Regulations about recovery of initial costs
7(1)The Secretary of State must make regulations making such provision as the Secretary of State considers appropriate in connection with the recovery by OFCOM of their initial costs.
(2)The regulations must include provision as set out in sub-paragraphs (3), (4) and (6).
(3)The regulations must specify the total amount of OFCOM’s initial costs.
(4)For the purposes of paragraph 2, the regulations must specify—
(a)the charging years in respect of which additional fees are to be charged, and
(b)the proportion of the total amount of initial costs which OFCOM must seek to recover in each of the specified charging years.
(5)The following rules apply to provision made in accordance with sub-paragraph (4)(a)—
(a)the initial charging year may not be specified;
(b)only consecutive charging years may be specified;
(c)at least three charging years must be specified;
(d)no more than five charging years may be specified.
(6)The regulations must specify the computation model that OFCOM must use to calculate fees payable by individual providers of regulated services under paragraphs 2 and 3 (and that computation model may be different for different charging years).
(7)The regulations may make provision about what OFCOM may or must do if the operation of this Schedule results in them recovering more than the total amount of their initial costs.
(8)The regulations may amend this Schedule or provide for its application with modifications in particular cases.
(9)Before making regulations under this paragraph, the Secretary of State must consult—
(a)OFCOM,
(b)providers of regulated user-to-user services,
(c)providers of regulated search services,
(d)providers of internet services within section 80(2), and
(e)such other persons as the Secretary of State considers appropriate.