Communications policyRegulatory and institutional structure
Summarise the regulatory framework for the communications sector. Do any foreign ownership restrictions apply to communications services?
The United Arab Emirates (UAE) consists of seven Emirates, each of which operates as its own legal jurisdiction, and laws are made at both a federal and an Emirate level. Some Emirates have defined areas within them that have been designated as freezones, which typically have separate civil and commercial laws for businesses and individuals in the relevant freezone, although they all remain subject to the UAE federal criminal law. Examples of freezones in the UAE include Dubai International Financial Centre, Dubai Creative Clusters Authority and Abu Dhabi Global Markets. For the purposes of this chapter, unless otherwise specified, we focus on the laws and regulations applying at a federal level.
The principal law in the UAE that relates to the communications sector is Federal Law No. 3 of 2003 Regarding the Organisation of the Telecommunications Sector (the Telecoms Law). The Telecoms Law establishes the Telecoms Regulatory Authority (the TRA) as the regulator of the telecommunications and information technology sector in the UAE. The Telecoms Law establishes a licensing-based regulatory framework for the supply of telecommunications services to customers in the UAE. Article 37 of the Telecoms Law, for instance, provides that individuals and corporate entities may not provide ‘telecommunications services’ through ‘public telecommunications networks’ to customers and ‘subscribers’ without obtaining a licence. Article 37 of the Telecoms Law is complemented by the TRA’s Resolution No. (6) of 2008 regarding the Licensing Framework (the Licensing Framework). The Licensing Framework provides that ‘regulated activities in the state are licensable’ by the TRA. Here, ‘Regulated Activities’ means the operation of a ‘public telecommunications network’ or the provision of ‘telecommunication services’.
Telecommunications services are defined in the Telecoms Law as delivering, broadcasting, converting or receiving, through a telecommunications network:
- wire and wireless communications;
- voice, music and other audio material;
- viewable images;
- signals used or transmission (other than public broadcasts);
- signals used to operate and control machinery or equipment;
- activities relating to the interconnection of equipment with a public telecommunications network;
- operating data transmission services, including the internet; and
- any other services approved by the High Committee appointed under the Telecoms Law.
Foreign ownership restrictions apply across the UAE and, generally, across all sectors. The precise requirements vary depending on the type of entity in question and the incorporation location of the entity. Local Limited Liability Companies generally cannot have a foreign shareholder holding a majority interest.
Companies established in freezones are exempted from these foreign shareholder restrictions and can be wholly foreign owned, and several international communications operators have established wholly owned entities in such freezones; however, they cannot offer public telecommunications services in the UAE which, since 2006, has been a closed duopoly market.
The two providers of public telecommunications services (‘Etisalat’ and ‘du’) are licensees of the TRA. The eligibility element of each licence refers to the licensee being a ‘UAE juridical entity established and in good standing under the laws of the UAE’.
Other than public telecommunications services, there is some scope for non-UAE businesses to actively participate in the broader communications sector, although even international businesses that have procured a specific licence from the TRA have largely done so through a UAE-incorporated entity as the licensee.Authorisation/licensing regime
Describe the authorisation or licensing regime.
Under the Telecoms Law, the provision, operation or sale of any telecommunications services through a public telecommunications network in the UAE requires a licence from the TRA.
Currently only two operators are licensed for public telecommunications in the UAE: du and Etisalat. This follows government policy on the operation of a duopoly in the telecommunications field. We understand the TRA is not currently considering further licences to break the duopoly.
The licences granted to Etisalat and du have various features; for example, each is required to filter the content that flows through its networks in line with the priorities of the state. Notable content filtering takes place in relation to matters concerning the state, foreign policy and morality issues. The decision as to which content should be filtered is essentially made through private discussions between the TRA and the mobile operators (with reference to TRA policies on internet access), but there is no practice of publishing details on specific content-level filtering rationale.
