Provision of postal services

Act No 221/2012, amending Act No 29/2000, on postal services and amending certain acts (the Postal Services Act), as amended, and certain other acts, entered into force on 1 January 2013. (available in the Czech Collection of Laws only in Czech language).

The Postal Services Act lays down the obligations of the providers providing postal services or providing foreign postal services. Detailed information is provided in the Postal Services Act. Given below for easier orientation in these issues is a brief overview of the main obligations.

1. Business activities in the postal services area

Business activities are systematic activities carried out separately by an undertaking in its own name and on its own responsibility for the purpose of generating profit. Business in the postal services area includes the provision of postal services and provision of foreign postal services.

According to Section 1(2) of the Postal Services Act, postal service is an activity carried out under a postal contract and under the conditions set out in the Postal Services Act. A postal service usually comprises postal mail collection and its sorting and transportation over the postal network. The purpose of postal services is to deliver the mail to the recipient. Postal delivery of cash is also considered as postal service.

According to Section 1(3) of the Postal Services Act, postal service is not the transportation of postal consignments (items) by any party that was not involved in the collection, sorting or delivery of such consignments. A service similar to postal services carried out by the sender or by a party connected with the sender is also not a postal service.

According to Section 2(i) of the Postal Services Act, foreign postal service is a service where provision was agreed outside the Czech Republic and where the purpose is to deliver postal consignments or amounts of cash in the Czech Republic, and which belongs to the sphere of postal services in the phase provided by the provider in the territory of the Czech Republic. In case of any doubt as to whether or not an undertaking operates postal services, it is possible to contact the Czech Telecommunication Office – Department of Communications and Postal Services Regulation, using the Contacts.

2. Business notification and registration of the providers providing or providing postal services

According to Section 18 of the Postal Services Act, providers providing postal services or providing foreign postal services shall notify their business activities in the postal services area in the Czech Republic in writing to the Czech Telecommunication Office (CTU). To do so, they have to deliver a properly and fully completed business notification form, including all attachments, and have to meet the conditions described in detail in Section 17 of the Postal Services Act.

The obligation to notify a business in the postal services area to CTU pertains to newcomers to business in postal services as well as those that provided or ensured postal services on the basis of a business licence under Act No 455/1991, the Business Licensing Act, as amended, before 1 January 2013, and continue doing so at present.

Those that provided or ensured postal services in accordance with the previous provisions of the Business Licensing Act can use the transitional period, which ends on 30 April 2013, to notify CTU about the postal services they provide or ensure. The previous business licence authorises these undertakings to provide or ensure postal services for no longer than the end of the transitional period and will cease to exist upon the delivery to CTU of the notification of the postal service business. Should an undertaking fail to submit a notification of its postal service business to CTU by the end of the transitional period, its authorisation to carry on a business in this area will expire.

A sample form, details of which are specified in the Decree No. 434/2012 Coll., establishing the sample form of notification of business in the area of postal services, is available for collection of the business notification. The completed form can be delivered to CTU in person to the registered seat of CTU, or by post, or electronically to CTU’s mailbox, or by e-mail with an approved electronic signature. All contact information for communicating with CTU is available at CTU’s website.

The mandatory attachments to the notification include:

