What are Universal Services?

Although the provision of ‘Services of General Interest’ are changing dramatically, consumers still have rights to access safe and reliable services, which are of good quality, are supplied on reasonable terms, and are available at an affordable price.

Consumers are entitled to expect effective redress provisions and compensation if things go wrong. They also have the right to clear information about prices and suppliers, to transparent systems of regulation, to being treated fairly and to being represented so that their interests are effectively protected.

Since SGI’s are essential to life, health and social participation, consumers need to have certain guarantees. It is for this reason that the privatisation of these vital services has been accompanied by rules which ensure that consumers’ interests are fully respected.

In particular there is European legislation that defines the notion of ‘Universal Service Obligation’, to ensure that the permanent provision of a range of services which are easily accessible to users are guaranteed, allowing consumers to reap the full benefits of a competitive market.

The European Commission’s Communication on `Services of General Interest in Europe’ (COM 96/443) states that the universal service concept, like the services of general interest themselves, is

"meant to serve a society as a whole and therefore all those living in it."

The aim in applying the universal service concept to SGI is to ensure that everyone has access to certain essential services of high quality at prices they can afford.’

In the European Commission’s Communication on `Services of General Interest in Europe’ the concept of universal service is defined in terms of broad principles including:

“equality, universality, continuity and adaptability; and in terms of sound practices: openness in management, price-setting and funding, and scrutiny by bodies independent of those operating the services.”

The universal service concept was seen as having potential application to all the services of general interest. The idea was that the broad principles would need to be translated into specific requirements - sector by sector.