Support study accompanying the review of the Broadband Cost Reduction Directive : impact assessment: executive summary

The 2014 Broadband Cost Reduction Directive (BCRD) seeks to support the deployment of high speed broadband by reducing costs associated with civil works and streamlining administrative procedures for network deployment. The BCRD is ripe for review in light of new EU objectives to foster Gigabit broadband and support 5G deployment. This study provides support to the Commission to identify options for the revision of the BCRD and assess their impacts. We conclude that high costs of deployment and complex procedures continue to be important barriers to the deployment of Very High Capacity Networks (VHCN). Reinforcing measures to streamline and digitise permit granting, requiring access to public facilities which are suitable for VHCN deployment, elaborating rules about the terms and conditions for physical infrastructure access and civil works co-ordination, improving transparency about existing physical infrastructure and planned civil works, and requiring the introduction of standards for in-building infrastructure including fibre for new and renovated buildings could contribute to lower costs for VHCN deployment. We estimate that pursuing these measures through Option 3 in the Impact Assessment could reduce deployment costs for FTTH by around €15bln including reduced subsidy requirements of €2.4bn and accelerate the deployment of mid-band 5G and could contribute around €105bln to EU GDP by 2030, if savings are reinvested in network expansion.