HAKOM without losses
NEWS
Croatian Regulatory Authority for Network Industries (HAKOM) did not have any losses, and the financial means from 2014 that were not utilized but it financed the socially useful projects in 2015 by means of the unused funds from 2014.
Croatian Regulatory Authority for Network Industries (HAKOM) did not have any losses, and the financial means from 2014 that were not utilized but it financed the socially useful projects in 2015 by means of the unused funds from 2014.
ZAGREB, May 7, 2015 – In 2014, HAKOM was performing business activities very conscientiously and responsibly and did not generate any financial losses. Namely, the expenditures of HAKOM are fully covered by the ordinary income that HAKOM, with the consent of the Croatian Government, collects on the markets operating under HAKOM’S competence.
In the last few years HAKOM has generated certain financial surpluses. On the one hand surpluses were accrued on the revenue side due to, for example, the revenue from additional unplanned allocations of the available radio frequency spectrum, and on the other hand on the expenditure side due to the procurement savings (public procurement) and projects implementation. In particular, the surplus means on the revenue side have emerged due to the fact that the operators needed the additional radio frequency spectrum for the development and delivery of new services and products to the end users, which was not planned, while the surplus means on the expenditure side emerged due to very responsible business activities performed by HAKOM. Moreover, often less money was spent in the public procurement procedures and projects implementations than it was planned to be collected for certain activities.
It is important to point out that HAKOM did not use surplus funds, accrued in the previous years, for the HAKOM employees, but it was decided that these surpluses should be returned into the market in order to help the development of the entire national economy.
One of the major projects in 2014 was related to the program of development of the Internet and broadband Internet access in the areas of special state concern, hilly and mountainous areas and islands. In particular, in 2014, 21,028,869 HRK was spent for connecting the target users such as schools, health care and similar institutions in Sibenik-Knin, Vukovar-Srijem, Zadar, Bjelovar-Bilogora, Dubrovnik-Neretva , Krapina-Zagorje, Sisak and Brod-Posavina County, part of Split-Dalmatia and Pozega-Slavonia County, the islands and the south-eastern region of Slavonia.
However, in 2014, aside from the infrastructure development, the amount of 3,126,562 HRK was spent for the development and implementation of socially useful applications of great importance to the end users. It refers to the applications such as adapting the content to for the blind users, the informatization of the visiting nurses in the Republic of Croatia, tracking the fire fighters vehicles and intervention workers, mandatory school reading on the palm, the development and establishment of the system for managing of the contents of the central internet access spot for the public administration of the Republic of Croatia information, personal therapists, ECDL online self-learning courses, Internet advertising for the disabled persons from the areas of special state concern, highland area and the islands Moreover, in 2014 the amount of 5,891,466 HRK was spent for the installation of computer equipment within the already mentioned Broadband Internet Access Programme in order to create a "broadband ecosystem": infrastructure, Internet applications and necessary (computer) circuits Namely, the licenses were obtained, tablet computers and implementation of solutions for secure mobile access to complete the IT activities in the areas flooded last year as well as hardware equipment for the needs of specific institutions such as the Croatian Health Insurance Fund, Ministry of Internal Affairs, CARNet and the Croatian Fire fighters Association.
By carrying out the above mentioned projects, closely connected to the development of Broadband Internet Access, within the territory of the Republic of Croatia and the implementation of the socially responsible regulations, in 2014, HAKOM returned the amount of 30,046,897HRK to the market. Moreover, those projects, besides the available fast-spreading Internet in Croatia in the areas where it was not the case, had a positive effect on the economic development in the Republic of Croatia and even beyond the electronic communications field. Croatian companies, those who were awarded contracts within the implementation of the Program, recruited new employees and received references for completed tasks in the EU member states, etc.
Besides its business premises in Zagreb, HAKOM has a need for branch offices in remaining three biggest cities in Croatia: Rijeka, Split and Osijek. The most important role of those branch offices is to monitor and control the radio frequency spectrum in order to prevent the communication interference and other kinds of disruptions intended for human life protection and safety if it comes to the frequency protection or other similar purposes. In order to carry out the surveillance without mistakes, it was necessary to provide financial means for the construction of the Split branch office because it is the only remaining large city where the frequency spectrum measuring system is not properly situated.
