Telecom operators Orange, Telekom and Vodafone slam the Government

The Romanian subsidiaries of three telecom giants, Orange, Telekom and Vodafone Romania have asked the Government on Tuesday to abolish the provisions of the GEO 114 on electronic communications, arguing the draft is discouraging the hi-tech evolution of the mobile networks in a year when telecom operators should invest in the new 5G technologies.

The three companies warn that GEO 114/2108 is imposing new taxes and fees on the telecom sector, which risk putting off the balance a field that has provided so far high quality services at low prices, if reported to the EU market.

The telecom giants asked the Government to “revise the ordinance draft in order to avoid destabilizing the industry”. “Moreover, we indicated to the authorities more provisions that are violating the European legislation or that are conflicting with some provisions of the national laws“, reads a press release.

Orange, Telekom and Vodafone say that the 3 pc annual tax of the turnover represents around EUR 100 million, which are to be collected by the Government and which will therefore not be invested in developing new telecom networks and services.

The telecom operators accuse that the GEO 114 entails unprecedented provisions at European level, which “impose a regime of  sanctions that are so excessive and discriminating for the telecom companies compared to companies in other industries and which thus deter the expansion and rehabilitation of the communication networks”. They also argue the new measures will deplete the financial resources of the mobile communication sector.