RESTRICTED
WORLD TRADE S/NGBT/W/3/Add.5/Rev.2
2May1995
ORGANIZATION(95-1197)
Original: English Negotiating Group onBasic Telecommunications
COMMUNICATION FROM TURKEY
Response toQuestionnaire onBasic Telecommunications
Revision
Theattached revision iscirculated attherequest ofTurkey toMembers oftheNegotiating
Group onBasic Telecommunications.S/NGBT/W/3/Add.5/Rev.2
Page2
Postal andtelecommunications services inTurkey weresupplied bytheDirectorate General
ofPTTasastatemonopoly according tothe"Postal Law" No.5584oftheyear1950and"Telegraph
andTelephone Law" No.406oftheyear1924, respectively.
LawNo.406,remaining behind thetimes, hasproved tobefarfromkeeping upwiththerecent
developments andtheneeds ofthetelecommunications sector today.
Considering thattelecommunications isthedriving forceofsocial andeconomic development,
ithasbecome essential toachieve aneffective restructuring inthissector.
Therecent LawNo.4000 dated 10June1994, which isprepared inthiscontext andwhich
brings inthefollowing principal additions andchanges totheexisting LawNo.406,entered intoforce
on18June1994 bybeing published intheOfficial Gazette ofthesame date:
- Postal andtelegraph services areprovided bytheDirectorate General ofPosts, and
telecommunications services aresupplied bytheTurkish Telecom Co.,Inc.(TTAS ¸).
- Thecompany becomes effective withitsMain Contract approved bytheMinister of
Transport andCommunications.
- Thecompany, withitsHeadquarters located inAnkara, issubject toprovisions ofthis
Law, theDecree (DEL) No.233, andtheTurkish Commercial Law(except its
provisions regarding establishment andregistration).
- Theprovisions ofthe"Radiocommunications Law" No.2813 andthose ofthe"Law
regarding Radio andTelevision" arereserved.
- TheMinister ofTransport andCommunications maydecide onthesaleof49percent
ofTTAS¸'sshares, andmaydetermine theprinciples andprocedures regarding thesale
ofshares tocover aswellthepossible privileges tobegranted tothePTT'semployees,
itsretired personnel, andpublic participants.
- TheMinister ofTransport andCommunications hastherighttodetermine theportion
tobereserved fortheDirectorate General ofPosts outoftheshares tobesold.
- TheMinistryofTransportandCommunicationsmaygrantlicencestoprivatecompanies
fortheoperation ofmobile telephone, paging, datanetwork, intelligent network,
cable-TV, payphone, satellite systems andother value-added services withtheduecare
taken nottocreate monopolistic conditions.
- Theshare tobeallocated toTTAS¸outoftherevenues produced fromthelicences
granted toprivate companies andthose from service provision bythementioned
operators aredetermined with theapproval oftheMinister ofTransport and
Communications.
- Principles andprocedures fortheprices oftheservices tobeprovided byTTAS¸and
private companies which aregranted licences enterintoforce withtheapproval ofthe
Minister ofTransport andCommunications.
- Theexisting postal andtelecommunications services areprovided bytheDirectorate
General ofPosts untiltheformal establishment ofTTAS¸.S/NGBT/W/3/Add.5/Rev.2
Page3
Constitutional Court, resolving thatthesubject Lawisnotwholly indisagreement withthe
Constitution oftheRepublic ofTurkey byitsdecision dated 22December 1994, annulled some of
itsprovisions initalics above, specifying thatprocedures forthesaleofshares andconditions ofthe
licence granting should beincluded intheLaw.
Accordingly, theLawNo.4000 inquestion isnowbeing revised tocover suchprovisions
defining saleofshares, conditions oflicence granting, valuation ofPTT before salewith the
internationally recognized criteria used; thussubmitting itfortheapproval oftheParliament.
Currently, Turkey isinatransition period withrespect totelecommunications sector. Since
thestudies fortheestablishment ofTTAS¸,which isentrusted withthesupply oftelecommunications
services bythementioned LawNo.4000, havenotyetbeencompleted, thesubject services arebeing
provided bytheDirectorate General ofPosts inthistransition period inaccordance withthesameLaw,
andtheQuestionnaire onBasic Telecommunications isresponded tothelargest possible extent under
these circumstances.
