PAGINE IN ITALIANO








July 31st 1997, n. 249

The institution of the Autorità per le Garanzie nelle Comunicazioni and the regulations for telecommunications and radio and television broadcasting systems

Published by the Official Gazette
July 31, 1997 n. 177, S.O.
Please note that the English text is the translation of law 249, but it does not contain any updates


Art. 1. The Autorità per le Garanzie nelle Comunicazioni
(
Authority for equal protection of communications)

1. The Authority for equal protection of communications is hereby instituted, hereinafter called "the Authority", which will be fully autonomous and independent in its judgements and evaluations.

2. Without prejudice to the powers as set out in the legislative decree - of December 1st 1993, n. 487, enacted, with modification, as law of January 29th 1994, n. 71 the Ministry of Posts and Telecommunications is renamed "the Ministry of Communications".

3. The Authority comprises the following organs: the president, the commission for infrastructures and networks, the commission for services and products and the council. Each commission is a collective body made up of the president and four commissioners. The council comprises the president and all the commissioners. The Senate of the Republic and the Chamber of Deputies elect four commissioners each of whom will be subsequently appointed by a decree of the President of the Republic. Each senator and each deputy will express his vote by nominating one commissioner for the commission of infrastructures and networks and one for the commission for services and products. In case of the death, resignation or incapacity of a commissioner, the competent Chamber will elect another commissioner who shall remain in office until the lapse of the ordinary terms of office of the members of the Authority. The prohibition on confirmation set out in article 2, clause 8, of law 14 November 1995 n. 481 is waived when a substitute commissioner will serve for less than three years. The president of the Authority is appointed by a decree of the President of the Republic on the proposal of the President of the Council of Ministers in agreement with the Ministry of Communications. The nomination of the president of the Authority shall be submitted to the competent parliamentary commissions for approval pursuant to article 2 of law November 14th 1995 n. 481.

4. The parliamentary commission for general policy and superintendence of radio and television services shall ascertain that the provisions contained in the articles 1 and 4 of the law April 14th 1975 n. 103 and law June 25th 1993 n.206, and article 1 of legislative decree -October 23rd 1996 n. 545 enacted with modifications, as law December 23rd 1996 n. 650 are observed.

5. The provisions as set out in article 2, clauses 8, 9, 10 and 11 of law November 14th n.481 shall apply to the members of the Authority.

6. The responsibilities of the Authority are as follows:

a) the commission for the infrastructures and the networks will carry out the following functions:

1) express its views to the Ministry of Communications on the national plan for the allocation of frequencies which shall be approved by a specific decree of the Ministry of Communications after consultation with the bodies indicated in clause 3 of article 3 of law August 6th 1990, n. 223, indicating the frequencies to be assigned for civil protection services, in particular the voluntary organisations and the national Alpine rescue corps;

2) draws up, with the assistance of the organs of the Ministry of Communications and after consultation with the public concessionaire and the national associations of the owners of broadcasting stations or networks with respect to the allocation of frequencies, the plans for the allocation of frequencies, including those to be assigned to civil protection services pursuant to article 11 of law February 24th 1992, n. 225, and in particular voluntary organisations and the National Alpine Rescue Corps, and shall approve them, but excluding the frequency bands used exclusively by the Ministry of Defence which will make provision for all such relative assignments. As regards the bands shared with the Ministry of Defence, the Authority will make provision for their prior co-ordination with the ministry in question.

3) defines, without prejudice to the provisions set out in article 15 of law December 31st 1996, n. 675, the measures for ensuring the security of the frequencies and initiates actions by the organs of the Ministry of Communications for the elimination of electromagnetic interference, including modifications to plant on condition that such actions do not upset the balance reached in the system of the frequencies as represented by the allocation plans;

4) having heard the views of the Ministry of Communications and in conformity with Community regulations, sets down standards for decodifiers in order to promote the utilisation of the service;

5) maintains a register of communications operators on which the following shall be registered: the subjects, pursuant to the present law, who receive concessions or authorisations in accordance with the current regulations issued by the Authority or by other competent administrations; concessionaire companies for advertising to be broadcast over radio or television equipment or to be publicised on daily newspapers or magazines, the publishers of daily newspapers, magazines or journals and national press agencies and telematic and telecommunications service providers including electronic and digital publishers; in the register shall also be recorded the infrastructures for broadcasting in the national territory. The Authority will adopt specific regulations for the organisation, registration and definition of the criteria to identify subjects required to be registered other than those already registered at the date on which the present law comes into force;

6) from the date on which the regulations as set out in point 5) come into force, all the provisions regarding the maintenance and organisation of the national press register and the national register of radio and television companies as set out in law August 5th 1981 n. 416, and successive modifications, and in law August 6th 1990, n. 223, as well as the regulations as set out in the decree of the President of the Republic April 27th 1982 n. 268, the decree of the President of the Republic February 15th 1983 n. 49 and the decree of the President of the Republic March 27th 1992 n. 255, are repealed. The acts on the registers as set out in the present point and kept in the office of the Commissioner for radio and television broadcasting are transferred to the Authority for the purposes set out in point 5);

7) defines objectives and criteria of openness, also with reference to maximum tariffs, for interconnection and for access to telecommunications infrastructure on the basis of non-discriminatory criteria;

8) regulate the relations between operators and users of telecommunications infrastructures and verifies that telecommunications infrastructure operators will guarantee interconnection and infrastructure access to subjects managing networks or offering telecommunications services; promote technological agreements between operators in the sector in order to avoid the proliferation of technical transmission plant throughout the territory;

9) having heard the parties involved, settles controversies on matters of interconnection and access to telecommunications structures within ninety days from the notification of the controversy;

10) periodically receives communications from the telecommunications public service operators regarding cases of interruption of service to users, and draws up guidelines, if necessary for question of interruptions. The users affected by these services can submit a claim to the Authority regarding the interruption of the service for those cases envisaged by a special regulation to be defined by this Authority;

11) identify, in accordance with Community regulations, statute laws and regulations and in particular with the provisions of article 5, clause 5, the objective and subjective ambit of any obligations that may interest the universal service and the arrangements for the determination and allocation of the relative costs and to propose possible modifications to them;

12) promotes interconnections between national telecommunications systems and those of other countries;

13) determine, after having heard the subjects involved who may advance requests for them, the criteria for the definition of national network plans and telecommunication services, based upon criteria of objectivity, openness, impartiality, equity and celerity;

14) intervenes in controversies between the body managing the telecommunications services and private users;

15) superintends radio-frequency ceilings compatible with human health and verifies that such ceilings, and taking account of the combined effect of different electromagnetic emissions as well, are not exceeded. The respect of these indicators is a compulsory condition for the issue of licences or concessions for the installation of equipment with electromagnetic emissions. The Ministry of the Environment, in agreement with the Ministry of Health and the Ministry of Communications, and having heard the views of the Superior Institute of Public Heath and the National Agency for the protection of the environment (ANPA), shall determine within sixty days, the ceilings to which the present point refers, taking due account of Community regulations;

  b) the commission for services and products:

1) ascertains that services and products supplied by each operator to whom concessions or authorisations are issued in conformity to the regulations in force are in line with all legal requirements by promoting the integration of technology and the offer of telecommunications services;

2) issues directives on the general levels of quality of the services and on the adoption, by each operator, of a service charter in which the minimum standards for each area of activity are set out;

3) supervises arrangements for the distribution of services and products, including the relative advertising in whatever manner it may be publicised, without prejudice to the responsibilities assigned by law to other authorities, and may issue regulations, in conformity to European regulations, for the governance of relations between fixed and mobile service operators carrying out the resale of telecommunications activities;

4) ensures the respect of the minimum periods that must elapse before the use of audio-visual works by the various services from the publication date of each work, in conformity to present regulations and taking account of alternative agreements, if any, which may be reached between producers;

5) as concerns all forms of advertising and teleselling, issues regulations for the implementation of statutory provisions and regulates the organised interaction between suppliers of a product or service or a network operator and the end-user, involving the acquisition of material from the end user and/ or the use of information on end users.

