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Communications Bill Joint Scrutiny Committee Report:

31 June 2002
 
Internet Services Providers’ Association (ISPA UK) Responds 
 
Following receipt of evidence – including oral evidence from ISPA on 13th June 2002 – the Joint Committee on the Draft Communications Bill published its report on Wednesday 31 July 2002. 
 
ISPA has previously welcomed the Communications Bill and the Government’s intention to provide a modern, converged regulator for an innovative and evolving communications industry.  
 
ISPA welcomes the majority of the committee’s findings that relate to the Internet, many of which are in line with the evidence ISPA submitted.  
 
In particular, ISPA welcomes the Committee’s suggestion for a clarification of OFCOM’s objectives. The Committee believes OFCOM’s primary objective should be the duty to promote the long-term interests of consumers through competition. 
 
Content Regulation
 
ISPA welcomed the commitment to industry self-regulation of the Internet from the Government and the statement “it is not the intention for the draft Bill to extend regulation into the Internet” contained in the Policy Narrative accompanying the draft Bill. 
 
However, ISPA has concerns that this intention is not implemented in the text of the Bill.  
 Many definitions contained in the Bill used to include or exclude services from the content licensing regime lack clarity. This could result in some Internet services, such as gaming or web-casting, being caught unintentionally. 
 
ISPA welcomes the Joint Committee’s recognition that the definitions contained in the Bill may not be robust enough. ISPA has met with the Government’s team working on the Communications Bill and will continue to assist in devising definitions that fulfil the Government's objectives of not extending content regulation to the Internet. 
 
In addition, ISPA welcomes the Joint Committee’s recognition that legislators should "draw a clear distinction between services that are "pushed" by the broadcaster and those that are "pulled" by the user and exclude all of the latter from licensing.” ISPA believes it is imperative that any content licensing regime reflects the differing consumer expectations of content that is “pushed”, in the case of traditional broadcasting, and content that is “pulled” on request of the user, such as that delivered over the Internet. 
 
The draft Bill affords the Secretary of State powers to amend definitions of licensable content services and bring previously unlicensed services under the licensing regime. ISPA is concerned that such powers should not be used without due consultation with industry and recommends that the Secretary of State be under duty to act only on recommendation from OFCOM. The regulator should, in turn, be under duty to consult fully with all relevant stakeholders.
 
Competition
 
The Committee has recognised the role the promotion of effective competition plays in securing the long-term interests of consumers. In enabling OFCOM to achieve this objective, ISPA welcomes the Joint Committee’s suggestion that any economic regulation of the Communications industry should be “targeted and proportionate”. 
 
ISPA welcomes the Joint Committee’s recommendation that OFCOM should make the most of the concurrent competition law powers it has been awarded with the OFT. We also welcome the suggestion that OFCOM’s internal structures “should ensure competition law expertise is given high priority”. 
 
Performance of OFCOM
 
ISPA is pleased that the Joint Committee has recognised lessons to be learned from OFTEL. In evidence to the Joint Committee, ISPA expressed the need to address the speed of decision-making by OFCOM, which must reflect the speed of commercial decision-making in the communications industry.  
 
The Joint Committee report states, “further measures are needed to ensure that OFCOM meets necessary promptness standards”.  
 
As in its evidence, ISPA is calling for a “service level agreement” between OFCOM and the Internet industry to this effect. 
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Notes to Editors
 
For a copy of the ISPA written evidence to the Joint Scrutiny Committee on the Communications Bill or other information, please contact the ISPA press office. Email: pressoffice@ispa.org.uk Tel: 020 7340 4535
 
The Internet Services Providers’ Association (ISPA) was established in 1995 as a trade association to represent providers of Internet services in the UK. ISPA promotes competition, self-regulation and the development of the Internet industry. For a list of members or other information about ISPA, please consult the website: http://www.ispa.org.uk 
 
ISPA holds permanent membership of the Internet Watch Foundation, the Internet Crime Forum, the Home Office Task Force on Child Protection on the Internet, the DfES Safety Strategy Group, EURIM, the Parliamentary IT Committee (PITCOM), the Association of Communication Service Providers, the Oftel Internet Forum, and international organisations such as EuroISPA, and the World ISP Forum.