PART I
Definition andMarket Structure
Definition
1. What areconsidered tobebasic telecommunications under yourregulatory regime? Howare
theydefined? How doesyourregulatory regime define thatwhich isnotconsidered basic
telecommunications?
While there doesnotexistanyprovision defining basic telecommunications intheoriginal
Telegraph andTelephone LawNo.406of4February 1924, mention ofsuchservices asmobile
telephone,paging,datanetwork,intelligentnetwork,cable-TV,payphones,andsatellitesystems
wasmade asvalue-added services intherecent "Law regarding theChange Made toanArticle
oftheTelegraph andTelephone LawandAddition ofSome Further andProvisional Articles
tothatLaw" which waspassed bytheParliament on10June1994withtheNo.4000. Inthis
context; voice telephone, telex, telegraph, andprivate leased circuit services aredeemed to
bebasic telecommunications services.
2. Does yourregulatory regime distinguish between networks (facilities) andservices indefining
basic telecommunications? Ifso,howisthisdistinction made?
Turkish legislation makes nodistinction between networks (facilities) andservices.
3. Arethereanynetworks orservices which would beconsidered tobebasictelecommunications
within thescope oftheGATS definition which would notbesoconsidered byyournational
definition? Ifso,whatarethey?
Voice telephone, telex, telegraph, andprivate leased circuit services which areitemized in
theServices Sectoral Classification List(MTN.GNS/W/120) areconsidered tobebasic
telecommunications services inTurkey aswell. However, circuit/packet-switched data
transmission andfacsimile services contained inthesame listasthebasic telecommunications
arenotsoconsidered since theyarementioned asvalue-added services intherecent
LawNo.4000.S/NGBT/W/3/Add.5/Rev.2
Page4
Market structure
4. Listanybasic telecommunications sub-sectors orcategories which arereserved tosupply
bymonopoly orexclusive supplier(s).
Article 1oftheTelegraph andTelephone Law No.406, which hasbeen changed by
LawNo.4000, provides forthesupply oftelecommunications services byTurkish Telecom
Co.,Inc.(TTAS ¸).Since, however, arrangements fortheestablishment ofTTAS¸havenot
beencompleted, thementioned services arecurrently supplied bytheDirectorate General of
Posts according totheAdditional Article 4ofthesaidrecent Law.
5. Doesyourregime designate oneoralimited number ofmonopoly/exclusive suppliers tosupply
anybasic telecommunications nationally, onageographical basis, orforparticular market
segments? How isit(orthey) constituted (e.g. government ministry oragency, wholly
government-owned corporate entity, company partly owned bythegovernment, privately
owned)?
Asindicated in(4)above, according tothechanged Article 1oftheTelegraph andTelephone
LawNo.406,bothnational andinternational telecommunications services aretobesupplied
byTTAS¸which istobeoriginally constituted asawholly government-owned corporate entity.
6. Isforeign equity participation orownership ofmonopoly orexclusive suppliers permitted?
Ifso,whatisthemaximum percentage share allowed andwhatisthecurrent levelofidentifiable
foreign participation?
Work towards determining principles andprocedures toallow theforeign equity participation
isunderway.
7. Ifyourregime isgenerally characterized asnotpermitting competition, please indicate:
(a) ifcertain activities orcategories ofwhatcould beconsidered basictelecommunications
arenotreserved tothemonopoly, e.g.facsimile, telex, datatransmission, mobile,
satellite services;
7.(a) Seeanswer (4)above.
(b) arethere areanyother means through which foreign suppliers ofbasic
telecommunications areormayparticipate inthesupply ofbasic telecommunications,
e.g.sub-contract orbuild-operate-transfer arrangements withthemonopoly suppliers.
7.(b) Internationalprivateleaseddatacircuitservicescanbesuppliedthroughrevenue-sharing
application which allows theparticipation ofrelevant foreign firms intheprovision
ofthese services which areunder themonopoly ofTTAS¸asconsidered tobeofbasic
telecommunications.S/NGBT/W/3/Add.5/Rev.2
Page5
8. Please listandbriefly describe anyintergovernmental agreements, bilateral orotherwise, that
yourgovernment hasentered intorelating tothesupply ofbasic telecommunications networks
andservices.