6) ascertains that the regulations for the safeguarding of minors in the radio-television broadcasting sector are observed, taking account of self-regulation codes that may be in place concerning the relations between minors and television, as also the guidelines provided by the parliamentary commission for general policy and superintendence on radio and television services;

7) superintends that the safeguards for linguistic minorities as recognised in the ambit of mass communications are observed;

8) ascertains that regulations on the right of rectification in the radio-television sector are respected;

9) guarantees the application of the present provisions governing propaganda, advertising and political information as well as the observance of the regulations in the field of the equal treatment and parity in the access to publications and to the transmission of information and electoral propaganda and issues the relatives regulations for their implementation;

10) proposes arrangements to the Ministry of Communications to be introduced for the agreement on the concession of the public radio-television service and verifies the implementation of the obligations envisaged in the foregoing agreement and in all the other agreements that may be stipulated between the concessionaire and the public and administrative service. The parliamentary commission for general policy and the superintendence of radio-television services is obliged to express its opinion on the arrangements for the agreement and on the service contract with the public service concessionaire; in addition, it will supervise the implementation of the foregoing public service;

11) arranges for the survey on audience ratings and the diffusion of the various means of communication; verifies that surveys on ratings and the diffusion of the various means of communication conducted by other subjects are conducted correctly by carrying out checks on congruity of the methodologies employed and audits on the veracity of the published data, as well as upon the monitoring of television transmissions and on the conduct of the companies which undertake the enquiries; the manipulation of data by the use of methodologies known to be incorrect or through the deliberate use of false data is punished in conformity to article 476, first clause, of the penal code; where the survey on audience ratings does not meet universal sampling criteria with respect to the population or the means involved, the Authority can arrange that the necessary surveys be carried out;

12) ascertains that publication and diffusion of the findings on means of mass communication be conducted by respecting the criteria contained in the regulations that it itself will issue;

13) monitors radio-television transmissions;

14) applies the sanctions provided for by article 31 of law August 6th 1990, n. 223;

15) promotes the integration of technologies and the offer of communication services;

c) the council:

1) advises the government on the appropriateness of measures, including legislation, on matters of technological innovation and developments both nationally and internationally within the sector of communications;

2) guarantees the application of the legislative provisions on access to communication means and infrastructure, and also through the drawing up of specific regulations;

3) promotes research and studies on matters of technological innovation and development in the communications and multimedia services sector, and in so doing may avail itself of the assistance of the Superior Institute of Posts and Telecommunications, which hereby is renamed "Superior Institute of Communications and Information Technology" pursuant to article 12, clause 1, letter b, of the legislative decree -December 1st 1993, n. 487, enacted into law with modifications, by law January 29th 1994, n. 71;

4) adopts the regulations as set out in clause 9 and the measures indicated under clauses 11 and 12;

5) adopts the provisions implementing the regulations as set out in article 1, clause 2 of legislative-law October 23rd 1996, n. 545, enacted with modifications as law December 23rd 1996, n. 650, on the criteria and arrangements for the issue of licences and authorisations and for the fixing of the relative contributions as well as the regulations on the criteria and arrangements for the issue of concessions and authorisations in the field of radio and television activities and for the fixing of the relative licence fees and contributions;

6) proposes the regulations to govern the issue of concessions and authorisations in the field of radio and television broadcasting to the Ministry of Communications on the basis of regulations approved by the council itself;

7) verifies the financial statements and the data regarding the activities and assets of authorised subjects or concessionaires of radio and television services in conformity to regulatory arrangements;

8) ascertains the actual nature of dominant positions in the radio and television sector and forbidden by virtue of the present law and adopts the consequent measures;

9) carries out the functions and tasks assigned to the Commissioner for television and radio broadcasting and publishing, excluding the functions previously given the Commissioner pursuant to clause 1 of article 20 of law October 10th 1990 n. 287, which is repealed;

10) ascertains the non-observance by concessionaire companies of the radio and television services, of the guidelines laid down by the parliamentary commission for general policy and superintendence of radio and television services in conformity to articles 1 and 4 of law April 14th 1975 n. 103, and requires that the concessionaire takes the disciplinary action provided for in the contract of employment against the responsible managers;

11) expresses, within thirty days from the receipt of the relative documentation, its opinion as required by law, on the measures taken with regard to operators in the communications sector by the Authority instituted to guarantee competitiveness and fair market conditions following the application of articles 2, 3, 4, and 6 of law October 10th 1990, n. 287; said period having elapsed the measures will be implemented in the absence of the foregoing opinion;

12) within June 30th of every year it shall furnish the President of the Council of Ministers for submission to Parliament with a report on the activities undertaken by the Authority and on its programmes of work. The report shall contain, among other matters, data and reports concerning the sectors for which it is responsible, and in particular on technological development, resources, revenue, capital, potential and actual diffusion, ratings and audience data, the plurality of opinions in the information system, cross holdings in radio, television, the national press, periodical magazines and newspapers and other national and community-wide means of communication;

13) authorises the transfer of property of the companies which carry out the radio and television activities provided by law;

14) exercises all those other functions and powers provided by law November 14th 1995, n. 481, as well as all those other functions of the Authority not expressly attributed to the commission for the infrastructures and networks and the commission for services and products.

7. The tasks indicated under clause 6 may be devolved on the basis of an organisational regulation as set out in clause 9.

8. Separate accounting and administrative procedures which the companies operating in the sector of the concessions or authorisations must introduce shall clearly indicate the payments made for access and interconnection to telecommunications infrastructures, the costs incurred for the universal service and those for the installation and management of the infrastructures distinct from those referring to service supply and must enable the ascertainment of the non-existence of overlapping subsidies or discriminatory practices. The separation of the accounts must be implemented in the terms provided by the regulations set out under article 1, clause 2 of legislative- decree October 23rd 1996 n. 545, enacted, with modifications as law December 23rd 1996, n. 650. Companies operating in the sector of telecommunications shall publish, within two months from the approval of the financial statements, a document summarising the data contained in the financial statements, highlighting the elements referred to in the present clause.

9. The Authority, within ninety days from installation in office, shall adopt regulations for its organisation and functioning, for the drawing up of the financial statements, reports and the management of the expenditure, and in derogation from the provisions for the general accountancy methods of the state, as well as the for legal and economic employment conditions of personnel, on the basis of the regulations contained in law November 14th 1995 n. 481, and adhere to the arrangements for the carrying out of selection exams and recruitment procedure for the employment of personnel on the basis of fixed term contracts pursuant to clause 18. The Authority shall arrange for the autonomous management of the expenditure for its own functioning within the limits of the funds appropriated in the state budget and recorded in a specific item of the expenditure estimates of the Ministry of the treasury. The Authority implements the regulations on the operating and behavioural arrangements of the personal and the managers and the members of the Authority through the issue of a document called the Ethical Code of the Authority for equal protection in communications. All the deliberations and the regulations indicated in the present clause shall be adopted by a favourable majority vote of its members.