In addition to the duopoly policy on fixed and mobile public telecommunications services, the TRA has issued licences to other UAE entities for specific purposes, such as broadcast satellite transmission, public access mobile radio, mobile satellite and satellite services.
All such licences are issued individually to entities meeting various requirements under the Telecoms Law and pursuant to a decision made by the TRA board. A licence can be categorised as either a class licence or an individual licence. Individual licences refer to whether scarce resources are requested such as spectrum or frequencies; class licences are issued where non-scarce resources are required and where the activities are insignificant enough that less regulatory supervision is required.
The TRA provides a short application form to be completed by a potential licensee, which includes relevant information such as management and shareholding structures, their business operations, including the type of networks and services they intend to provide and funding sources for these business operations. There is a fixed licence application fee, which is currently set at 20,000 dirham.Flexibility in spectrum use
Do spectrum licences generally specify the permitted use or is permitted use (fully or partly) unrestricted? Is licensed spectrum tradable or assignable?
The Telecoms Law gives the TRA responsibility for managing and regulating radio spectrum in the UAE. There is no established spectrum trading or leasing practice. The TRA grants temporary authorisations on application for up to 90 days and such authorisations are specific to the applicant.
In common with many other jurisdictions, the UAE has a National Spectrum Plan. This is issued by the TRA and provides that certain services can only be provided within certain spectrum bands. In practice, the TRA is known to have shown some flexibility in certain cases where this would not cause interference. The UAE is aiming for early 5G development before 2020. All of the 800, 900 and 1,800MHz spectrum has been divided between the two mobile operators, which means higher bandwidths can be supported in all frequency bands. Not all the 2,100MHz band is currently licensed and the 3,500MHz band is licenced for fixed wireless access.Ex-ante regulatory obligations
Which communications markets and segments are subject to ex-ante regulation? What remedies may be imposed?
Under the Telecoms Law, the TRA does have the power to issue ex-ante regulations and decisions in regard to practices, as well as conduct ex-post investigations. Until 2012, it was not uncommon for the TRA to publish determinations and decisions in relation to telecommunications services publicly, including on their website. Since 2012, it appears the regulator has taken the decision not to publish such determinations and decisions publicly, but communicate them only to the relevant entities instead.
The TRA has issued a short regulatory policy on ex-ante competition safeguards, which details the factors it will take into account in assessing competition and dominance in the UAE. The policy provides wide discretion to the TRA with regard to the remedies to be imposed depending on the outcome of an assessment of the level of competition in the relevant market.Structural or functional separation
Is there a legal basis for requiring structural or functional separation between an operator’s network and service activities? Has structural or functional separation been introduced or is it being contemplated?
There is currently no directive that imposes structural or functional separation between an operator’s network and its services in the UAE.Universal service obligations and financing
Outline any universal service obligations. How is provision of these services financed?
It is the responsibility of the TRA to oversee the provision of telecommunications services throughout each Emirate of the UAE and ensure that they are sufficient to meet public demand across the UAE; however, this has not taken the form of a hard universal service obligation. The TRA fulfils this obligation via its relationships with the state-backed public telecoms companies who each have references in their licences to financial obligations around universal service obligations; however, these provisions are typically only references back to the general regulatory framework rather than a specific, hard obligation. Etisalat’s TRA licence differs from that of du on the issue of universal service and has a harder obligation that extends to certain services such as dial-up internet services.
The two public telecoms operators, Etisalat and du, are majority owned by the government and have invested heavily in infrastructure and broadband. Given the nature of the duopoly, there are no direct government subsidies.Number allocation and portability
Describe the number allocation scheme and number portability regime in your jurisdiction.
Under the Telecoms Law, the TRA has the authority to control the allocation of telephone numbers and numbering plans. To this end, the TRA has released a National Numbering Plan that sets out this approach to number allocation. This includes the numbering regimes used to indicate which Emirate the call arose from, as well as reserving certain numbers for the emergency service and premium paid-for calls.
