Decision No. 217/2003/QD-TTg On the management of postal and telecommunications service rates

DECISION OF THE PRIME MINISTER

On postal and telecommunications service tariffs management
_____________________

 PRIME MINISTER

Pursuant to the Law on Organization of the Government dated December 25, 2001;

Pursuant to the Posts and Telecommunications Ordinance dated May 25, 2002;

Based on the Price Ordinance dated April 26, 2002;

At the proposal of the Minister of Posts and Telecommunications,

DECISION:

Article 1. Scope and Applicability

1. This Decision applies to domestic organizations and individuals, and foreign organizations and individuals operating in Vietnam involved in providing and using postal services, letter delivery services, and telecommunications services in Vietnam (hereinafter referred to as postal and telecommunications enterprises and users).

2. This Decision stipulates the management of tariffs for postal services, letter delivery services, and telecommunications services including:

Domestic and international postal, letter delivery, and telecommunications service tariffs applicable to users (hereinafter referred to as user service tariffs);

Domestic and international postal, letter delivery, and telecommunications service tariffs applicable to enterprises purchasing postal and telecommunications services from other enterprises to provide services to users (hereinafter referred to as enterprise service tariffs).

Article 2. Principles of Tariff Management

1. The State respects the right of postal and telecommunications enterprises to set their own tariffs and compete on price according to the provisions of the law.

2. The State uses necessary measures to stabilize tariffs, protect the rights and legitimate interests of service users, postal and telecommunications enterprises, and the national interest.

3. Equality shall be ensured in the provision and use of postal and telecommunications services; conditions shall be created for postal and telecommunications enterprises to develop service networks in rural areas, remote regions, border areas, and islands.

Article 3. Basis for Setting Tariffs

1. Basis for setting user service tariffs:

a) Postal and telecommunications service tariffs shall be established in accordance with economic and social development policies and the objectives of postal and telecommunications development during each period; international treaties to which Vietnam is a party.

b) Postal and telecommunications service tariffs shall be determined based on production costs, market supply and demand relationships, and reasonable parity with regional and global tariff levels.

c) Domestic postal, letter delivery, and telecommunications service tariffs shall be specified in Vietnamese Dong (VND). International postal, letter delivery, and telecommunications service tariffs shall be specified in convertible foreign currencies; they may be collected in foreign currency or in VND at the average inter-bank foreign exchange rate published by the State Bank of Vietnam.

2. Basis for setting enterprise service tariffs:

a) Interconnection tariffs between telecommunications enterprises shall be determined based on:

Interconnection costs;

Without distinction among different services, among telecommunications enterprises, or between members of telecommunications enterprises and other telecommunications enterprises;

Reasonable allocation according to network components or service stages;

Reasonable parity with interconnection tariffs of countries in the region and globally;

In cases where interconnection tariffs include contributions to the provision of public telecommunications services, such contributions shall be reasonably regulated to ensure equality.

b) International negotiated tariffs:

Shall be formed through negotiations and agreements between licensed international postal and telecommunications service providers and foreign operators, ensuring national sovereignty, national interests, users, and enterprises.

c) Tariffs for leasing channels, shared infrastructure usage, agency, and resale services shall be established in line with policies promoting healthy competition, opening up markets, and leveraging internal capabilities during each period.

Article 4. Tasks and management authority over service tariffs

1. The Prime Minister:

a) Enact policies and mechanisms for managing service tariffs for postal and telecommunications services.

b) Determine tariffs for the following services:

Domestic letters weighing up to 20 grams;

Telephone subscriptions and local telephone calls at subscribers' premises.

2. The Minister of Posts and Telecommunications:

a) After receiving written comments from the Ministry of Finance:

Submit to the Prime Minister:

Decisions on managing service tariffs for postal and telecommunications services;

Tariff plans for the services specified in point b, Clause 1, Article 4.

Decide:

Tariffs for public postal services and dedicated postal services;

Tariffs for public telecommunications services.

b) Determine tariffs for express letter delivery services.

c) Determine tariffs for services applied to users of enterprises holding a dominant market share:

Domestic and international long-distance telephone services (PSTN, IP);

Mobile phone network services for different payment methods (prepaid, postpaid);

International, inter-provincial, intra-provincial, and local leased telecommunications circuits;

Internet connection and access services;

Inmarsat services.

d) Specify:

Postal and telecommunications services that are free of charge;

Postal and telecommunications services within the country and internationally for managing and operating postal and telecommunications networks.