10. Any subject, bearer of private or public interests, or bearer of widespread interests organised in associations or committees, that could be damaged by the measures to by taken by the Authority, has the right to denounce violations of law by the Authority and to participate in the proceedings.

11. The Authority disciplines shall institute its own arrangements to regulate out of court settlements of controversies that may arise between users or categories of users and an authorised subject or the reception of licences or between authorised subjects or recipients of licences. For these controversies, identified by regulations introduced by the Authority, no recourse can be made to a court of law without there first having been made a compulsory attempt at settlement which shall be concluded within thirty days from the day on which the petition was put to the Authority. For this purpose, the terms for appealing to courts of law are suspended until the term for the conclusion of the arbitration proceedings elapses.

12. The measures taken by the Authority shall define the procedure for the minimum criteria adopted by the institutions of the European Union for the regulation of non-juridical procedures for the safeguard of the consumers and users. The criteria identified by the Authority in the definition of the foregoing procedures constitute the principles for the definition of the controversies which parties to the case agree to submit to arbitration.

13. The Authority avails itself of the organs of the Ministry of Communications and of the organs of the Ministry of the Interior as regards the safety and the regularity of the telecommunications services as well as of the organs and institutions of which the Commissioner for the protection of broadcasting and publishing can at present avail itself, on the basis of the present law. In view of the need for the decentralisation of its presence in the territory in order to ensure the necessary functions of government, fair-trading and supervision in the field of communication, regional committees for communications shall be functional organs of the Authority and which can be set up through regional laws within six months from the installation of the Authority and to which committees the present functions carried out by the regional radio and television committees will be attributed. The Authority in agreement with the permanent conference for the relations between state, regions and the autonomous provinces of Trento and Bolzano, shall draw up general guidelines on the requisites which the members of such committees must satisfy, criteria of incompatibility of the members and the organisational and financial arrangements of the committees. Within the foregoing period and in case of their non-institution, the functions of the regional committees for communications shall be performed by the present radio and television committees. The Authority in agreement with the permanent conference for the relations between the state, the regions and the autonomous provinces of Trento and Bolzano will adopt regulations in order to define the subject matter for which it is competent which can be delegated to the regional committees for communications. In the performance of its functions the Authority can ask for the consultancy of subjects or organisms of recognised independence and competence. Communications directed to the Authority are exempt from stamp duty. The Authority will co-ordinate with the competent organs of the Ministries of Defence and the Interior as regards matters of common interest.

14. The recruitment of permanent staff for regional committees for communications shall principally take place on the basis of the procedures for mobility provided for by article 4, clause 2 of the legislative decree May 12th 1995 n. 273 as regards the permanent staff of the Ministry of Posts and Telecommunications who, at the date on which the present law comes into force, will belong to the relative territorial inspectorate. A similar priority has been recognised with regard to personnel with executive functions of Ente poste Italiana (Italian postal authority) located within the territorial inspectorates themselves, and within the limits of the personnel allocated to the Ministry, as established by the legislative decree October 23rd 1996, n. 540, whose provisions were contained in law 23 December 1996, n. 650.

15. With the decree of the Ministry of the Interior in agreement with the Ministry of Communications and the Ministry of the Treasury, the structures, personnel and means of which the police telecommunications service can avail itself have been defined, within the limits of the resources in terms of personal allocated to the Ministry of the Interior and the appropriations included in the estimates of the latter ministry under the heading of public security. With the decree of the Ministry of Finance, in agreement with the Ministry of the Interior, the Ministry of Communications and the Ministry of the Treasury, the structures, personnel and the means of the Guardia di Finanza (excise police) are defined as regards its institutional duties in the specific sector of radio and television broadcasting and publishing.

16. The Authority will also collaborate with the Authorities and competent administrations of other states in order to facilitate their respective functions through the exchange of information and ideas.

17. A permanent staff list for the Authority is hereby instituted within the limit of two hundred and sixty persons. The final definition of the staff list will be made through a decree of the President of the Council of Ministers at the request of the Ministry of Communications and in agreement with the Ministries of the Treasury and the Public Administration and taking account of the Authority’ own favourable opinion formulated according to a survey of the task to be undertaken and also upon the basis for recourse to mobility procedures as provided for by the present law and in conformity to the ordinary budgetary appropriations made for the functioning of the Authority.

18. The Authority, in addition to permanent staff, may directly recruit personnel with fixed time contracts subject to the provision of private law for a number not in excess of sixty in accordance with the arrangements set out in article 2, clause 30, of law 14 November 1995 n. 481.

19. The Authority can, for justified reasons make use of employers of the state or other public bodies seconded, in the forms indicated by the respective regulatory systems, or on leave of absence pursuant to article 13 of the decree of the President of the Republic July 11th 1980 n. 382 and later modifications up to an overall number of 30 persons and of which no more than 20% with managerial qualifications, leaving a corresponding number of permanent places vacant. The staff to whom the present clause refers shall be paid the indemnity provided for by article 4 of the decree of the President of the Republic of July 10th 1991 n.231.

20. On the occasion of the first implementation of the present law the Authority may see to the recruitment of permanent staff to an extent of 50% of the posts indicated in the staffing list through a specific selection in proportion to the functions and responsibilities transferred to the Authority from the employed personnel of the Ministry of Communications and the Office of the Commissioner for radio and television broadcasting on condition that they are in possession of the responsibilities and professional and requisites for the performance of the single functions.

21. The Authority will be subject to the provisions set out in article 2 of law November 1995 n . 481 n. 481, which are not derogated from by the provisions of the present law. The provisions set out in clause 9, as exclusively concerns derogations from the provisions of the general public accounting, as well as clauses 16 and 19 of the present article are also applied to the other authorities set up by law November 14th 1995 n. 481, without charges to the account of the state.

22. With effect from the date on which the regulations on organisation as foreseen by clause 9 of the present article, clauses 1,2, 3, 4, 5, 12 and 13 of article56 of the law August 6th 1990 . 223 as also the second clause of article 8 of August 5th 1981 n. 416 come into force, the provisions under clauses 11 and 12 of the present article, clauses 7 and 8 of the article 6 of law August 6th 1990 . 223 are repealed. Similarly, every rule incompatible with the provisions of the present law are repealed. From the date of its installation the Authority will take over the administrative and juridical proceedings and become the new reference body for active and passive relations proceeding from the Commissioner for radio and television broadcasting and publishing.

23. Within ninety days from the coming into force of the present law, and at the proposal of the Ministry of Communications, one or more regulations are issued, in conformity to article 17, clause 2, of law August 23rd 1988, n. 400 in order to identify the responsibilities transferred, co-ordinate the functions of the Authority with those of the public administrations subject to the transfer of responsibilities, and reorganise or suppress offices of the said administration or revise the staff lists. As from the date on which the regulations come into force the legislative provisions and regulations governing the offices suppressed or re-organised and indicated in these regulations are repealed.

24. At the Ministry of Communications a permanent forum is set up for communications made up, not only of representatives of the ministry but also of experts with recognised expertise and by operators in the sector. The forum for communications has research and proactive functions in the field of multimedia and the new communications technology. The setting up of the forum will not entail additional financial charges for the state.

25. Until the coming into force of the Authority the Ministry of communications will perform the function given to the Authority under the present law, excepting those attributed to the Commissioner for the radio and television broadcasting and publishing, and also as regards the purposes as set out in article 1- bis of the legislative decree May 31st 1994 n. 332 enacted as law July 30the 1994 n. 474.

