ITSPA Responds To Consultation On Regulation Of VoIP

by Robin Pilgrim, LawAndTax-News.com, London

19 May 2006

The Internet Telephony Service Providers' Association (ITSPA) on Tuesday published a comprehensive response to Ofcom's consultation on the regulation of VoIP services, which deliver telephone calls over broadband connections rather than traditional telephone networks.

In February of this year, Ofcom published new proposals on its approach to Voice over Internet Protocol services.

Explaining the reasoning behind the proposed new approach, the telecoms regulator announced at the time that:

"Since Ofcom published its interim guidance on VoIP services in 2004, these services have developed significantly in terms of the choice of providers, the services offered and the equipment that customers use."

"Awareness of these new services continues to increase, particularly among broadband customers, and industry estimates suggest that there are now more than 500,000 active VoIP users in the UK. Take-up growth is forecast to continue and as more people start to use VoIP services, Ofcom is required to ensure that regulatory requirements are continually adapted to meet the needs of both customers and providers."

Ofcom proposed a code for VoIP service providers to ensure customers are given important information about service capability. It also unveiled plans to update its guidance to encourage VoIP providers to offer access to 999 emergency services, and to help them comply with existing regulation of voice services, including requirements for Publicly Available Telephone Services (PATS).

In its response, ITSPA announced that:

"The Ofcom consultation on the Regulation of VoIP Services is hugely significant for the future of this nascent industry. The detailed ITSPA response acknowledges the need to provide VoIP end users (both consumers and businesses alike) with the necessary information to empower them to understand and exploit the new technology. Indeed, ITSPA’s Code of Practice already ensures the provision of this information."

"There are, however, some significant concerns amongst ITSPA members about Ofcom’s proposals. ITSPA fully agrees with the need to ensure maximum access to emergency services in the UK; however, ITSPA members are concerned that Ofcom’s proposals will conversely raise the barriers to the provision of emergency access by VoIP providers."

"VoIP has already proven to be a vital third means of communication (in addition to mobile and traditional fixed line networks). For instance, after the terrible events in London on 7th July 2005, many citizens found that the only means of communicating with friends and relatives was via VoIP, as the number of calls being made overwhelmed mobile networks. ITSPA is keen to ensure that this public benefit can be further extended."

ITSPA's response to Ofcom’s consultation highlighted the following key issues:

• ITSPA believes in the need to ensure maximum access to emergency services, and that VoIP services offer a vital third means of access (along with traditional fixed line and mobile phones);
• Ofcom must ensure that regulation is enforceable on extraterritorial service providers, otherwise UK VoIP providers could be at a competitive disadvantage, yet UK consumers would not be offered the same protection from unscrupulous offshore service providers;
• In the interest of consumers and businesses, number portability should be made as easy and transparent as possible: regulatory definitions of services are irrelevant to the end user;
• The proposals should be proportionate to all voice service providers and Ofcom should not implement excessive regulation on an industry that hasn't fully matured; and
• ITSPA believes that its self-regulatory initiatives, which are already in place, ensure consumers are properly and appropriately informed about VoIP services. Ofcom should consider these initiatives before other regulatory proposals are implemented.

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