đ) Determine tariffs for connections between telecommunications enterprises.

e) Specify mechanisms for managing tariffs for leasing circuits, shared infrastructure, agency sales, and resale services among telecommunications enterprises.

g) Specify mechanisms for managing international negotiated tariffs between Vietnamese postal and telecommunications enterprises and foreign postal and telecommunications enterprises.

h) Annually, based on market realities and state management requirements, publish specific lists:

Services and telecommunications enterprises holding a dominant market share as specified in point c, Clause 2, Article 4;

Other postal and telecommunications services (excluding those mentioned in point c, Clause 2, Article 4) for which the Ministry of Posts and Telecommunications sets tariffs.

i) Guide the application of exchange rates for converting between convertible foreign currencies and the Vietnamese dong for charging service users according to regulations of the State Bank of Vietnam.

k) Guide methods for developing tariff plans for postal and telecommunications services.

l) Specify measures to prevent predatory pricing and control monopoly prices in the postal and telecommunications sector according to laws.

m) Guide postal and telecommunications enterprises to implement state regulations and decisions on service tariffs for postal and telecommunications services.

n) Guide the reporting and statistical recording of specialized postal and telecommunications data for postal and telecommunications enterprises to support monitoring and management of service tariffs.

o) Lead and coordinate with the Ministry of Finance to guide reporting, accounting costs, and determining cost structures for providing:

Public postal and telecommunications services;

Telecommunications services held by enterprises with a dominant market share;

Other postal and telecommunications services.

p) Organize and direct inspections, audits, and handling actions within their authority regarding violations of this Decision and regulations on postal and telecommunications service tariffs by competent state management agencies.

Article 5. Tasks and authorities of postal and telecommunications enterprises

1. Postal and telecommunications enterprises specifically determine tariffs for services:

a) For which the state has set standard or range tariffs.

b) Outside the list prescribed by the state in accordance with regulations on tariff management issued by competent state agencies.

2. Postal and telecommunications enterprises have the responsibility:

a) To develop and submit to the Ministry of Posts and Telecommunications tariff plans for services for which the state sets tariffs.

b) To account for costs and determine cost structures for postal and telecommunications services according to regulations of the Ministry of Posts and Telecommunications and the Ministry of Finance.

c) To comply with reporting systems and provide relevant information on postal and telecommunications service tariffs to the Ministry of Posts and Telecommunications and the Ministry of Finance.

d) To publicly display service tariffs applicable to users at transaction locations or service provision points according to the law. Displaying must be clear, accurate, complete, and accessible to service users.

đ) To be subject to price inspection and supervision by competent state agencies according to the law.

Article 6. Rights and obligations of users

1. Users have the right:

a) To be provided with full and accurate information and to request postal and telecommunications enterprises to guide and explain the charges for services provided by such enterprises.

b) To lodge complaints against postal and telecommunications enterprises regarding errors in charges, errors in the provision of postal and telecommunications services related to charges, and to exercise other rights as prescribed by law.

2. Users have the obligation to pay service charges according to the terms agreed upon in the service provision and usage contracts between users and enterprises when using postal and telecommunications services, and to fulfill other obligations as prescribed by law.

Article 7. Exemption and reduction of postal and telecommunications service charges in special cases

1. The Prime Minister, the Minister of Posts and Telecommunications, within their respective authorities, have the right to exempt or reduce postal and telecommunications service charges in the following special cases:

a) For national defense, security, and other special political tasks.

b) In case of natural disasters or enemy attacks.

2. If necessary, in cases where the exemption or reduction of postal and telecommunications service charges by the Prime Minister and the Minister of Posts and Telecommunications significantly affects the business operations of enterprises, the Ministry of Posts and Telecommunications and the Ministry of Finance shall cooperate to examine and propose financial support solutions for the enterprises.

Article 8. Implementation clause

1. This Decision takes effect fifteen days from the date of publication in the Official Gazette and replaces Decision No. 99/1998/QĐ-TTg dated May 26, 1998 of the Government on the management of prices and postal and telecommunications charges.

2. The Minister of Posts and Telecommunications and the Minister of Finance are responsible for guiding the implementation of this Decision.

3. Ministers, heads of ministerial-level agencies, heads of government-affiliated agencies, Chairpersons of People's Committees of provinces and centrally governed cities are responsible for implementing this Decision./.