26. Recourses against the measures of the Authority are the exclusive jurisdiction of the administrative tribunal. The competence for judgements in the first instance is an exclusive and non-transferable competence of Lazio administrative court.

27.The Lazio regional administrative tribunal, before which a petition is laid for the suspension of the Authority’s measures, can pass immediate judgement on the merits of the case, with an abbreviated statement of the grounds for the decision. The same provisions apply to the supreme administrative tribunal in case of a request for the suspension of a sentence against which an appeal has been lodged. All the terms for the court proceedings are reduced by half and the operative part of the ruling will be published within seven days from the hearing by filing of the sentence. In the case of the concession of a provisional remedy, the hearing for the discussion of the merits of the case must take place within sixty days. In passing judgement the judge will also make a specific ruling on the costs of the provisional remedy. The parties involved have the right to appeal against sentences passed by the Lazio administrative tribunal immediately after the publication of the operative ruling, subject to the filing of a documented pleading, which must be deposited within thirty days from the notification of the sentence. Also in the case of immediate appeal article 33 of law December 6th 1971 n. 1034 is applied.

28. A national users’ council is hereby set up at the Authority made up of experts designated by the associations representing the various categories of users of telecommunications and radio and television services with qualifications in the fields of law, sociology, psychology, pedagogy, education and mass media and who have distinguished themselves for having promoted the rights and dignity of the person or of particular needs for the safeguarding of minors. The national users’ council will express opinions and formulate proposals to the Authority, Parliament and the government and to all the public and private bodies with responsibilities in audio-visual matters or whose activities in these sectors refer to all questions on the safeguarding of the rights of and legitimate needs of citizens as active subjects in the communicative process, and will also promote initiatives for the discussion and debate on such themes. With its own regulations the Authority provides the criteria for the designation, organisation and functioning of the national users’ council and fix the number of its members which shall not be more than eleven. The opinions and proposals which concern the safeguarding of the citizens as set out in article 1, clause 1, of law December 31st 1996, n. 675 will be transmitted to the Commissioner for the protection of personal data.

29.The subjects who in communications requested by the Authority furnish false accounting data or facts on the performance of their own activities are liable to the penalties provided for by article 262 of the Civil Code.

30. Those subjects who do not submit the documents, data and information to the Authority within the terms and in the manner prescribed will be punished with an administrative sanction of between one and two hundred million lire inflicted by the Authority itself.

31. The subjects who do not comply with the orders and invitations of the Authority, issued pursuant to the present law, shall be punished with an administrative and pecuniary sanction of between twenty and five hundred million lire. If the non-performance concerns measures adopted regarding the violation of the provisions on dominant positions, a pecuniary sanction of not less than 2 percent and not more than 5 percent of the total sales recorded by each of the persons concerned in the financial year that closed prior to the notification of the charge will be applied. The administrative sanctions provided for by the present law are imposed by the Authority itself.

32. If in the cases foreseen by clauses 29, 30 and 31, the violation in question is particularly serious or repeated, the suspension of the activity of the holder of the concession or licence or authorisation may be ordered or the revocation of the concession, licence or authorisation.


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Art. 2. The prohibition of dominant positions

1. In the sectors of sound and television broadcasting, also in the most developed forms, realised with any technical multimedia publishing means whatsoever, including electronic means and related sources of financing, any act or behaviour having as its objective or as its effect the creation or the maintenance of a dominant position by a single subject including controlled or affiliated subjects is forbidden.

2. Juridical acts, the operations of concentration and the understandings which are in contrast with the prohibitions established by the present article are unenforceable.

3. The subjects who operate in the sectors indicated in clause 1 are obliged to communicate to the Authority and to the Commissioner for competition and the free market, the agreements and holdings to which they belong for purposes of carrying out their respective activities.

4. The Authority superintends the trend and the development of the markets regarding the sectors referred to under clause 1, and will make public the findings of the enquiries conducted in the form of specific annual reports.

5. The Authority through is own regulations, adopted in conformity to the criteria of participation and openness as established by law August 7 1990 n. 241, and successive modifications, will regulate the measures as indicated in clause 7, the relative proceedings and the arrangements for their communication. In particular that the subjects concerned be duly notified when an enquiry is opened which directly concerns them, that they have the opportunity to present their own case in every stage of the enquiry and that the Authority be empowered to require that the subjects concerned supply information and exhibit documentation or third parties who may be in possession of such material, which may be useful for the enquiry in course, must be guaranteed. The Authority is expected to observe strict confidentiality on any news, information and data furnished to it in accordance to the law on the protection of persons and other subjects with regard to the handling of personal data for the purpose of safeguarding the privacy of the persons or companies involved.

6. On the basis of the national frequency plan, a single subject, or subjects controlled by or affiliated to subjects who in their turn control other holders of concessions on the basis of criteria identified by the present law, can neither be issued concessions or authorisations which allow them to cover more than 20 percent of respectively analogue television or radio networks and digital television or radio programmes, in the ambit of the national territory, transmitted over terrestrial broadcasting frequencies. For purposes of permitting the start up of markets in which the principles of pluralism and competition are fully respected, with regard to digital television and radio programmes the Authority may establish a transitory period in which the limits set out in the present clause are not applied. The Authority can establish for radio broadcasting in the national territory a percentage cover greater than 20 percent in respect of the principles of pluralism and competition. In the national plan for the allocation of frequencies, drawn up for purposes of assigning plant locations, having consulted the regions, for purposes of safeguarding linguistic minorities, and in agreement with the regions of Valle d’Aosta and Friuli-Venezia Giulia and the autonomous provinces of Trento and Bolzano, the Authority will fix the number of networks and programmes to be broadcast in a national or local ambit, taking due account of technological development and of frequencies which will planned on the basis of the following criteria:

a) the common location of the equipment;

b) electrical-radio parameters established in an uniform manner according to internationally recognised standards taking account of an adequate transitory period for the re-ordering of the present situation;

c) signals received without disturbance;

a reserve of frequencies for the diffusion of the radio and television signals for digital technology and the integrated use of satellites, cable and radio repeaters for terrestrial frequencies for link ups with broadcasting plant;

d) a reserve of frequencies allocated to sustain local television broadcasting amounting to one third of all the broadcasting frequencies for every user group; although additional resources can be assigned to local broadcasters after the drawing up of the frequency plan. The television areas will usually coincide with the territory of the region while the radio areas will coincide with the territory of the province.

e) the equivalence, within the limits of the technical compatibility, in terms of territorial coverage or the balancing out, over all the broadcasting companies on both a local and a national basis, of any insufficiency there may be of the frequencies available on some user or service areas;

f) a reserve for the diffusion of broadcasting channels for the diffusion of radio and televisions signals of foreign stations on behalf of recognised linguistic minorities which transmit in the languages used by the communities in question.

7. The Authority, in obedience to the changes in the characteristics of markets and having regard to the criteria indicated in clauses 1 and 8, without prejudice to the non-enforceability as indicated in clause 2, will adopt the measures necessary for the elimination or prevention of the creation of positions as set out in clause 1 or which are in any way harmful to pluralism. If the existence of such a position be discovered, an enquiry will be set up in the respect of the right of controverting and/ or presenting counter evidence, at whose conclusion steps will be taken such that these positions will be rapidly removed. If the performance of acts or operations are ascertained such as to bring about a situation forbidden under the clauses 1 and 2, their continuance will be forbidden and orders will be given for the removal of their effects. Where the Authority considers that it should implement measures which will affect the structure of the company by requiring the divestiture of subsidiaries companies or company sectors, it is required to fix an appropriate period within which the divestiture shall take place in the order itself, and in any case this period shall not be more than twelve months. In any case the measures regarding the limits on the concentration to which the present article refers, are to be applied on the occasion of the issue or renewal of concessions and authorisations.

