Chapter 3, December 9 Postal services Postal legislation Current Icelandic Legislation • Directive nr. 97/67/EC and 2002/39/EC implemented with Postal Services Act No 19/2002 and amendment 136/2002 • The Post- and Telecommunication Administration Act 81/2003 • Regulation No 313/2005 on accounting and financial separation of postal operators • Regulation No 364/2003 of Universal Service and the execution of postal services • Rules No 504/2003 on location, setup and security standards for public postal offices Secondary Law • Regulation No 313/2005 on accounting and financial separation of postal operators • Regulation No 364/2003 of Universal Service and the execution of postal services – – – – Five day service Scheme for compensation fund Quality standards Rules for location of letter boxes • Rules No 504/2003 on location, setup and security standards for public postal offices – – – – – Number of inhabitants in the area Size of the area The possibilities to seek service elsewhere Transportations in the area number of transactions in that particular post office Overview of the number of letters covered by exclusive rights, 2005 – 2009 60.000.000 50.000.000 40.000.000 30.000.000 20.000.000 10.000.000 0 2005 Source: Íslandspóstur hf. 2006 2007 2008 2009 Domestic within one day of posting Capacent - Quality Survey Domestic: D + 1 100% 90% 89% 88% 2006 2007 86% 85% 2008 2009 80% 70% 60% 50% 40% 30% 20% 10% 0% Domestic within three days of posting Capacent - Quality Survey Domestic: D + 3 100% 99% 99% 100% 2006 2007 2008 2009 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Directive 2008/6/EC • The directive is not yet transposed into Icelandic legislation – Not adopted into the EEA agreement – Icelandic authorities find it necessary to postpone the implementation of Directive 2008/6/EC • Derogation from Article 2 of the Postal directive • Exceptional circumstances – Small population – Geographical conditions » Rural » Island – Cost of service in rural areas Time plan – The work to transpose the directive into Icelandic legal framework has begun – PTA is investigating • Criteria and methods used by Iceland Post for division of revenue and service into different operations accounts • Cost from providing universal service – Unfair burden – Net cost • Financing of universal service – A law proposal to be ready in 4Q 2011, pending on when the directive is adopted into the EEA agreement – Adoption before 31 December 2012 Administrative capacity • Ministry of Communication • Post- and Telecom Administration – Four divisions • • • • The Legal Division (5) The Analytical Division (5) The Technical Division (6) Administration (7) NRA independence • The director appointed for a fixed 5 year term at a time – Salaries and terms decided by independent committee • Provisions of the government act apply to the appointment • Provisions of the government employee act apply to the appointment – Cannot be expelled unless a serious breach of the act can be established • The provisions of the directive apply to the NRA”s finance • No interference by the Ministry of day to day operations/decisions Appeal committee • Appeal committee on post- and telecommunications decisions • Appeal process mechanism effective and in a timely manner