Turkey hassigned thefollowing agreements:
ITUConstitution andConvention;
ITURadio Regulations;
ITUInternational Regulations;
Agreement andOperating Agreement ofINTELSAT;
Convention andOperating Agreement ofINMARSAT;
Convention andOperating Agreement ofEUTELSAT.
PART II
Competition
A. Sub-sectors
(i) Overview. What arethemain government policies andregulations regarding the
competition inthissubsector orcategory? Canforeign suppliers participate inthesupply
ofbasic telecommunications inthissubsector orcategory?
Existing applications andtrends inTurkey have atendency toopen upthe
telecommunicationsservicestocompetitionandtoarrangefortheinvolvementofforeign
service suppliers aswellwiththeduecarealsotaken nottocreate monopolistic
conditions.
Relevant Turkish legislation aremainly composed oftheTelegraph andTelephone
LawNo.406andtherecent LawNo.4000, ofwhich thelatter provides forthe
participation offoreign suppliers aswellinthesupply ofpacket-switched data
transmission,circuit-switcheddatatransmission,andfacsimileservicesthroughoperating
licences.
(ii) Modes ofsupply. Inyourview, howdotheGATS modes ofsupply (cross border,
consumption abroad, commercial presence, andpresence ofnatural persons) apply
tothissubsector orcategory? What kinds ofrequirements, conditions, orlimitations
areapplied inthissubsector orcategory which relate toeachmode ofsupply?
AscanbeseeninTurkey 'scommitment list,theprovision oftelecommunications
services isstillunder monopoly inpractice. However, revenue-sharing model which
allows theparticipation offoreign suppliers isapplied intheprovision ofsome services
suchaspacket-switched datatransmission andinternational private leased datacircuit
services. Their staffinvolved intheinstallation oftherequired systems areexempted
from therestrictions imposed onnatural persons. There arenorestrictions on
consumption abroad.S/NGBT/W/3/Add.5/Rev.2
Page6
(iii) Market access. What kindoflimitations onmarket access areapplied? (I.e., Arethere
anyquantitative limitations on,oreconomic needs testsapplied to,thenumber of
suppliers? Arethere anylimits onthetotalvalue oftransactions, totalnumber of
operations, quantity ofoutput, orthetotalnumber ofpersons thatmaysupply basic
telecommunications orbeemployed byasupplier? Arethere anyrestrictions or
requirements regarding typeoflegalentity thatmaysupply basictelecommunications?
Arethere anylimits onforeign ownership orequity participation?)
Work towards determining principles andprocedures toenable domestic andforeign
firms toaccess themarket isalsounderway.
(iv) Nationaltreatment.Whatkindoflimitationsonnationaltreatmentareinplaceextending
toforeign suppliers treatment lessfavourable thanthatfordomestic suppliers? (E.g.
Arepreferences given todomestic suppliers orrestrictions orobligations imposed on
foreign suppliers withrespect toanyprocedures orregulations, including licensing?
Arethere anylimitations onthenationality orresidency ofmanagers, directors, or
board members? Arethereanyrestrictions onforeign ownership oflandorfacilities)?
There doesnotexistanyprovision inthisregard.
(v) Licensing. Iflicensing isrequired inthissub-sector orcategory, briefly describe the
procedures concerned andexplain themain requirements, criteria andfeesapplied.
What aresome oftheprincipal terms andconditions onlicensees, oncealicence is
obtained?
LawNo.4000 authorises theMinistry ofTransport andCommunications togrant
licences forvalue-added services. Work fortheestablishment ofrelevant principles
andprocedures isunderway.
B. Categories
Local/long distance/international
1. How arelocalanddomestic longdistance distinguished ordefined?
The"local" concept inTurkey iscomposed ofthefollowing three elements:
Local Areaisthatwhich iscovered byaninstalled lineonaselected route extending forup
to4kilometres from anexchange provided thatitremains within theservice boundaries of
theexchange involved. Withsome certain conditions being fulfilled, however, localnetwork
boundaries canbeexpanded forthelocalities which extend foradistance ofover4kilometres.
Inthelocalities withmunicipalities, local network boundaries canbeextended uptothe
boundaries ofthemunicipality 'sservice areaincases where thelatter exceeds 4kilometres.
