Poland may compensate universal postal service provider before the European Commission approves state aid
04 March 24
Monika Kačeriaková
Polish MPs proposed amendments to the Postal Act to allow for more flexible financing of the universal service net cost of Poczta Polska. Upon adoption of the proposal, the postal operator’s net cost of the universal service provision may be compensated from the state budget before the European Commission’s approval of state aid.
The Czech government is preparing substantial changes to the Postal Act
26 February 24
Monika Kačeriaková
The Czech government proposed to substantially amend the Postal Act to reflect recent developments in the postal sector. Besides changes to the quality and financing of the universal service, the draft would enhance consumer protection and give further powers to the postal regulator.
Commission workshop explores impact of different scenarios on postal operations and regulation
16 February 24
Armen Ghalumyan
Postal stakeholders provided their views in response to the first stage of the European Commission’s study on the future of the postal sector. In an online workshop held on 13 February 2024, the study team discussed with participants the critical factors influencing the future development of the sector, as well as the five proposed scenarios for evolution by the year 2040. The final study will inform the Commission’s report to the Council on the postal services market, including any recommended revisions to the EU postal regulatory framework.
CNMC suggests modifying the regulatory cost accounting methodology while reviewing universal service prices for 2024
08 February 24
Carmen Mateas
The Spanish postal regulator, CNMC, carried out its annual review of Correos' universal postal service prices for 2024 and concluded that these prices are affordable, transparent and non-discriminatory, but that the discounts offered to some large clients are not cost-oriented. CNMC also suggested modifying the accounting methodology set by regulation to calculate the cost of the USP’s regulated services.
Ofcom removes the price cap on Royal Mail’s second class small parcels but retains that on second class letters until 2027
30 January 24
Armen Ghalumyan
Ofcom decided to remove the retail price cap on second class small parcels included in the universal service obligation (USO). At the same time, the regulator retained a price cap on second class USO letters until 2027. The regulator also created a single basket cap for second class standard and large letters, giving the universal service provider more flexibility in setting its retail prices.
Ofcom suggests modernising the USO to respond to a declining letters market
25 January 24
Armen Ghalumyan
Ofcom is inviting stakeholder views on its assessment of possible options to modernise the USO. The regulator’s assessment showed that the USO in its current form is becoming financially and operationally unsustainable for Royal Mail, the USP. Two major proposed courses of action are to reduce the delivery speed and frequency of delivery for letter mail.