The regulator’s draft decision follows on a consistent record of consumer protection efforts related to price rises and social tariffs
ANACOM reviews automated data allowance activation
On 4 March 2024, in Portugal, the Autoridade Nacional de Comunicações (ANACOM) opened a consultation on proposed corrective measures relating to the data pricing practices of mobile operators. According to complaints received from consumers and additional information from operators requested by ANACOM, multiple operators have implemented automatic increases of data allowances when consumers exhaust their contracted data limits. The regulator is particularly concerned with instances in which the consumer is not asked to consent to the additional data and associated charges when they’ve exhausted their data limits. Instead, operators have considered the inclusion of the ‘automatic activation’ policy in the general tariff terms signed at the beginning of a consumer’s contract to offer sufficient consent for the duration of the contract. As a result, ANACOM has found that consumers are likely to incur unintended charges and will be less inclined to use the entirety of their contracted data allowance for fear of triggering the charges of an increased ceiling.
The regulator proposes requiring express consent for additional data charges
In its consultation, ANACOM determined the practice of automated data activation to be both an unfair commercial practice under the Law on Essential Public Services and a violation of Portugal’s consumer protection laws by creating an imbalance of power between the company and the consumer in a contractual relationship. The regulator has therefore proposed two potential corrective measures to be taken by providers:
Immediately stop the practice of automatic activation without the specific and express consent of the consumer at the time of the activation; or
Offer automatic activation as an option consumers can select to participate in at any time but are not defaulted into.
The public consultation on these measures will run until April 2024, after which ANACOM will finalise its decision.
ANACOM consistent in its focus on consumer protection
The proposed measures provide a further example of the regulator’s emphasis on consumer protection amid the financial pressures faced by some households. In November 2023, ANACOM issued a recommendation encouraging operators to exercise due constraint when putting through any price rises. Those recommendations followed on a 2022 fine issued to Portugal’s four largest operators for failing to effectively communicate price rises. The regulator also stands out among its European peers for its work administering the Government-mandated social tariff for fixed and mobile services. These efforts all align with the ANACOM’s strategic objective in its 2024 multi-annual activity plan to “ensure maximum protection of the rights of communications users” with a particular focus on supporting vulnerable consumers.