The licensed operators can apply to the TRA for allocation of a batch of numbers, which is granted on the basis of capacity, future demand, utilisation by the licensee and administrative effort. The TRA allocates rights to use numbers in continuous blocks of up to 100,000 numbers. The licensed operators are then responsible for allocating the numbers to their subscribers.
At the end of 2013, the UAE implemented a mobile number portability programme. Notwithstanding the MVNO/Independent Branded Services mentioned in question 16, there are only two mobile network operators in the UAE and so, the only number portability is between the two. Both networks offer a number porting application form that can be submitted to request a number transfer.Customer terms and conditions
Are customer terms and conditions in the communications sector subject to specific rules?
The TRA is empowered by the Telecoms Law to represent customer interests in the UAE. This includes issuing rules or regulations relating to the terms of supply to the customer. In January 2017 the TRA issued the latest version of the Consumer Protection Regulations, which include key terms that must be included in contracts with customers, such as restrictions on usage and rights to terminate, and detailed information that must be provided to the customer prior to the purchase of a service.Net neutrality
Are there limits on an internet service provider’s freedom to control or prioritise the type or source of data that it delivers? Are there any other specific regulations or guidelines on net neutrality?
There are no specific regulations requiring net neutrality in the UAE. Both of the public telecoms operators have offered plans with ‘zero-rating’ on certain social media applications, such as Facebook, WhatsApp or Twitter.
Bandwidth throttling by ISPs is quite common. Network traffic that relates to Voice over Internet Protocol (VoIP) services is often blocked or has its capacity reduced in order to give partial effect to the TRA’s policy on VoIP services, whereby such services (where there is network breakout) are not permitted unless provided by one of either Etisalat or du.Platform regulation
Is there specific legislation or regulation in place, and have there been any enforcement initiatives relating to digital platforms?
There is no specific legislation or regulation in relation to digital platforms.Next-Generation-Access (NGA) networks
Are there specific regulatory obligations applicable to NGA networks? Is there a government financial scheme to promote basic broadband or NGA broadband penetration?
There are no specific regulations in relation to NGA networks. Etisalat and du are both committed to providing high-speed networks across the UAE, and the UAE has a very high penetration of fibre to home connectivity. Given the nature of the public telecommunications duopoly in the UAE, there are no direct government subsidies or financial schemes available.Data protection
Is there a specific data protection regime applicable to the communications sector?
No, the only communications sector-specific data protection principles come from general consumer protection guidance issued by the TRA rather than through a data protection regime covering the communications sector. The UAE does not currently have a stand-alone data protection law in place, so privacy is protected by a variety of different laws such as the Penal Code (Federal Law No. 3 of 1987) restrictions on publishing information that relates to private or family life.
Certain freezones, such as the Dubai International Finance Centre, Abu Dhabi Global Market and Dubai Healthcare City have enacted data protection laws that ensure that all personal data in the freezone is treated lawfully and securely when it is stored, processed, used, disseminated or disclosed. These include certain formalities before personal data may be transferred outside their respective jurisdictions (such as obtaining the consent of relevant individuals).Cybersecurity
Is there specific legislation or regulation in place concerning cybersecurity or network security in your jurisdiction?
Key primary legislation relating to cybercrime includes Federal Decree Law No. 5 of 2012 on Combating Information Technology Crimes (the Cybercrime Law) and the Penal Code.
The Cybercrime Law specifically deals with activities that would variously be described as hacking, identity theft and fraud, crimes that involve computers, networks and electronic information. The Penal Code consists of general provisions prohibiting various criminal acts, some of which will apply to cybercrime.
The Cybercrime Law applies across all sectors, with no exceptions. In practice, it will be of particular relevance to telecommunications and financial services sectors, as these are typically entrusted with critical data and therefore more likely to be targets of cybercrime.
The National Electronic Security Authority (NESA) is the UAE federal authority responsible for the cybersecurity of the UAE. NESA operates under the direction of the UAE Supreme Council for National Security. Government organisations, semi-government organisations and business organisations that are identified as critical infrastructure in the UAE are required to follow NESA compliance guidelines. The primary standard to follow for NESA compliance is the UAE Information Assurance Standards.
