The Ministry of Communications announced today (Thursday) the imposition of a financial sanction of approximately 8 million shekels on Bezeq, due to a material violation of the provisions of the law and the regulatory framework for the deployment of advanced communications networks - while harming competition in the industry.
The sanction was imposed after it was found that Bezeq deployed an advanced network and provided services in areas that were defined as 'incentive areas' - areas that Bezeq chose not to deploy in and which were intended to encourage the entry of small players into the communications market.
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The fiber plan and incentive tenders are the main tools used by the Ministry of Communications to correct market failures and reduce digital gaps in the periphery.
The ministry is currently publishing the third incentive tender, which will also be the last.
According to the regulatory outline, Bezeq, as the dominant company in the market, is prohibited from operating in the "incentive areas" for 5 years from the date of determining the deployment obligation for the winners of the incentive tenders.
The Ministry of Communications says: "Violation of this provision harms the economic viability of the winners of the incentive tenders, gives Bezeq an unfair competitive advantage as the first player in these areas, and undermines the ability of small companies to meet their obligations.".
""Bezeq's entry into incentive zones in violation of regulatory rules sends a discouraging message to small players and could harm competition and the variety of choices available to consumers. The regulatory framework is designed to promote the transition from copper networks to fiber optic networks throughout the country, while encouraging competition and equal opportunities for all players in the market.".
Bezeq is required to pay the full amount within 30 days.