  1. basic information about the natural person – this information is needed so CTU be able to request the person’s extract from the Criminal Registry in accordance with Section 17(5) of the Postal Services Act. This information has to be provided (filled in) by the notifying party (the authorised person). On the basis of the information referred to above, CTU will request the Criminal Registry to issue an extract for verifying the person’s integrity on the basis of Act No 269/1994. Individuals who are not citizens of the Czech Republic have to prove their integrity by submission of an extract issued in a foreign country, or by submission of a document to a similar effect issued by a relevant authority of the state whose citizen the person is as well as the state where the person has stayed continuously for at least 6 months during the last three years; where such documents are not issued by the state concerned, the person’s integrity has to be proved by a statement of integrity before the relevant authority of such a state. These documents and statements must not be older than three months. In the case of a legal entity, the integrity requirement has to be met by all members of the governing body. These members should prove their integrity as individuals (natural persons),
  2. certificate issued by a relevant tax authority proving that the notifying person has no arrears with the Czech tax authorities and Czech customs authorities, except any outstanding amount with permitted payment deferment or division of the payment into instalments,
  3. document proving that a legal entity was established or constituted, if the entity has not yet been incorporated (entered on the Commercial Register), or document proving that the legal entity is registered in a relevant register other than the Commercial Register, if it is already incorporated. For a foreign legal entity: a certificate of incorporation (extract from the Commercial Register or a similar register maintained in the state where the entity has its registered office), and a document proving that an undertaking is being operated outside the Czech Republic; a document on the operation of an undertaking outside the Czech Republic is not required from a legal entity having its registered office, administration centre or place of business in a Member State of the European Union; no such certificate may be older than three months,
  4. document proving permanent residency of a foreign natural person, if permanent residency has been granted to such a person. For a foreign natural person establishing in the Czech Republic an organisational unit of a business: a document proving that such a person has a business outside the Czech Republic and a document on its operation. A document on the operation of a business outside the Czech Republic is not required from a natural person who is a citizen of a Member State of the European Union,
  5. document on the payment of an administrative fee.

Documents that are attachments to the notification sent to CTU must be originals or certified copies. In case the notifier received the documents in electronic form and send them to CTU in the same manner, it is required the document must contain original electronic signature of the entity that issued this document. If the document is converted from electronic into paper form, or on the contrary, it must be provided with a verification clause according to Section 22 (1) of the Act No. 300/2008 Coll., on electronic transactions and automatic conversion of documents. The Czech POINT is entitled to perform this conversion or provided the document with verification clause.

According to Section 18(1) of the Postal Services Act, the authorisation to carry on a business commences as at the date of delivery of a written notification of business activities, which has to meet the detailed requirements laid down in Section 18(2) and (3) of the Postal Services Act.

On the basis of a proper notification of business activities, CTU issues a certificate to prove that the provider has complied with its notification duty and is therefore entitled to pursue business in the area of postal services.

It is laid down in Section 36a(1)(b) of the Postal Services Act that CTU shall maintain a list of providers. CTU also grants a postal licence to an appointed provider with the obligation to provide and ensure the universal services. CTU also makes public the list of postal service providers at its web site.

According to Section 18(4) to (6) of the Postal Services Act, the undertakings that have properly announced their business in the postal service area have to notify any changes in providing or ensuring postal services and, as the case may be, any suspension, resumption or termination of business activities. All these changes should be notified in a similar way to the notification of business, using the above-mentioned form.

3. Administrative fees

An administrative fee of CZK 1,000 is charged for the issuance of a certificate of business notification. This administrative fee is charged in accordance with Act No 634/2004 on administrative fees, as amended (Annex – Scale of Fees, Part VIII, item 113(a).

An administrative fee of CZK 500 is charged to a natural person as well as a legal entity to which CTU issued a certificate of notification of a change in the notified information. This administrative fee is collected in accordance with Act No 634/2004 on administrative fees, as amended (Annex – Scale of Fees, Part VIII, item 113(b).

The administrative fee has to be paid by the natural person or legal entity to the receipt account of Department of Communications and Postal Services Regulation of the Czech Telecommunication Office. All and any contact data necessary for the payment of the administrative fee will be notified to the undertaking by this Department of CTU (see the Contacts).

The reimbursement of the administrative fee is possible also in form of stamps added to the notification form. The stamp may be placed anywhere at the notification form but must not overlap the text.  

More information and the scale of administrative fees are available here.

4. Other obligations of postal service providers

Postal service providers’ other obligations include, in particular, the information obligations, accounting for revenues and income for the purpose of the determination of and reimbursement for the net costs, and the specific obligations of the provider exercising its postal obligation (postal licence holder). These obligations are described in detail in Information on amendments to the postal service legislation and the related changes in the CTU competences.

5. Conclusion

The above enumeration of the obligations of postal service providers gives a brief overview of the obligations of the providers providing postal services or ensuring foreign postal services. If you have any inquiries concerning the conditions for the provision of postal services, please contact the Czech Telecommunication Office’s Department of Communications and Postal Services Regulation (see the Contacts).

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