Namely, through the surpluses, except for the support for the Broadband Internet access development, the realization of investments is being carried out.The construction of the Split branch office is good example for that. The construction was first planned in 2013 and financial means were provided. Due to the difficulties in finding the appropriate business premises, the branch office construction was not accomplished that year but it was transferred to the following year of 2014., and automatically became a surplus.
Moreover, through surpluses, HAKOM purchased new measuring devices for frequency spectrum control and off-road vehicles (locations that are difficult to access, such as the mountain or hill peaks where broadcast systems for all purposes are usually situated), which are extremely important for the quality performance of one of the fundamental HAKOM's core activities, such as the control of the radio frequency spectrum and the removal of interference problems.
Eventually, HAKOM points out that it monitors the economic situation in the Republic of Croatia and continuously reduces the amounts of their own revenues by reducing the fee amount that the operators must pay. In particular, over the last few years, the radio frequency spectrum fees have been reduced from 241,809 HRK to 100,000 HRK per MHz as well as the fees that were showed through the percentage of gross income, paid to the operators from 0.32 percent to 0.20 percent. Moreover, starting with 2014, HAKOM has set regulatory rules that fees should not be paid to the operators who achieved the gross income less than 1,000,000 HRK in the previous year. Aside from electronic communications field, the revenues from fees for performed task in the field of postal services have also been reduced in the recent years from 0.29 percent of the total gross revenue to 0.20 percent.
# # #
For additional information please contact:
Croatian Regulatory Authority for Network Industries (HAKOM)
Roberta Frangeša Mihanovića 9
10110 Zagreb, Croatia
Tel. + 385 (0) 1 700 70 07
Fax + 385 (0)1 700 70 70
Media inquiries can be submitted online using HAKOM’s official website: https://www.hakom.hr/
Registration required.
In the last few years HAKOM has generated certain financial surpluses. On the one hand surpluses were accrued on the revenue side due to, for example, the revenue from additional unplanned allocations of the available radio frequency spectrum, and on the other hand on the expenditure side due to the procurement savings (public procurement) and projects implementation. In particular, the surplus means on the revenue side have emerged due to the fact that the operators needed the additional radio frequency spectrum for the development and delivery of new services and products to the end users, which was not planned, while the surplus means on the expenditure side emerged due to very responsible business activities performed by HAKOM. Moreover, often less money was spent in the public procurement procedures and projects implementations than it was planned to be collected for certain activities.
It is important to point out that HAKOM did not use surplus funds, accrued in the previous years, for the HAKOM employees, but it was decided that these surpluses should be returned into the market in order to help the development of the entire national economy.
One of the major projects in 2014 was related to the program of development of the Internet and broadband Internet access in the areas of special state concern, hilly and mountainous areas and islands. In particular, in 2014, 21,028,869 HRK was spent for connecting the target users such as schools, health care and similar institutions in Sibenik-Knin, Vukovar-Srijem, Zadar, Bjelovar-Bilogora, Dubrovnik-Neretva , Krapina-Zagorje, Sisak and Brod-Posavina County, part of Split-Dalmatia and Pozega-Slavonia County, the islands and the south-eastern region of Slavonia.
However, in 2014, aside from the infrastructure development, the amount of 3,126,562 HRK was spent for the development and implementation of socially useful applications of great importance to the end users. It refers to the applications such as adapting the content to for the blind users, the informatization of the visiting nurses in the Republic of Croatia, tracking the fire fighters vehicles and intervention workers, mandatory school reading on the palm, the development and establishment of the system for managing of the contents of the central internet access spot for the public administration of the Republic of Croatia information, personal therapists, ECDL online self-learning courses, Internet advertising for the disabled persons from the areas of special state concern, highland area and the islands Moreover, in 2014 the amount of 5,891,466 HRK was spent for the installation of computer equipment within the already mentioned Broadband Internet Access Programme in order to create a "broadband ecosystem": infrastructure, Internet applications and necessary (computer) circuits Namely, the licenses were obtained, tablet computers and implementation of solutions for secure mobile access to complete the IT activities in the areas flooded last year as well as hardware equipment for the needs of specific institutions such as the Croatian Health Insurance Fund, Ministry of Internal Affairs, CARNet and the Croatian Fire fighters Association.