Multi-Exchange Area istheareathatconsists ofmore thanoneautomatic exchange service
area, eachofwhich hascommon features insocial, economic, andcultural aspects, andeach
ofwhich benefits from various public facilities incommon withoneanother exhibiting
collectivity andintegrity interms oflocation/settlement. Theboundaries ofthemunicipality 's
service areaform those ofthemulti-exchange area.S/NGBT/W/3/Add.5/Rev.2
Page7
Metropolitan Area isalmost similar tomulti-exchange areawiththose exceptions thatthe
boundaries ofthemetropolitan areaareformed bytheboundaries ofthemain municipality 's
service area, andmetropolitan areas aredetermined byTTAS¸.
The"domestic longdistance" consists ofthefollowing:
- Intra-county: Distances between thecounty town andthesmaller towns within that
county;
- Intra-province: Distances between theprovincial capital andthecounty towns within
thatprovince;
- Distances ofupto100Km.: Suchcrowflight distances between different provinces;
- Distancesofmorethan100Km.:Suchcrowflightdistancesbetweendifferentprovinces.
2. Arethere anyregulatory orother distinctions between domestic (local andlongdistance) and
international networks andservices andbetween thesuppliers ofbasic telecommunications in
these market segments? Ifso,whatarethey?
There isnodistinction ofsuchsort.
Wire-based
Seeanswers under "A.Sub-sectors".
Radio-based
Seeanswers under "A.Sub-sectors".
Resale basis
3. Doyourregulations permit international resale ofprivate leased circuit capacity ifconnected
tothepublic network. Ifso,atoneend? atbothends? Under whatconditions? Isresale
ofswitched voice capacity permitted?
Turkish regulations donotpermit international resale ofprivate leased circuit capacity if
connected tothepublic network. Resale ofswitched voice capacity isnotpermitted, either.
4. Isresale ofprivate leased circuit excess capacity permitted? Ifso,under what conditions?
Maybasic telecommunications beresold tomake them available tothirdparties? Forwhich
basic telecommunications isthispermitted?
Neither theresale ofprivate leased circuit excess capacity northeresale ofbasic
telecommunications foravailability tothirdparties arepermitted.S/NGBT/W/3/Add.5/Rev.2
Page8
Facilities-based
5. Maybasic telecommunications suppliers (foreign anddomestic) construct andoperate their
ownnetworks orinvest inconsortia toconstruct andoperate suchfacilities? Ifnot,what
organizations arepermitted toconstruct andoperate basic telecommunications network
infrastructures?
Construction andoperation ofbasic telecommunications networks areunder theauthority of
State, which isexercised bytheDirectorate General ofPosts onlyuntiltheformal establishment
ofTTAS¸.
Public/non-public supply
6. Does yourregime make distinctions between suppliers ofpublic switched andnon-public basic
telecommunications? Ifso,how?
There isnodistinction ofsuchsort.
7. What basictelecommunications doyourregulations require, explicitly orineffect, tobemade
available tothepublic generally?
Turkish regulations require thatallthetelecommunications aremade available tothepublic.
8. What basictelecommunications doyourregulations permit tobesupplied onanon-public basis
(i.e., notrequired tobemade available tothepublic generally)?
Seeanswer (7)above.
9. What obligations orresponsibilities areincurred bystatus asapublic basictelecommunications
supplier andunder whatconditions? E.g., What kinds of"common carrier"-like obligations
areimposed (e.g.withregard touniversal service), andonwhom?
Astheonlysupplierofnationalandinternationaltelecommunicationsservices,TTAS¸undertakes
alltherelevant obligations andresponsibilities.
10. What, ifany,restrictions arethere onorganizing andoffering aprivate network bya
telecommunications supplier?
Theprocedures oforganizing andoffering aprivate network byatelecommunications supplier
willhavebeendetermined bythecompletion ofpertinent work which isunderway within the
framework ofLawNo.4000.
11. Istheoperation ofpublic pay-phones reserved tomonopoly orexclusive suppliers?
Currently, public pay-phones arebeing operated bytheDirectorate General ofPosts. However,
work forgranting therightofoperation ofpublic pay-phones totheprivate service suppliers
isbeing continued.S/NGBT/W/3/Add.5/Rev.2
Page9
PART III
Regulatory Issues
Relationship between regulatory andoperational functions
1. Doanybasictelecommunications suppliers become involved, directly orindirectly, inmaking
regulatorypolicy?Enforcementofregulations?Informulatingstandardsorenforcingstandards?
