New Internet Law: Why Tariffs May Soar Tenfold.

According to ТСН: Ukraine has adopted a new law that introduces strict requirements for mobile Internet speed (up to 100 Mbps) and obliges providers to ensure 100 hours of network autonomy during blackouts. While the quality of service is expected to be at a higher level, experts warn of a potential increase in Internet tariffs.

What Does Law No. 4670-IX on Mobile Internet Entail?

According to the First Deputy Prime Minister - Minister of Digital Transformation Mykhailo Fedorov, Law No. 4670-IX introduces a number of significant changes in the field of mobile Internet. First — new speed standards.

"Speed is a requirement, not a promise. Previously, operators could declare theoretical speed. Now the number of megabits (up to 100 per second) will become the official quality indicator that companies will be obliged to adhere to," stated in the Ministry of Digital Transformation.

The innovations require operators to guarantee real Internet parameters, not just mention them in advertising.

Additionally, subscribers have been given the ability to check the quality of mobile Internet themselves, and the regulatory authority will use the obtained data to identify 'blind zones,' obliging operators to resolve identified issues. A monitoring system is already being prepared for launch.

Scheduled checks of compliance with licensing conditions will also be resumed, which should encourage operators to actively improve infrastructure.

The law also secures the activity of national roaming even after martial law is lifted, allowing Ukrainians to switch between networks in emergencies.

Moreover, a requirement for networks to operate autonomously for at least 100 hours during power outages has been proposed. This is one of the most extensive norms for providers.

Users Obtain the Right to Test Internet Quality

The Verkhovna Rada of Ukraine has adopted bill No. 12094, which changes the rules in the field of electronic communications. The law came into effect after the president's signature. During the discussions, some mobile operators tried to delay its adoption due to unfavorable points.

According to the explanatory note, the law is needed to harmonize Ukrainian legislation with European quality standards for communication.

"Obtaining a large amount of data on communication quality... will allow for detailed monitoring and identifying locations where measurement results do not meet established quality indicators," states the note.

Crowdsourced measurements are being introduced, where users will independently record communication quality. As stated in the document: "This will allow the electronic communication services regulator to gain broader insight... and conduct quality spot checks."

New Internet Speed Standards

The new legislation defines an important innovation — mobile Internet speed. Although exact indicators will be defined by specific acts, the main benchmark will be the European standard — up to 100 Mbps. This is a significant improvement compared to the previous norm of 2 Mbps.

New standards will allow users to play video games, watch videos in good quality, and work with large files without issues. For the average user, 20-30 Mbps will be enough, but operators must guarantee higher indicators.

Law No. 4321 also envisages faster allocation of land for base stations, reducing the term from six to three months, and also the possibility of deploying mobile stations.

Communication Operations During Blackouts

According to the explanatory note, "it is proposed to foresee the possibility of the national center... issuing orders for providing national roaming services" in extreme conditions.

National roaming after the war will become a sort of option that will be used in emergency situations.

The Main Legal Department of the Parliament noted that the new rules effectively cancel the 'deferrals' for operators introduced at the beginning of the war.

They warned: "This contradicts the principles of Article 58 of the Constitution of Ukraine," and this conflict may be challenged in court in the future.

Will Internet Tariffs Rise?

The head of the parliamentary subcommittee, Serhiy Shtepa, noted that the goal of the law is to improve the quality of communication throughout the country.

"I am confident that we will all see the results... Operators will expand their network and install additional base stations," he reported.

The company Ookla is already measuring operators' speeds. In 2023, 'Kyivstar' showed the best results — over 42 Mbps in Odesa and about 35 Mbps in Kyiv and Lviv. Lifecell and Vodafone had lower but comparable indicators.

A big problem lies in the sharp drop in speed outside large cities, caused by the number of base stations, network load, the quality of user equipment, and frequency compliance.

The state may require operators to increase investments in the network, which could improve coverage. However, experts warn that the cost of services may rise.

"The new law makes amendments to the legislation concerning all providers. I recommend finding out from backbone providers how much real 100 Mbps costs, because providing everyone with such speed is not a technical problem, the issue is whether Ukrainians are ready to pay ten times more than now," noted Poltava entrepreneur Ihor Petrichenko.

He added that for providers, the main expenses are purchasing traffic and modernizing equipment.

Additional Charge for Autonomy

A separate item of expenditure will be the requirement for network autonomy for 100 hours.

"That’s a lot. It requires the purchase of new batteries, generators (which need to be constantly refueled). As a result, the cost of the service will increase," explained Kucherenko.

The head of the company gives an example: last year their company purchased batteries for 24 hours of autonomy, but under mass outages, they only operated for 14 hours.

According to Kucherenko, the surcharge for autonomy will vary among providers.

"It all depends on the investments in equipment and the number of subscribers. A large provider with a million subscribers may limit the tariff increase to 2-3 hryvnias. A small provider with up to a thousand subscribers will significantly raise the price," he added.

It is worth noting that competition may lead to some small operators leaving the market due to financial difficulties.

At the beginning of November, it was reported that Ukrainian mobile operators (Kyivstar, Vodafone, lifecell) had almost completely equipped base stations with batteries and generators, with the average autonomy time being 6-10 hours.