8. In the exercise of its own powers the Authority can apply the following criteria:

a)the subjects to whom television concession are issued in a national context including for the public service, authorisations for the encrypted transmissions in a national context, or for both purposes, may raise revenue for a share not superior to 30% of the resources of the television sector in a national environment as regards encrypted and terrestrial broadcasting. The revenues with respect to the foregoing sentence are those deriving from the financing of the public service net of the fees due to the treasury, and from national advertising

b) the subjects to whom radio concessions have been issued for the national coverage of the territory can gather the economic resources deriving from revenues obtained from publicity and sponsorship for a quota non in excess of 30% of total resources obtained in the radio sector. For the purposes of the initial development of the sector, the Authority may fix a quota regarding the collection of economic resources superior to that laid down in the present letter.

c) the subjects to whom authorisation for television broadcasting via cable or via satellite has been issued can collect revenues for no more than 30% of the total reserves as they refer to the sector of national television broadcasters over cable or satellite. In order to make possible the start up of the market and also respect of the principles of pluralism and competition, the Authority will determine a transitory period during which the foreseen limits as provided for by the present letter are not applied. In the case of programmes offered in a co-ordinated manner, the limits to which the present letter refers are applied with reference to the single cable or satellite television stations that make up the offer.

d) the subjects who have shareholdings in companies operating in the sectors of radio-television broadcasting and newspaper and magazine publishing are allowed to collect, as the sum of the revenues from both sectors, revenues not in excess of 20 percent of the total amount of resources obtained from advertising, the fees from teleselling, sponsorships, revenues from agreements with public bodies, financing from the public service, revenues from pay-television supply, sales and subscriptions of newspapers and magazines, from the electronic publishing market for household consumption. The articles governing newspaper and magazine publishing shall also be subject to the provisions contained in law August 5th 1981 and later modifications. Similarly the respect of the limits of each sector as provided for in the foregoing law shall remain unchanged.

e) advertising concessionaires can gather financial resources in the radio and television sectors to a degree which shall not exceed the shares indicated under letters a), b), c) and d). The advertising concessionaire, controlled by or affiliated with a subject to whom a radio- television broadcasting concession or authorisation has been issued, can collect advertising also for other subjects to whom concessions have been given at a local level, within the limits set down by the first sentence of the present letter and upon condition that the said concessionaire company or subject collect advertising an exclusive basis for the concessionaire or authorised subject that controls it or who is related to it.

9. If only one of the quantitative limits indicated in letters a), b) and e) of clause 8 is reached by virtue of agreements or concentrations, the Authority will take due action, but in total respect for the principle of being able to controvert the Authority’s, pursuant to clause 7. If the subjects who in the performance of their radio and television activities exceed - at the moment of in which the law comes into force - the limits of the foregoing clause 8, through the spontaneous development of the company which does not produce a dominant position or eliminate or compromise pluralism and competition, the Authority, with a properly grounded action and at the same time informing Parliament, will not take action as prescribed by clause 7. For purposes of assessment, to be performed before the date of the issue or renewal of the concessions or authorisations, the Authority will invite the subjects concerned to demonstrate, within a pre-determined term and on the basis of appropriate documentation, that they do not have a dominant position as prohibited by law because the share reached is less than the limits set by clause 8 or because, although the limits as set out in clause 8 have been exceeded with regard to the reference market, and identified by taking account, inter alia of the presence or otherwise of technical, economic or juridical constraints on the entry into the reference market, and the possibility of access to productive factors, the size and number of the competition as also their structure, this fact by itself does not amount to their having a dominant position. In any case it will be the responsibility of the Authority to carry out all the necessary enquiries in order to determine the exact nature of the situation in question.

10. The limits set out in clause 8 do not apply to subjects holding television or radio concessions for terrestrial broadcasting frequencies or an authorisation to offer pay-tv services via cable or satellite which in both cases is issued for the broadcasting of a single national programme.

11. The overcoming of the quantitative limits regarding the acquisition of economic resources as set out in clause 8 must be verified over a congruent period of time, but in such period may not exceed twelve months.

12. The Authority, on the occasion of its report to Parliament on the characteristics of the reference markets, must make a clear assessment of the appropriateness of the limits indicated in the present article.

13. In order to favour the progressive penetration of new transmission technology, the holders of non-encrypted radio - television concessions for terrestrial broadcasting, are permitted, prior to authorisation by the Authority, to make simultaneous use of other means of transmission.

14. For purposes of defining a dominant position, the subjects who collect publicity revenues for a share in excess of 50% of the total sales of a broadcasting station, and the producers and distributors of audio-visual productions who on an annual basis supply products to an unencrypted television broadcaster for an annual percentage in excess of 35% of daily transmission or 35% of peak time viewing, as the Authority will define, are treated as being on a par to a subject with a concession or authorisation. The time spend for commercial advertising and teleselling is not to be included in the quantification of the broadcast time.

15. For the purposes of the application of clause 8 the advertising concessionaires who account for a share in excess of 50% of the revenues from advertising , sponsorship and teleselling fees in respect of each subject holding radio-television concessions or authorisations, shall be attributed the entire sum of the revenues of each such subject deriving from publicity, sponsorships, and teleselling fees.

16. For purposes of identifying the dominant positions forbidden by the present law, the shareholdings in the capital acquired or owned through companies controlled directly or indirectly, trust companies or third parties will be taken into consideration. Shareholdings which come into the possession of another subject with respect to whoever owned them previously as a consequence of or in connection with mergers, hiving offs, company take-overs, spin-offs or similar which may regard such subjects are considered acquired. When agreements exist among the various shareholders, in whatever manner it may be concluded, as regards concerted voting behaviour, or the management of the company, other than the mere consultation among shareholders, each of the shareholders is regarded, for purposes of the present law, as owner of the sum of the shares or shareholdings held by the shareholders in agreement among themselves or which such shareholders may control.

17. For purposes of the present law a control is said to exist, even with reference to subjects other than companies, in the cases set out in article 2359, clauses 1 and 2, of the Civil Code.

18. Control is regarded as existing in the form of a dominant influence, unless proved otherwise, whenever one of the following situations exist:

a) there is a subject who, by himself or according to agreed upon arrangements with others, has the possibility of exercising a majority vote in the ordinary shareholders’ meeting or to appoint or dismiss the majority of the directors;

b) there are relationships between shareholders, which are financial in character or organisational or economic such as to produce one of the following effects:

1) the transmission of profits or losses;

2) the co-ordination of the management of the company with that of other companies in order to pursue a common objective;

3) the attribution of greater powers with respect to those deriving from the ownership of shares or an equity stake;

4) the attribution to subjects other than those with legitimate interest on the basis of the shareholding structure of the company of powers to chose directors and executives of the companies;

5) the submission to a common direction, which may appear from the characteristics of the composition of the corporate organs or from other meaningful and significant elements.