Regulatory policy fortelecommunications inTurkey isestablished bytheGovernment. TTAS¸,
asthetelecommunications service supplier, isnotinfluential inmaking regulatory policy.
Pertinent telecommunications legislation isdrafted byTTAS¸,according tothe"Principles
regarding Preparation oftheDrafts forLaws, Decrees, Regulations andDirectives" issued
inOfficial Gazette No.21339 dated 8September 1992, andenters intoforceafterthecompletion
oflegalprocedures bytherelevant authorities.
Inaccordance withtheparagraph 4oftheAdditional Article 18oftheLawNo.4000, principles
andprocedures regarding prices oftheservices tobeperformed byTTAS¸arearranged by
itself, andenterintoforcewiththeapproval oftheMinister ofTransport andCommunications.
2. Isyourregulatory authority (orauthorities) alsoresponsible forformulating standards? for
enforcing standards?
TTAS¸apply thestandards ofTurkish Standards Institute atnational level andthose of
standardization organizations suchasISO,CCITT, andETSI atinternational level. Where
required, TTAS¸formulates newstandards.
3. Howmany levels ofgovernment (e.g., national, regional, state, local) haveresponsibility for
regulation affecting basic telecommunications? Please identify anddescribe relevant levels of
government authority. Arethere anyprocedures enabling suppliers toresolve questions or
disputes theymayhaveortoappeal adecision withtheregulatory body concerned? Ifso,
please describe.
Inlinewiththe"Principles" specified inparagraph (1)above, anydraft lawregarding
telecommunications isprepared byTTAS¸andsubmitted totheMinistry ofTransport and
Communications. After receipt oftheviews ofother relevant ministries andgovernmental
bodies, theMinistry ofTransport andCommunications submits ittotheParliament. When
thebillispassed bytheParliament andapproved bythePresident oftheRepublic, itenters
intoforce bybeing published intheOfficial Gazette.
Itisalsopossible toregulate telecommunications bythedecrees (DELs) which areissued by
theCouncil ofMinisters within theframework ofanauthorization lawtobepassed bythe
Parliament, applicable forsome certain caseandperiod, inconformity withtheConstitution.
Telecommunications regulations other thanthose mentioned above areprepared byTTAS¸,
andenter intoforce withtheapproval oftheMinister ofTransport andCommunications
subsequent tothecompletion ofrelevant legalprocess.
TheMinistry ofTransport andCommunications istheresponsible body forsupervision and
inspection oftheactivities ofTTAS¸toensure them tobeperformed inconformity withthe
provisions ofthepertinent laws, regulations, anddirectives.S/NGBT/W/3/Add.5/Rev.2
Page10
Thedisputes between TTAS¸anditscustomers which cannot beresolved bytheMinistry of
Transport andCommunications aredealtwiththelawcourts depending onthenature ofthe
question.
Itispossible tobring asuitattheleveloftheConstitutional Court fortheannulment oflaws
anddecrees insome certain terms andconditions according totheConstitution.
Frequency allotment orassignment
4. What aretheprocedures, requirements andcriteria applied fortheallotment orassignment
ofradio frequencies?
Directorate General ofRadiocommunications performs theplanning, coordination
(national/international) andassignment offrequencies tousers, andmakes changes or
cancellations asnecessary. Italsomaintains anupdated National Main Frequency Listaswell
asperforming frequency analysis andregistration. Therequirements andcriteria applied for
theallotment orassignment ofradio frequencies arespecified according totheNational
Frequency Plans. Thetechnical study forfrequency assignments isconducted byusing the
localdatabases andapplication softwares. Inaddition, thechannel planning ofradio relays
andother specific systems thatneedharmonized frequency bands areperformed according
totherelevantCCIRandCEPTRecommendationsinlinewiththecountry'sNationalFrequency
Plans.
5. Doforeign telecommunications suppliers receive national treatment under these procedures
andcriteria?
Frequency assignment applications forbothnational andforeign suppliers areunder these
procedures andcriteria.
Numbering andidentification codes
6. What aretheprocedures, requirements, andcriteria usedtoassign numbering andidentification
codes?
