications regulations that can best respond to the challenges of the future.

European laws designed to coordinate the telecoms market

First and foremost, EU members must adhere to the comprehensive regulatory framework set out in the European Code of Electronic Communications. Chiefly, this legal framework was designed to regulate competition, user protections – which also have their own specific laws –, neutrality and guarantees when it comes to ensuring open and equal access to the Internet, electronic communication services, including messaging, email and data transmission, as well as radio spectrum management.

The Code also seeks to stimulate investment in telecommunications infrastructure, protect consumers and establish their rights and responsibilities, all the while facilitating international cooperation between Member States when it comes to telecoms. Other regulations exist in the form of the Body of European Regulators for Electronic Communications (BEREC), as well as the European Directive on making radio equipment available on the market.

Regulating the Spanish telecommunications market

In Spain, a number of different institutions regulate telecoms, beginning with the Ministry of Economic Affairs and Digital Transformation, all the way through to the State Secretariat for Telecommunications and Digital Infrastructure. This is the branch of government that creates and coordinates policies that affect the telecommunications sector. There’s also the National Commission on Markets and Competition (CNMC), which monitors competition by ensuring businesses comply with regulations and investigates and sanctions, where appropriate, practices that could be considered anti-competitive, like monopolies or unfair competition.

In terms of specific telecommunications regulations in force in Spain, the General Telecommunications Act applies, which establishes the fundamental principles and competences of the authorities on this matter. Among other things, the Act governs access to networks, the provision of services and protecting both users and their rights. Companies also have to comply with the Information Society Services and Electronic Commerce Law (LSSICE). While this doesn’t deal directly with aspects related to telecommunications, it does address related topics indirectly, such as providing online services, protecting personal data, advertising and e-commerce. And, finally, due to its indirect influence, we can’t forget Intellectual Property Law, which also applies to digital content.

Future challenges of telecommunications legislation

While it’s essential that clear legal limits are established for the telecommunications market to operate properly, there are two potential challenges when it comes to doing so effectively. On the one hand, it’s about establishing bodies and laws in the sweet spot between enough interventionism to make sure the market works properly, but not so much that spontaneity and freedom to experiment is hindered.

On the other hand, rules and regulations need to encourage behaviour that makes progress and achieves targets in everyone’s interest, without becoming an opposing force with the strength, resources and capacities that other stakeholders on the market simply can’t compete with. In the latter scenario, the main obstacle is the lack of experience and history, the lack of a culture of regulatory bodies and how they interact.

If the telecommunications market is to truly thrive and contribute to economic and social growth, it must have specific institutions and rules in place to respond to the needs of the market, from fair competition to balanced technological development, alongside adequate coverage of rights, both for telecoms companies and end users.