19. In derogation from the provisions of the present article, with the exception of the provisions established in clause 8, letter c) the concessionaire company for the radio and television public service and the concessionaire company for public telecommunications services can, jointly, participate in the setting up of a single platform for the digital satellite or cable transmissions and for encrypted analogue transmissions on terrestrial networks, through joint venture agreements along with communication operators who hold concessions, authorisations, licenses or who, at least, appear on the register indicated in article 1, clause 6, letter a), number 5), of the present law. The platform is available to whoever may request to use it and has the appropriate qualifications, on the basis of principles of openness, and non-discrimination. The Authority will oversee the setting up and management of the platform by guaranteeing, through the adoption of specific measures, and also in conformity to clauses 31 and 32 of article 1, the observance of the principles of openness, competition and non discrimination between public and private subjects, as well as between subjects participating in the agreement indicated in the present clause and third parties who intend to distribute their own transmissions through the platform in question.

20. For the purpose of the application of articles 4, 7 and 8 of law August 7th 1990, n. 250, and article 7 of legislative decree August 27th 1993, n. 323, enacted with modifications, into law October 27th 1993, n. 422, the term daily transmissions is used to refer to those transmissions carried out in the timetable provided for by the foregoing provisions, with a frequency non - inferior to five days a week, or alternatively, one hundred and twenty days in a six successive months.


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Art. 3. Provisions on television transmission

1. Those subjects with legitimate operations in place on the date in which the present law comes in to force will be allowed to continue with the broadcasting of unencrypted sound and television signals at a national and local level until the new concessions are issued, or up until the rejection of the application, and in any case not after April 30th 1998.

2. The Authority shall approve the national plan for the assignment of frequencies as set out in article 2, clause 6, within and not beyond January 31st 1998. On the basis of the national plan of assignments of the frequencies the new private radio and television concessions must be issued by and not beyond April 30th 1998. These concessions, which have a duration of six years, can be issued with respect to the conditions defined in regulations adopted by the Authorities and taking account of the principles referred to in clause 3, to public limited companies, limited partnerships (corpnerships), in limited liability companies and co-operatives. The companies to which the present clause refers must be Italian or of a member state of the European Union. The control of companies by subjects with a citizenship or a nationality of a non-member state of the European Union is permitted on condition that in such states conditions of real reciprocity towards Italy exist, without prejudice to the provisions deriving from international agreements. The administrators of companies applying for the concession must not have received an irrevocable prison sentence for a period superior to six months and must not have been subject to security or preventive measures. The Authority, as regards exclusively radio transmissions, is authorised to allow derogations from the deadlines set out in clause 1 and for those referring to the drawing up of the national plan for the assignment of frequencies and the consequent issue of concessions, if the complexity of the plan for radio broadcasting make it impossible to complete the plan within the time schedules provided for. The plan should, however, be prepared within December 31st 1998 and the issue of the relative concessions should take place within and not beyond April 30th 1999. In case of derogation, the continuance of the radio broadcasting is permitted as referred to in clause 1, up until the issue of new concessions or until the rejection of the application and in any case not beyond April 30th 1999.

3. For purposes of the issue of radio - television concessions the regulations indicated in clause 2, and issued after having heard the national associations of broadcasting station or private network owners, provides that there should be:

a) for the national radio and television broadcasters:

1) an adequate amount of share capital and the adoption of corporate bye-laws which will allow for the maximum degree of openness in the company’s operations in accordance with clauses 16 and 17 of article 2;

2) a distinction, among the subjects making application, aimed at identifying broadcasting stations which, according to the production project presented, guarantee a programme of productions aimed at diversifying the supply and in accordance with market conditions, a significant quota of in-house and Italian and European production, a sizeable programme given over to information, an adequate number of employees and investment plans co-ordinated with the production project.

b) for local radio and television broadcasters and national radio broadcasters, the following executive criteria apply:

1) the simplification of the conditions, subjective requisites and procedures for the issue of the concessions;

2) the distinction with regard to local radio and television broadcasters between local broadcasters with exclusively commercial objectives and broadcasters with information objectives identified by criteria that will be decided upon by the Authority. The possibility of being able to make use of benefits and incentives, already provided for by the preceding statute laws, is exclusively limited to broadcasters obliged to provide information and broadcasters as described in article 16, clause 5, of law August 6th 1990 n. 223.

3) An indication of subsequent provisions aimed at favouring the availability of production and transmission structures for common use, technical and productive investments, the buying and selling of companies, plant and company sectors, the divestitures and mergers as well as the creation of service consortiums and the entrance of local radio - television broadcasters into the market of telecommunications services.

4) The possibility for local radio and television broadcasters to transmit differential information programmes for no more than one fifth of the hours of daily transmission in relation to the various territorial areas makin up the user group.

5) The indication of specific future provisions for advertising material, sponsorship and teleselling.

6) In the interim period before the government issues one or more sets of regulations for radio and television broadcasters at a local level, the sanctions provided for by article 31 of law August 6th 1990 n. 223 are reduced by one tenth.

7) In the national radio and television broadcasting system, the local broadcaster who decide to dedicate at least 70% of their single-subject daily programming to questions of objective social utility, such as health, health care and social services, and which can be classified as social service broadcasters are considered particular important. The local broadcasters with single-subject programming of clear social utility shall also be considered for the division of the public advertising reserved to local broadcasters and to local and national radio broadcasters in conformity to clause 1 of article 9 of law August 6th 1990, n. 223 in replacement of article 11 - bis of the legislative decree August 27th 1993, n. 323 enacted, with modifications, as law October 27th 1993 n. 422, and, most recently, article 1, clause 10, of the legislative decree October 23rd 1996, n. 545, enacted, with modifications, as law December 23rd 1996 n 650. The local broadcasters who propose to take on the characteristics and the commitment as provided for in the first sentence have priority rights to reimbursements and the reduction of the tariffs established by article 7 of law August 7th 1990, n. 250 and by article 7 of legislative decree August 27th 1993, n. 323, enacted with modifications as law October 27th 1993 n. 422. As a supplement to the foregoing laws, for those local broadcasters who dedicate at least 70% of their own programming to subject matters of clear social utility, the measure of the reimbursements and the reductions will be established in terms of cost for both the information agencies and the general overheads for electricity, telephones and telecommunications, including the use of satellites, to the extent foreseen by current law.

4. In the ambit of the reorganisation of the national plan for the assignment of frequencies, such frequencies are assigned in a priority manner, to subjects who hold community concessions.

5. The concessions regarding radio television broadcasters at national level must make it possible to broadcast programmes on the basis of technical criteria established by article 2, clause 6, and, at least, the broadcasting of a signal in a geographical area which covers at least 80% of the territory and all the provincial capital cities. The concessions regarding the radio broadcasters at a national level must make possible the broadcasting of a signal in a geographical area which covers at least 60% of the territory and all the provincial capital cities. The national plan for the assignment of frequencies reserves at least one third of the broadcast programmes to local television stations and, usually, 70% of the programmes to be broadcast to local radio stations. In the national plan for the assignment of frequencies provision will be made for a reserve of frequencies:-

a) for local radio and television broadcasters and national radio broadcasters who broadcast cultural, ethnic and religious productions and which undertake not to transmit advertising for more than 5% of their hourly programme schedules. The concession for these broadcasters can be issued whether or not they are made up of recognised or non-recognised associations, foundations, or non-profit making co-operatives.

b) for the introduction of digital radio and television broadcasting as set out in article 2, clause 6, letter d). The concessionaire of the public service and also authorised companies or concessionaires for television or FM sound broadcasting that for this objective may set up a consortium between themselves or with other concessionaires for the management of the relative equipment are allowed to carry out transmission making use of digital sound and television broadcasting technology.

