Answer given by Mr Breton on behalf of the European Commission

17.1.2022

On 3 November 2021, the Danish Business Authority (DBA) has notified to the Commission its draft analysis of the wholesale broadband markets in Denmark. In accordance with Article 32 of the European Electronic Communications Code (Directive 2018/1972, hereinafter referred to as the Code), the Commission has assessed the notification and issued a decision on the case on 2 December 2021 (published on 7 December 2021[1]).

While the Commission has no objection to most of DBA’s Analysis, serious doubts are expressed as to the compatibility of some of the notified draft measures with the Code. These serious doubts concern DBA’s analysis regarding 5 of the 21 geographic markets identified by DBA. In these 5 markets, DBA finds that the local energy utility companies that have deployed fibre networks (EWII, AURA, Energi Ikast, MES Fibernet and Nord Energi) have significant market power and should therefore be regulated. However, taking into account in particular the degree of overlap between fibre and cable networks, and in many cases the presence of open and/or wholesale only networks in these geographic markets, the Commission’s assessment at this stage is that the evidence provided by DBA is insufficient to support the conclusion that these operators are able to behave independently from competitors and consumers and that these markets should be regulated.

The Commission has two months to discuss the draft measures related to the five geographic markets with DBA, in close cooperation with the Body of European regulators (BEREC). At the end of the Phase II investigation, the Commission may either lift its reservations or issue a veto under Article 32 of the Code. During this period, DBA will not be able to adopt these measures.

• [1] https://circabc.europa.eu/ui/group/2328c58f-1fed-4402-a6cc-0f0237699dc3/library/edfed1ac-e9e2-4c6e-86b8-c2704a100a51/details