The TRA has also established the UAE’s Computer Emergency Response Team, which was established by statute and has published a wide-ranging information security policy.Big data
Is there specific legislation or regulation in place, and have there been any enforcement initiatives in your jurisdiction, addressing the legal challenges raised by big data?
There is no specific federal legislation or regulation in place; however, the Emirate of Dubai has introduced the Dubai Law No. 26/2015 (the Dubai Data Law), which provides for local government and private entities to contribute certain non-confidential information relating to the Emirate, known as ‘Dubai Data’, to a knowledge and data base from which such entities can benefit. The intention is to improve integration, harmonisation and efficiency between services and encourage the development of a smart economy.Data localisation
Are there any laws or regulations that require data to be stored locally in the jurisdiction?
There are no general laws or regulations that prevent data from being exported from the UAE.
Certain key sectors, including telecommunications, have been given guidance by their regulators on data domiciliation within the UAE, but this does not come in the form of hard law or publicly available guidance. State-owned entities are also likely to have to abide by data domiciliation rules, which are not set out in any hard law. The financial sector has specific laws in this regard (particularly entities registered in the Dubai International Financial Centre or Abu Dhabi Global Market where there is a specific regime around transfers of personal data that impacts those businesses’ freedom to outsource or offshore certain functions). Other financial services requirements can impact the communications and ICT sector; for example, digital payment service providers have recently been required through UAE Central Bank regulation to store transaction data within the UAE for at least five years.Key trends and expected changes
Summarise the key emerging trends and hot topics in communications regulation in your jurisdiction.
As there is no expectation that the TRA will permit any additional public telecommunications service providers to enter the UAE market in the near future, they key changes in the market dynamics and regulation are likely to result from increased competition between the two operators. The TRA has stated previously that the intention behind introducing a second licensed operator was that ‘Competition is the drive for development, where it leads to higher quality of services, lower prices and the adoption of latest technologies. It is a race that pumps innovation and progress into the veins of the sector.’ There is an expectation going forwards that the TRA will be keen to ensure that as much real competition as possible emerges between the operators.
Being considerably newer in its establishment, du has been playing catch-up around the infrastructure and expertise to compete on a truly level playing field with Etisalat. The two providers have often divided regions up geographically rather than compete directly for the same customers, so customers are effectively faced with a service provider with a de facto monopoly. From 2015 the two providers started bitstream access, a method by which the one network could be shared by the two operators, permitting customers more flexibility to choose provider where the infrastructure previously restricted their choice. Greater ability for customers to switch between the providers has also been encouraged. It is likely that the TRA will continue to encourage this competition.
The marked perception of increased competition in the mobile market was increased in 2017 when each of du and Etisalat launched mobile services under new brands: du acquired rights to launch a Virgin mobile branded service and shortly after, Etisalat launched a prepaid service branded as ‘SWYP’. Neither the Virgin Mobile nor the SWYP services are regulated independently of their respective MNOs.
As regards the ICT services growth being experienced by the operators, enterprise adoption of cloud-based solutions and ‘smart city’ or Internet of Things initiatives will continue to require regulatory guidance from the TRA, as well as other concerned regulatory bodies in the UAE, to ensure the balance between advancement in technology and risk management is addressed.
MediaRegulatory and institutional structure
Summarise the regulatory framework for the media sector in your jurisdiction.
The principal source of law in relation to the media sector in the UAE is Federal Law No. 15 of 1980 concerning Printing and Publishing (the Media Law). The law covers a large number of regulations on the media including ownership, prohibitions on certain types of reporting and defamation.
Originally under the Media Law, the Ministry of Culture and Information was the national media regulator. Then in 2006, Cabinet Resolution No. 14/2006 abolished the Ministry and established a new regulator for the media industry, the National Media Council (the NMC). As well as being the regulator, it also operates the government’s official news agency.