6. The television broadcasters operating at a national level who exceed the limits provided for by article 2, clause 6, can continue in a transitory manner until April 30th 1998 to manage the networks in excess of the limits in question, in respect of the obligations laid down for national broadcasters holding concessions, on condition that said transmissions are conducted simultaneously over terrestrial frequencies and via satellite or via cable and that, successively at the deadline as established by clause 7, exclusively via cable or via satellite.

7. The Authority, in relation to a real and congruous development of the market for cable and satellite radio and television programmes, will indicate the deadline by which the programmes broadcast by the broadcaster as indicated in clause 6 must be transmitted exclusively by satellite or cable.

8. Upon the coming into force of the present law the Authority shall order the discontinuation of the use of frequencies which in its view are not essential to the subjects carrying out radio and television activities for the transmission of their signals to the geographical area of service and user group. The Authority will assign, where necessary on an interim basis, such frequencies to holders of concessions or authorisations for radio and television broadcasting at a national and local level whose level of coverage of the population resident in the reference population to which the concession or authorisation refers is less than 90%. Broadcaster who transmit encrypted signals are excluded from such assignations which will take place in conformity to the criteria laid down by the Constitutional Court sentence of December 7th 1994, n. 420. The arrangements to which the present clause refers will be implemented by the Ministry of Communications up until such time as the Authority will commence to operate.

9. The provisions regarding the limitations upon the raising of economic resources as set out by the present law will come into force as from 30 April 1998. Within this date the concessionaire of the radio and television public service is required to present a reorganisation plan to the Authority whereby one of its television networks will be transformed into a broadcasting network which cannot avail itself of adverting revenue but without prejudice to the unity character of the public service. In the plan presented by the Authority apposite arrangements shall be made for, respectively, the Valle d’Aosta, Fruili-Venezia Giulia regions and for the autonomous provinces of Trento and of Bolzano with the regions and with the provinces in order to safeguard linguistic minorities and on the basis of a logic of trans-frontier co-operation. The broadcaster to whom the second sentence refers, shall not be subject to the limits laid down by article 2, clauses 6 and 8. The Authority having evaluated the reorganisation plan, heard the parliamentary commission for general guidelines and the supervision of radio and television services, shall indicate the term by which the broadcaser referred to in the present clause shall be set up, together with an indication of the term referred to in clause 7.

10. The radio and television broadcasting originating in the national territory including encrypted transmission, is subject to authorisation by the Authority or until such time as it is set up, by the Ministry of Communications, upon the basis of appositely drawn up regulations.

11. No subject may hold more than one television concession for terrestrial frequencies in a national ambit as concerns encrypted transmissions. The subjects who lawfully manage more than one television network for encrypted transmissions on a national basis when the present law comes into force must, pursuant to the provisions of clause 2 of the present article, as from December 31st 1997, transfer the transmissions from one of their networks onto cable or satellite networks. Each operator can continue the operation of two networks up until April 30th 1998. As from the date indicated in the foregoing sentence, the excess network can be run on a provisional basis, upon the same conditions and within the terms established by clauses 6 and 7. The Authority will introduce a special set of regulations to govern the encrypted transmissions on terrestrial frequencies and will take account in the indication of the deadline referred to in clause 7, of the particular nature of such types of transmission. The Authority or the Ministry of Communications, up to the date on which the Authority begins operation, and on a provisional basis before the approval of the national plan for the assignment of frequencies, may assign the free frequencies, including those rendered free by the transfer onto cable or satellites of networks, as indicated in the present clause, to concessionaires or authorised companies operating on a national or local basis which find themselves in the conditions established in clause 8. Within ninety days the Ministry of Communications will adopt, on the basis of the provisions contained in the present law and the regulations as indicated in article 1, clause 2 of the legislative decree October 23 1996 n. 545, enacted with modifications, as law December 23rd 1996, n. 650, regulations to govern cable radio and television services. The provisions of article 11, clauses 1 and 2 of legislative decree law August 27th 1993, n. 323, enacted with modifications, as law October 27th 1993 n. 422 which are in contrast with the present law are repealed.

12. The effects produced by the pre-existing law on the subject matter shall remain in force, especially as concerns the proceedings in course for the application of sanctions, the violations ascertained and the sanctions applied.

13. As from January 1st 1998, the buildings comprising several newly built residential units or those subject to general restoration, for the purposes of the reception of satellite radio television transmissions will usually avail themselves of collective antennas and can install or make use of cable networks for the distribution of the transmission received via collective antennas to the single residential units. Within one hundred and eighty days from the coming into force of the present law the municipalities shall issue regulations regarding the installation of satellite radio-television reception devices in historical centres in order to guarantee the protection of the built environment.

14. The measures for the realisation of new plant or for the re-qualification of existing plant, as concerns the distribution of cable or satellite signals within buildings or habitations are rated for Vat purposes at 4%. Similar measures apply to subscriptions to radio and television services for closed user groups transmitted in digital form over cable or satellites and including the relative decoders.

15. The following words are eliminated from article 1, clause 2, of law November 14 1995 n. 481: "including hereby for purposes of the clause credit operations"

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17. The companies broadcasting radio and television programmes on a local basis may make direct links either through mobile repeaters or temporary connections on the occasion of events relating to news, politics, entertainment, culture, sport and current events.

18. Public limited companies are allowed to acquire concessionaire companies carrying out sound and television radio broadcasts as indicated in article 1 of legislative decree October 23rd 1996 n. 545, enacted with modifications, as law December 23rd 1996 n. 650, operating in the form of co-operative with limited responsibility.

19. Until the issue of the new concessions for sound radio broadcasting the transfer and sale of plant or company sectors between national radio broadcasters or between the latter and the subjects with authorisations as set out in articles 38 and later articles of law April 14th 1975 n. 103 is permitted in accordance with the procedures laid down in article 1, clause 13, of the legislative decree October 23rd 1996 n. 545, enacted with modifications as law December 23rd 1996 n. 650.

20. The licence fees for the concessions regarding private radio and television broadcasting at the national level fall due from the moment in which the instrument awarding the concession is received.

21. When the present law enters into force the transfer of shareholdings or stakes in private concessionaire companies are possible on condition that the shareholding structure that emerges from it is in line with the provisions of clause 2 of the present article.

22. The provisions as set out in the law August 6th 1990 n. 223, are applied on condition that the radio and television companies request them to be applied, and even if a plan for the assignment of radio and television frequencies and territorial co-ordination plans is not available. In this case reference will be made to the areas where the broadcasting and repeater equipment made use of by radio and television broadcasters is sited.

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24. The licence fee for the sound radio broadcasting service is waived for a period of ten years.


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Art. 4. Networks and telecommunication services

1. As from the date on which the present law enters into force the installation of cable or terrestrial frequency telecommunications networks, on a non- exclusive basis, will be subordinate to the issue of a licence from the Authority. As from the same date the administration of telecommunications networks and the supply of telecommunications services are subordinate to the issue of licences and authorisations from the Authority. The installation of terrestrial stations for satellite services, according to the procedures laid down in the legislative decree February 11th 1997 . 55 is subject to an authorisation issued by the Authority.

2. The licences and the authorisations referred to in clause 1 are issued on the basis of the provisions contained in the regulations referred to in article 1, clause 2, of the legislative decree October 23rd 1996, n. 545, enacted, with modifications, as law December 23rd 1996 n. 650.

