What Did the Ministry of Finance’s Contribution to Anatel’s Consultation Add to the Debate?
The Ministry of Finance has asserted that there is insufficient evidence to justify implementing a network fee on the Internet. As reported earlier this year, the National Telecommunications Agency (Anatel) launched a new consultation on the regulation of user obligations, including the contentious idea of an “Internet toll” or “network fee.” Following the first consultation, it became evident that only major telecom companies supported the proposed network charge, while the broader ecosystem raised numerous objections.
Anatel justified the need for a second round of public consultation by citing the complexity of the issues under discussion. Although the agency has yet to release an analysis of the contribution profiles, including those from the first round, it noted that this second round received 1,330 contributions via the Participa System, along with 20 technical studies, opinions, and information feeding into the ongoing Regulatory Impact Analysis process.
The “Network Fee” issue is explicitly addressed under Topic No. 5, which concerns the “imbalance between the investments made by each player in the digital ecosystem in relation to the expansion and sustainability of network infrastructure.”
Among the documents contributing to the Regulatory Impact Analysis, the Ministry of Finance’s input stands out. Through the Undersecretariat for Economic Monitoring and Regulation (SEAE) of the Secretariat for Economic Reforms (SRE), the Ministry specifically addressed the “network fee” issue, arguing against its implementation.
SEAE/SRE contended that the economic disparity between traditional telecommunications companies and digital market players does not justify a cost-sharing model for infrastructure use. They stated:
“Despite the claim that companies in digital markets significantly outperform telecommunications companies economically, this does not establish a causal link justifying compensatory measures from one sector to another. More robust evidence would be required for any intervention of this nature, as it risks creating artificial subsidies that could increase transaction costs for multiple economic agents without delivering consistent systemic benefits.”
As we previously highlighted in our analysis of the contributions to Anatel’s initial Public Consultation, proponents of the Network Fee have not provided compelling arguments to support its implementation. Conversely, we have consistently emphasized at least ten reasons why such a network fee should not be imposed on the Internet. We will continue monitoring the debate and advocate for an open, toll-free Internet.