The Media Law is now considered by many to be out of date owing to its obvious focus on print (rather than digital) media. In 2009 the NMC circulated a draft revision to the Media Law, but the content was criticised for being overly restrictive, containing heavy penalties for journalists, still failing to update the law sufficiently for the digital age and it was eventually shelved. In theory, it could still be signed into law at any time, but in practice this is considered unlikely.
In 2010 the NMC issued a Chairman of the NMC Resolution No. 20 of 2010 (the Chairman Resolution), which stated that all media, including audio, visual and print forms, must comply with the content of the Media Law. This both reiterated the primacy of the Media Law and confirmed its application beyond the printed media the law envisaged.
The Media Law contains restrictions on content that can be published, including:
- criticising the government or rulers of the emirates or the UAE;
- material that could cause harm to the state interests or security;
- criticism of or disrespect to Islam;
- criticism of the rulers of any Islamic or friendly foreign state; or
- circulating or promoting subversive ideas.
In March 2018, the NMC published a set of regulations around electronic media (the EMR), which regulates a wide range of digital media activities including websites that sell content and individuals who seek to monetise their social media popularity by way of an annual licence arrangement.
There are also relevant provisions relating to media found in the Penal Code, particularly in regard to defamation, and the Cybercrime Law, when considering digital communications.
Across the UAE there are various media-related freezones that have their own civil regimes, while still being subject to the same criminal restrictions as the main jurisdictions. Many national and international media companies are established in these zones.Ownership restrictions
Do any foreign ownership restrictions apply to media services? Is the ownership or control of broadcasters otherwise restricted? Are there any regulations in relation to the cross-ownership of media companies, including radio, television and newspapers?
Article 25 of the Media Law and the resolutions by the NMC provide that the owner of a media service must:
- be a UAE national;
- be at least 25 years of age;
- be ‘fully competent’ to run the service;
- be of good character and behaviour;
- not have been convicted of certain offences relating to morality;
- not occupy a public service role; and
- not be employed by any foreign agency.
Many media outlets are owned, in whole or in part, by the government or powerful ruling families closely aligned with the government.
There are also certain academic and experience qualification requirements on editors-in-chief and standard writers and journalists, though these are typically not enforced in practice.
The recently introduced EMR set out requirements of applicants for the licensing regime as well as the mandatory appointment of a ‘responsible manager’ to act as a representative, although breaches of the EMR by an applicant or licensee do not extend to liability on the part of this responsible manager. There is no requirement in the EMR for the responsible manager to be a UAE national.Licensing requirements
What are the licensing requirements for broadcasting, including the fees payable and the timescale for the necessary authorisations?
Under the Media Law, all newspapers and news agencies are required to hold a licence before they can be published. The resolutions issued by the NMC have made clear that they consider this to apply to all forms of media outlets in the UAE, not just the printed media.
The proposed news media outlet must apply to the NMC, requesting the granting of such a licence. This can be done online via the NMC’s website, and must include details of the owner and the proposed media outlet brand. Applications must be in Arabic. The NMC will review the application and, if it is in favour of the licence being granted, will support the application in front of the federal government. The federal government must then approve the application and grant the licence.
The Media Law provides for an applicant to deposit a guarantee of 50,000 dirham for an application for a newspaper and 25,000 dirham for other media outlets to be paid along with the application. Fines imposed will be removed from this deposit, which must then be topped up to maintain its original level. The NMC can also charge a range of service fees ranging from 3,000 dirham to 50,000 dirham, dependent on the type of licence sought and the activities covered.
The EMR also sets out an annual licensing regime for electronic media activities that has variable fees depending on the category of the regulated activity: the most expensive of the categories identified in the EMR is the electronic or online accounts and websites, including the specialised ones (commercials, advertising, news, etc), which attracts a new application processing fee of 15,000 dirham and the same amount for a renewal.Foreign programmes and local content requirements
Are there any regulations concerning the broadcasting of foreign-produced programmes? Do the rules require a minimum amount of local content? What types of media fall outside this regime?