NumberingandidentificationcodesinTurkeyaredeterminedbyTTAS¸toprovidemoreefficient
telecommunications. Thefollowing main criteria areusedinarranging numbering plans in
conformity withtheCCITT E.164:
- Tosimplify theprinciples ofrouting andcharging;
- Tokeepdigitanalysis atmanageable levels;
- Toachieve acodescheme which ismore spacious andpowerful yetsimpler touse.
7. Doforeign telecommunications suppliers receive national treatment under these procedures
andcriteria?
There isnoforeign telecommunications supplier involved inthemarket.
Standards, typeapproval andequipment attachment
8. What types ofmandatory standards areinplace?S/NGBT/W/3/Add.5/Rev.2
Page11
TTAS¸hasitsownstandards thatweredeveloped under CCITT andETSI Recommendations.
9. When astandard isunder review oranewstandard isbeing developed byyourstandards
authority, isthere anopportunity forpublic review andcomment prior toitsadoption? May
foreigners participate inthisprocess? Maytheprivate sector participate inthedevelopment
ofstandards? Ifso,how?
Standards arepublished when theyaredeveloped orchanged. Also, TTAS¸mayhaveprivate
sector 'ssuggestions indeveloping standards forterminal equipment.
10. What equipment issubject totypeapproval? Isself-certification allowed? Hasyourgovernment
concluded mutual recognition agreements fortelecommunications equipment certification?
Aretheyrequired forforeign produced equipment?
Alltheterminal equipment. Selfcertification isnotallowed except theGSM equipment.
11. Howistheability toattach terminal equipment tothenetwork regulated? What restrictions,
arethere onterminal equipment thatmaybeattached tothenetwork?
Iftheterminal equipment haveatypeapproval fromTTAS¸,theycanbeattached tothepublic
network.
12. Maybasictelecommunicationssuppliersconnectedtothepublicnetworkusetheirownswitches?
Yes,iftheyhavetypeapproval certification from TTAS¸.
13. Does thegovernment require network-based suppliers topermit theattachment ofcustomer-
supplied terminal equipment?
Yes.
Interconnection
14. Ingeneral, howisinterconnection regulated inyourregime? What aretheregulations applied?
Existing various telecommunications networks areinterconnected toeachother asanecessity
oftheservice provision. However, since TTAS¸istheowner ofallthetelecommunications
networks involved, there doesnotexistanyregulation regarding theirinterconnection.
15. Doyourregulations require network-based suppliers toprovide interconnection forother basic
telecommunications network orservices suppliers? Ifso,please describe?
Since thereisnonetwork-based supplier other thanTTAS¸,anecessity formaking regulations
hasnotarisen.
16. Isinterconnection between leased circuits andpublic datanetworks permitted?
Seeanswer (14)above.
17. What aretherulesandregulations regarding thepricing ofinterconnection? Areinterconnection
charges setinrelation toanyprinciples (e.g., cost-oriented)? Istherearequirement tosubmit
interconnection charges toaregulatory body forapproval? Arethese changes inthepublicS/NGBT/W/3/Add.5/Rev.2
Page12
domain?Arethesameinterconnectionchargesappliedtoallsuppliersrequestinginterconnection
oraretheynegotiated onacase-by-case basis? What requirements orobligations existtopublish,
make publicly available, ortosupply details ofinterconnection agreements toregulatory
authorities?
Seeanswer (14)above.
Competitive safeguards
18. Whatkindsofsafeguardsdoesyourregimehaveagainstanti-competitivepracticesofmonopolies
ordominant suppliers insituations where theymaycompete withother firms tosupply certain
basic telecommunications inthedomestic market? intheinternational market?
Competition inbasic telecommunications isnotpermitted.
19. Doyourregulations distinguish between dominant andnon-dominant suppliers? Ifso,what
arethedetails andhoware"dominant" and"non-dominant" defined? Arethereanysafeguards
concerning suppliers whohavemonopoly ordominant control ofaccess tocertain market or
network segments?
No.
20. Isthereanindustry-wideantitrustpolicyand/oranytelecommunications-specificantitrustpolicy?
What aretherules andregulations regarding mergers andacquisitions?
No.
21. Arethere anysafeguards concerning basic telecommunication supplier salsoengage dinthe
manufacturing oftelecommunications equipment? Ifso,please describe thecontent andworking
ofthese safeguards.
No.