3. The installation of the telecommunication networks on public property is subordinate to the issue of a concession for the use of public land by municipalities and, in any case, in a non-discriminatory manner as regards the various subjects who make application. With regard to such concessions the municipalities may require applicants to observe obligations with a civic character. For this purpose, the Authority will issue a regulation that provides an outline framework with regard to the arrangements and limits with which such obligations are to be construed, whose validity will also include previously issued concessions, at the request of the municipalities involved. The installation of backbone networks, as defined by an apposite regulation issued by the Authority is exclusively subject to the issue of a licence on the part of the Authority itself. The measures referred to in the present clause, as also the radio broadcasting concessions indicated in the plan for the assignment of frequencies shall constitute a statement of immediate and urgent pubic utility with regard to the work involved. The areas acquired shall be considered inalienable property of the municipality. For the acquisition of opinions, authorisations and permits as provided for by the environmental legislation on the building and health a conference of the public services involved shall be set up in conformity to article 14 of law August 7the 1990 n. 241, and successive modifications a public service conference. As regards networks set up under articles 184 and 214 of the framework law on postal, postal banking and telecommunications, as approved by the decree of the President of the Republic March 29th 1973 n. 156, the arrangements contained within said framework law with reference to the legal limitations of the property and easement rights apply. The responsibilities with regard to landscape and town planning matters of regions with special charters and the autonomous provinces are not affected by the present law.

4. The companies that install or manage telecommunications networks and the operators who supply telecommunications services through such networks are obliged, within the terms prescribed by the regulations referred to under article 1, clause 2, of the legislative decree October 23rd 1996, n. 545, enacted with modifications as law December 23rd 1996 n. 650, to keep the accounts on respectively the installation and management of the networks as also the activities concerning the supply of services. The companies holding telecommunications licences are similarly obliged to keep separate accounts on activities conducted on the supply of the universal service separate from the other accounts. The accounts kept in pursuant to the present clause are subject to control by the an independent auditing company chosen from those registered on the special register kept with the national Commission for companies and the stock exchange (CONSOB) under the decree of the President of the Republic March 31st n. 136 whenever the volume of its total sales exceed the limit fixed by the Authority, which is also responsible for defining the criteria for the keeping of separate accounts on the business activity within six months from the coming into force of the present law.

5. The plant to which radio and television concessions refer can be made use of for the distribution of telecommunications services. In this case, the subjects to whom concessions for local activities are provided are obliged to keep accounts relative to radio and television business separate from those referring to the telecommunications activities, while the holders of concessions for national broadcasting are obliged to set up separate companies for the running of the plant. The arrangements to which the present clause refers will take effect after the plant in question has been adjusted to take account of requirements of the national plan for the assignment of frequencies, and such adjustment must take place within one hundred and eighty days from the approved of the plan.

6. The companies holding concessions for public utility services which have realised, for their own needs, telecommunication networks are obliged to set up distinct companies for the performance of any type of activity in the field of telecommunications. The concessionaire company for the public service involved in telecommunications services cannot take out shareholdings, directly or indirectly thorough controlling or controlled companies, or affiliated companies, with regard to those companies providing public utility services which have realised the foregoing networks nor acquire real rights or obligations with regard to such networks.

7. The Authority confirms the concessions given to companies which are concessionaires of the public radio and television and telecommunications services and also their allied agreements. The installation of large band infrastructure on the part of the public telecommunications services concessionaire is subject to the concession as indicated in clause 3. The installation, running and supply of networks as also the supply of telecommunications serves on the part of companies indicated in clauses 5 and 6 are subordinate to the issue of the measures as set out in clauses 1, 2 and 3 of the present article as well as the respect of the principles of objectivity, openness and non-discrimination.

8. On the telecommunications networks all telecommunications services can be offered. Up until January 1st 1998, the telecommunications public service concessionaire shall retain exclusivity in voice telephone services, but without prejudice to the opportunity of experimentation on the part of subjects who have made a request in this sense to the Authority and who received appropriate authorisation. Until this date the companies to whom exclusive licences are issued for telecommunications cannot produce radio television productions. The concessionaire of the public service or the telecommunications service cannot be the direct or indirect recipient of exclusive concessions on unencrypted terrestrial frequencies and nor may they supply services or programmes or collect publicity revenue for national or local radio - television concessionaires using unencrypted terrestrial frequencies.

9. The offer of vocal telephony services as from January 1st 1998 is subject to a government approved price regime. The concessionaire of the public telecommunications service, for a period not above two years from the date on which the present law comes into force is also subject to a tariff regime as concerns voice telephony services. The tariffs are set pursuant to article 2, clause 18 of law November 14th 1995, . 481, with the objective of balancing the impact of public tariffs and cost distribution. The Authority exercises the supervision on the prices carried out and adopts the measures necessary to ensure conditions of real competition.


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Art. 5. Interconnection, access and the universal service

1. The subjects to whom licences or authorisation are given for the installation of networks or for the supply of telecommunications services as also the subjects who hold authorisations for the running of networks shall regulate the relationships of interconnection and access on the basis of negotiations in conformity to rules issued by the Authority and the following criteria:

a) the promotion of a competitive market of networks and services

b) the guarantee of interconnection between the networks and the services on local, national and E.U: markets,

c) the guarantee of communication between user terminals where compatible, of non discrimination and of the proportionality of the duties and rights between the operators and the suppliers.

2. The remuneration of the obligation for the universal service is governed according to principles set out in the regulations of implementation referred to by legislative decree October 23rd 1996 n. 542 enacted with modifications as law December 23rd 1996 n. 650.

3. The subjects authorised to offer telecommunications services pursuant to article 4 have the right of access to the networks. Access can be limited by the Authority for reasons of a) safety for the functioning of the network, b) maintenance of the integrity of the network, c) interoperability of the services, in case that there emerge good grounds of general and not economic interest.

4. If there are reasons regarding data protection, including personal data, confidentiality of the information transmitted or recorded and the safeguarding of privacy, access can be limited by the Commissioner for the protection of personal data, in agreement with the Authority.

5. The obligations relating to the supply of a universal service, including those of national public interest, and with specific connection to services of public security, public assistance services, national defence, civic protection, the administration of justice, teaching and government, and the procedures to be chosen by the Authority with respect to subjects for whom an obligation exists to perform them, are fixed on the basis of criteria established by the European Union.

6. The provisions set out in clause 4 of the present law and also in the present clause may be modified at the request of the Ministry of –Communications, according to the procedures of article 17, clause 2, of law August 23rd 1988 n. 400, after having consulted the Authority and the competent parliamentary commissions.


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Art. 6. Financial Cover

1. The costs of the present law, estimated at Lit. 52,090,000,000 a year shall be met by:

a) for the amount of Lit. 32,090,000,000, per year the use of resources already allocated to the Commissioner for free trade and competition in broadcasting and publishing;

b) for the amount of Lit. 20 billion through the arrangements set out in article 2, clause 38, letter b) and later clauses, of law November 14th 1995, n. 481.

2. On the basis of said arrangements, fees can be arranged where necessary for the services provided by the Authority as required by law, including the keeping of the register of operators, and would be applied on the basis of criteria that take account of the differential level of costs required for the separate activities.

3. The Ministry of the Treasury is authorised to make, with its own decrees, the necessary variations in the budget.

 

Art. 7. The coming into force

1. The present law comes in force on the day following its publication in the Official Gazette.


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