There are no specific regulations preventing the broadcasting of foreign-produced programmes, providing that they do not contain any content that is not permitted under the Media Law. There are also no official requirements in relation to the minimum amount of local content.Advertising
How is broadcast media advertising regulated? Is online advertising subject to the same regulation?
The Media Law contains several restrictions on advertising similar to those found in many other nations, though unlike in jurisdictions that rely largely on self-regulation, advertising standards are enforced by the NMC.
Prohibited advertisements include those that are ‘inconsistent with public conduct’, a phrase capable of covering a broad range of cultural sensitivities including inappropriate dress or behaviour. It also prohibits adverts that mislead the public, could cause harm to the state or the value of society or contain subversive ideas.
The EMR addresses electronic advertisements, including the use of digital social media and imposes a broad licensing requirement on those involved in such online advertising.
The TRA Customer Protection Regulations also contain restrictions on advertising of products or services regulated under the Telecoms Law. These include the requirement to be able to evidence to the TRA’s satisfaction any statements or claims made in the advertisement, whether direct or implied, and restrictions on the form of comparative advertising.Must-carry obligations
Are there regulations specifying a basic package of programmes that must be carried by operators’ broadcasting distribution networks? Is there a mechanism for financing the costs of such obligations?
No, there are no official must-carry obligations in the UAE. In line with the requirements on the media not to insult or harm the state and for official news reporting to be undertaken through a centralised, state-controlled function (see question 26), certain state media content will sometimes unofficially be required to be included as part of the schedule. Also, local broadcast media channels will observe mourning content (eg, soft music or recitation of the Holy Quran) in circumstances where there has been a death of a royal or some other nationally observed tragic event.Regulation of new media content
Is new media content and its delivery regulated differently from traditional broadcast media? How?
There is no distinction in the Media Law between different types of media content according to their delivery. The Chairman Resolution specifically confirmed the application of the Media Content across different forms of delivery. In July 2017, the UAE Cabinet issued Resolution No. 23 of 2017 concerning media content consolidated content rules and extended these specifically to digital content and then, more recently, the EMR established a licensing and compliance framework for digital media (including licensure relating to social media ‘influencers’). Ultimately, the fundamental principles behind the UAE’s regulation of traditional media and the UAE’s regulation of new media are not different.Digital switchover
When is the switchover from analogue to digital broadcasting required or when did it occur? How will radio frequencies freed up by the switchover be reallocated?
The switchover from analogue to digital broadcasting completed in 2012, coordinated with other GCC states such as Qatar and Saudi Arabia.
The additional radio capacity was allocated to improve mobile telephone services, such as next-generation 4G.Digital formats
Does regulation restrict how broadcasters can use their spectrum?
No, there is no regulation that restricts how broadcasters are permitted to use their spectrum allocation.Media plurality
Is there any process for assessing or regulating media plurality (or a similar concept) in your jurisdiction? May the authorities require companies to take any steps as a result of such an assessment?
There is no official assessment or regulation of media plurality in the UAE. Many media service providers are owned or part-owned by the UAE government or members of the ruling families closely linked to the government.
The NMC oversees the content prepared by the media, and any material that is considered to be undesirable in likely to be blocked. Particularly in commentary in relation to the state, foreign affairs or Islam, journalists are likely to self-censor and a similar position will typically be taken across all media outlets. On controversial or sensitive issues, journalists will often take their lead from the single official government news agency, the Emirates News Agency operated by the NMC, and adopt identical reporting positions.Key trends and expected changes
Provide a summary of key emerging trends and hot topics in media regulation in your country.