Pricing-related measures
22. What istheroleofthegovernment oranyrelated agency withregard toestablishing prices
(e.g., tariffs, access charges, accounting rates) orpricing policy? E.g., doesthegovernment
setprices oraccounting rates, directly orindirectly (e.g.pricecapsorrateofreturn controls),
ordobasic telecommunications suppliers determine these themselves? What requirements or
obligations doesthegovernment setregarding prices charged bymonopoly/dominant suppliers?
Orother suppliers?
According totheAdditional Article 18oftheLawNo.4000, prices oftheservices toberun
byTTAS¸arefixed byitselfandenterintoforce withtheapproval oftheMinister ofTransport
andCommunications. Where required, subject prices maybedetermined bytheCouncil of
Ministers. Prices oftheservices tobeprovided byprivate companies granted licences enter
intoforce withtheapproval oftheMinister ofTransport andCommunications aswell.
23. Doesthegovernment require tariffapproval ornotification and,ifso,whataretheprocedures?
What requirements regarding cost-accounting areputinplace toensure transparency?S/NGBT/W/3/Add.5/Rev.2
Page13
Seeanswer (22)above along withthefactthattelecommunications tariffs inTurkey arebased
onthecostofmaterial andworkmanship aswellasthechanges intheparity ofexchange.
24. Towhatextent istheprinciple ofnon-discrimination applied inpricing policy? E.g., isatariff
package suchasavolume discount targeted foraspecific group allowed and,ifso,whatare
theterms andconditions applied? Areaccounting ratesapplied onanon-discriminatory basis
between countries? Ifaccounting ratesapplied indifferent agreements arenotthesame, what
arethecriteria usedtoarrive atdifferent accounting rates? Aresome ofthesecriteria required
ordefined bythegovernment?
Thereduced tariffs arebeing applied forspecific groups. Suchgroups anddiscount ratesare
determinedbylawsandregulationswhichenterintoforcesubsequenttocertainlegalprocedures.
25. Doanybasic telecommunications suppliers getinvolved insetting industry-wide tariffs?
No.
26. Onwhat basis areprices (e.g. tariffs, access charges, accounting rates) determined? What
concepts aresapplied regarding costs? Isthereageneral principle applied regarding allocation
ofcosts? Iscost-oriented pricing ofbasic telecommunications used orrequired bythe
government? Ifnot,dobasic telecommunications suppliers usecost-oriented pricing?
Accounting ratesarefixed incommon withtheforeign counterparts onacase-by-case basis.
27. Arethere anyrules specific tothepricing ofanewservice?
No.
Rights ofwayfortheconstruction ofinfrastructure
28. Arebasictelecommunications services suppliers arepermitted tobuildtheirowninfrastructure
orfacilities? Ifso,whataretheprocedures andcriteria forauthorization tobuildinfrastructure
orfacilities? What aretheprocedures, criteria, limitations orqualifications applied withrespect
tothegranting ofortheavailability ofrights ofwayfortheconstruction ofinfrastructure or
facilities?
TTAS¸,astheonlytelecommunications services supplier, isfullyauthorized toconstruct its
owninfrastructure orfacilities. Inthiscontext, TTAS¸hastherightofmaking useofthepublic
orprivate properties (partly orwholly) when itconstructs thenecessary infrastructure and
facilities within theframework ofconditions specified inrelevant regulations.
29. Isnational treatment extended toforeign basic telecommunications suppliers under these
procedures andcriteria?
There isnoforeign telecommunications supplier involved.S/NGBT/W/3/Add.5/Rev.2
Page14
Newtelecommunications services
30. Please describe anygeneral regulatory processes orprocedures thatapply todealing withthe
introduction of"new" telecommunications services. Prior toanyrelevant regulatory procedure
having beencompleted, isitnotpossible forsuchnewservices tobesupplied?
Theprovision ofnewtelecommunications services isnotrestricted. Inaccordance withthe
paragraphs 1and4oftheAdditional Article 18ofLawNo.4000, theMinistry ofTransport
andCommunications maygrant licences toprivate companies fortheoperation ofvalue-added
services withtheduecaretaken nottocreate monopolistic conditions. Studies fordetermining
theprocedures oflicence granting areunderway.
31. When anewservice becomes possible oravailable, whodetermines thestatus ofthenewservice
(whether itisbasic orvalue-added) andunder whatprocedure andtimeframe?
Seeanswer (30)above.