By carrying out the above mentioned projects, closely connected to the development of Broadband Internet Access, within the territory of the Republic of Croatia and the implementation of the socially responsible regulations, in 2014, HAKOM returned the amount of 30,046,897HRK to the market. Moreover, those projects, besides the available fast-spreading Internet in Croatia in the areas where it was not the case, had a positive effect on the economic development in the Republic of Croatia and even beyond the electronic communications field. Croatian companies, those who were awarded contracts within the implementation of the Program, recruited new employees and received references for completed tasks in the EU member states, etc.
Besides its business premises in Zagreb, HAKOM has a need for branch offices in remaining three biggest cities in Croatia: Rijeka, Split and Osijek. The most important role of those branch offices is to monitor and control the radio frequency spectrum in order to prevent the communication interference and other kinds of disruptions intended for human life protection and safety if it comes to the frequency protection or other similar purposes. In order to carry out the surveillance without mistakes, it was necessary to provide financial means for the construction of the Split branch office because it is the only remaining large city where the frequency spectrum measuring system is not properly situated.
Namely, through the surpluses, except for the support for the Broadband Internet access development, the realization of investments is being carried out.The construction of the Split branch office is good example for that. The construction was first planned in 2013 and financial means were provided. Due to the difficulties in finding the appropriate business premises, the branch office construction was not accomplished that year but it was transferred to the following year of 2014., and automatically became a surplus.
Moreover, through surpluses, HAKOM purchased new measuring devices for frequency spectrum control and off-road vehicles (locations that are difficult to access, such as the mountain or hill peaks where broadcast systems for all purposes are usually situated), which are extremely important for the quality performance of one of the fundamental HAKOM's core activities, such as the control of the radio frequency spectrum and the removal of interference problems.
Eventually, HAKOM points out that it monitors the economic situation in the Republic of Croatia and continuously reduces the amounts of their own revenues by reducing the fee amount that the operators must pay. In particular, over the last few years, the radio frequency spectrum fees have been reduced from 241,809 HRK to 100,000 HRK per MHz as well as the fees that were showed through the percentage of gross income, paid to the operators from 0.32 percent to 0.20 percent. Moreover, starting with 2014, HAKOM has set regulatory rules that fees should not be paid to the operators who achieved the gross income less than 1,000,000 HRK in the previous year. Aside from electronic communications field, the revenues from fees for performed task in the field of postal services have also been reduced in the recent years from 0.29 percent of the total gross revenue to 0.20 percent.
# # #
For additional information please contact:
Croatian Regulatory Authority for Network Industries (HAKOM)
Roberta Frangeša Mihanovića 9
10110 Zagreb, Croatia
Tel. + 385 (0) 1 700 70 07
Fax + 385 (0)1 700 70 70
Media inquiries can be submitted online using HAKOM’s official website: https://www.hakom.hr/
Registration required.
ABOUT HAKOM: HAKOM (www.hakom.hr) - Croatian Regulatory Authority for Network Industries – ensures preconditions for a fair market competition, stable growth and environment for innovations in the electronic communications and postal services market. HAKOM protects users’ interests and the possibility of choice among various communications and postal services at affordable prices, defines sustainable competitive conditions for operators and service providers under fair conditions for return on investment, and provides support to economic growth, public services and the quality of life in the Republic of Croatia by using modern technologies. HAKOM’ strategic goals are: to promote regulation of the electronic communications and postal services market, to support growth of investments and innovations in the electronic communications and postal services market, to provide efficient use of limited resources, to accelerate the growth of broadband products and services, to provide affordable offers of communications and postal services, to provide protection and informing of users, to build an efficient and comprehensive information system, to define and implement efficient processes, and to acquire multi-disciplinary competencies in market regulation.