Notwithstanding the introduction of the EMR, there remains a general expectation that there will at some point be an overhaul of the legal framework surrounding the media in the UAE, in particular, to address digital media and journalist liability. There are no clear indications that this is likely to take place shortly or whether the 2009 draft media law would point to the likely outcome of such overhaul. Given the breadth of the EMR, we await feedback on its enforcement and the effect that the new licensing regime will have on the media industry. Another key area to observe will be around the website censorship committee established through the NMC but with representatives of each of the Ministry of the Interior, the TRA and the NESA.
Regulatory agencies and competition lawRegulatory agencies
Which body or bodies regulate the communications and media sectors? Is the communications regulator separate from the broadcasting or antitrust regulator? Are there mechanisms to avoid conflicting jurisdiction? Is there a specific mechanism to ensure the consistent application of competition and sectoral regulation?
The communications and media sectors are regulated by the TRA and the NMC respectively. Given the convergence in the sector, there is some overlap between these and indeed other UAE regulators and their respective jurisdictions.
With regard to competition, despite the UAE adopting a competition law framework in the form of the Federal Law No. 4 of 2012 concerning the Regulation of Competition (the Competition Law) several years ago, regulation in the UAE is still in its very early stages. The Competition Law has technically been in force since 2013; however, the executive regulations (Council of Ministers’ Resolution No. 37 of 2014) (the Regulations) were not passed until 2014 and two relevant resolutions, which provided key thresholds and definitions, were not passed until 2016 (the Resolutions).
The Competition Law also provided for a Competition Regulation Committee (the Committee) to be established to oversee general competition law policy in the UAE. Day-to-day enforcement of the Competition Law is the responsibility of the Ministry of Economy, acting through its Competition Department. To date there have been no publicised cases of Competition Law enforcement, although we are aware that the Competition Department has been established.
The Competition Law provides that its provisions shall be enforced on all businesses in relation to their economic activities or the effect of their economic activities in the UAE (even where the conduct takes place outside of the UAE). It is as yet unclear how the courts will react to any jurisdictional disputes.
The telecommunications sector is currently specifically excluded from the remit of the Competition Law. The Telecoms Law stipulates that the TRA shall have the competence to issue regulations, instructions, decisions and rules regulating and ensuring competition in the telecommunications sector. The TRA includes terms in the licences issued to operators requiring them not to participate in anticompetitive practices.Appeal procedure
How can decisions of the regulators be challenged and on what bases?
Decisions of the Competition Department can be appealed directly to the Minister of Economy within 14 days of the applicant becoming aware of the decision. Such appeals will be considered by the Committee, which will submit recommendations to the Minister within 10 days. The Minister must then respond to the applicant within 30 days of the appeal being filed; if nothing is heard in this time, the decision is deemed to be rejected. After this, the only remaining appeal is to a court of law (which must take place within 60 days of the decision or the deemed decision).
Decisions issued by the NMC may under the Media Law be challenged before the courts within 60 days of the decision that is objected to. In practice, it would be normal to first object to the decision unofficially and discuss the matter directly with the NMC, prior to launching a formal court action.Competition law developments
Describe the main competition law trends and key merger and antitrust decisions in the communications and media sectors in your jurisdiction over the past year.
See question 28.
The key concepts in the Competition Law include a prohibition on anticompetitive agreements, a prohibition on any abuse of a dominant position and merger control. Anticompetitive behaviour is broadly similar to the regimes in jurisdictions with more developed competition law systems, such as Europe and the US. The threshold for dominance is defined by the Regulations to be 40 per cent of the relevant market. Mergers or joint ventures of a certain size must be pre-notified to the relevant government ministry at least 30 days before completion.
The Competition Law also provides for the issue of individual exemptions for businesses in relation to particular agreements or practice where this is considered appropriate, which can be obtained by application to the Ministry’s Competition Department.
It remains to be seen how the Competition Law will be implemented in practice. Once the Competition Department and Competition Regulation Committee begin to make decisions and recommendations, it is unlikely that these will be available to the public. The Competition Law specifically requires the Competition Department to take steps to maintain the confidentiality of information provided by the parties, which is considered confidential.