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Lessons from the Experience of Telecommunications Regulation for Regulation in the EU Package Delivery Industry, with Focus on Access Regulation

In: Postal Strategies

Author

Listed:
  • Debra Aron

    (Charles River Associates)

  • Geoff Edwards

    (Charles River Associates
    Charles River Associates)

Abstract

We examine lessons from the telecommunications access regulation experience in the EU and US and apply those lessons to the package delivery industry. In hindsight, telecommunications assets thought to be bottlenecks necessary for competition were circumvented in unexpected ways. While access obligations facilitated entry based on incumbent networks, the evidence is that they have tended to impede investment in the purported bottleneck facilities as well as alternative technologies. These effects are likely to be particularly costly for social welfare in industries like telecommunications where there was the potential for substantial future investment and innovation. Recent calls to impose access obligations on e-commerce companies in relation to package delivery activities, where similar investment and innovation potential exists, are therefore particularly fraught.

Suggested Citation

  • Debra Aron & Geoff Edwards, 2023. "Lessons from the Experience of Telecommunications Regulation for Regulation in the EU Package Delivery Industry, with Focus on Access Regulation," Topics in Regulatory Economics and Policy, in: Pier Luigi Parcu & Timothy J. Brennan & Victor Glass (ed.), Postal Strategies, pages 15-28, Springer.
    • Handle: RePEc:spr:topchp:978-3-031-25362-1_2
    DOI: 10.1007/978-3-031-25362-1_2
    as

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