Principles of the Proposed Czech Postal Sector Price Control Model

The paper deals with the postal sector control. It resultsfrom the control theory and proves the justifiability of control inthe postal sector. Within the price control it results from E U Directive97!67/EC requirements on this control and states individualtypes of price control focusing on ineffective price controlcurrently used in the Czech postal sector (especially withindomestic services) and proposes a more effective method ofprice control. The paper also discusses the principles of the proposedmethod of price control of the Czech postal sector. It describesconcrete fulfilment of the price control model resultingfrom the price-cap and tariff formula RP I-X and concentrateson its quantitative expression. The application of the proposedmodel is carried out for a hypothetical period in the past (in orderto compare it with the current control system) for letteritems tariff basket.