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Established in 1874, the Universal Postal Union UPU, with its Headquarters in the Swiss capital of Bern, is the second oldest international organization after the International Telecommunications Union. With 189 member countries, the UPU is the primary forum for cooperation between postal services and helps to ensure a truly universal network of up-to-date products and services. In this way, the organization fulfils an advisory, mediating and liaison role, and renders technical assistance where needed.
The first known postal document, found in Egypt, dates from 255 BC. But even before that time postal services existed on nearly every continent in the form of messengers serving kings and emperors. Over time, religious orders and universities added their own message delivery systems to exchange news and information. Relay stations were set up along the messengers routes to speed delivery over long distances.
During the 17th and 18th centuries, the exchange of mail between countries was largely governed by bilateral postal agreements. But by the 19th century, the web of bilateral agreements had become so complex that it began to impede the rapidly developing trade and commercial sectors.
The most noteworthy reform occurred in England in 1840, when Sir Rowland Hill introduced a system whereby postage on letters had to be prepaid. Furthermore, uniform rates were charged for all letters of a certain weight in the domestic service, regardless of the distance travelled.
This task was left to Heinrich von Stephan, a senior postal official from the North German Confederation. He drew up a plan for an international postal union, and at his suggestion, the Swiss Government convened an international conference in Bern on 15 September 1874.
Although Congress main function is legislative, the recent tendency has been to delegate more regulatory power to the two UPU Councils, leaving it to focus more on strategic and broad policy issues. Known as the Beijing Postal Strategy, the UPUs strategic plan for 2000-2004 was approved by the 1999 Congress.
The common rules applicable to the international postal service and the provisions concerning the letter-post and parcel-post services are given in the Convention and its Regulations. The Regulations of the Convention are agreements concluded by the national postal administrations elected by the Congress to the Postal Operations Council POC. The POC has the authority to amend the Regulations at its annual sessions. The Convention and its Regulations are binding on all member countries.
The Council of Administration CA consists of a Chairman and 40 member countries and meets in principle each year at UPU Headquarters in Bern. It ensures the continuity of the UPUs work between Congresses, supervises its activities and studies regulatory, administrative, legislative and legal issues. To ensure that the UPU is able to react quickly to changes in the postal environment, the CA has been given the power to approve proposals by the Postal Operations Council for the adoption of regulations or new procedures until the next Congress. The CA can also take measures that it considers necessary to resolve urgent issues. The CA approves the biennial budget and the accounts of the Union, as well as yearly updates of the UPUs Programme and Budget. It is also responsible for promoting and coordinating all aspects of technical assistance among member countries.
The Postal Operations Council POC is the technical and operational body of the UPU and consists of 40 elected member countries. It deals with the operational, economic and commercial aspects of the international postal service. At its first meeting after each Congress, the POC revises the Convention and its Regulations, as well as the Postal Payment Services Agreement and its Regulations. It promotes the introduction of new postal products by collecting, analysing and publicising the results of initiatives and research undertaken by Posts.
Close working relationships also exist with a number of international organizations such as the International Air Transport Association IATA, the International Organization for Standardization ISO, the World Customs Organization WCO, and INTERPOL in facilitating the flow of international mail.
The financing of the UPUs activities is independent of the larger United Nations system. All budget expenses are financed jointly by the member countries, based on a contribution class system. Upon admission to the Union, new member countries are free to choose one of ten contribution classes ranging from one to 50 units. An additional contribution class of one-half unit is reserved for the least developed countries. There are at present five countries with the maximum 50 contribution units.
Posts have in recent years faced the realities of the new economic forces of deregulation, globalisation, liberalisation and, to a lesser extent, privatisation. The postal environment is also continuing to change under the impact of increased competition and customer demands.
According to UPU studies conducted in 1997 and 2000, letter volumes worldwide are expected to increase by slightly more than two percent annually through the year 2005. However, the communications market as a whole - telephone, fax, electronic mail, interactive communication and other forms of electronic commerce - continues to progress at a much faster pace than the postal market. This trend, coupled with growing competition from other service providers, will mean a gradual loss of overall market share for the Posts, even if they are showing real growth in physical mail volumes.
The future of Posts will depend on how they are able to adapt to the explosive growth in the communications market. Some postal services have already started a process of reform and restructuring and have become more independent, self-financing and commercial enterprises.
Falling trade barriers and expanding liberalisation of markets have resulted in greater competition, not only between public and private postal operators, but also among public operators themselves. Some Posts, particularly in Western Europe, have therefore sought business opportunities outside their traditional core products and beyond their national borders.
Although legislated monopolies reserve most of the domestic markets for the national postal operators, some domestic markets have been opened up to competition. In most countries the focus of change is on postal reform in the wider sense, particularly corporatisation, rather than full liberalisation and privatisation.
Posts have demonstrated their ability to adapt quickly to technological developments. Many have already entered the electronic realm, embracing new technologies to improve existing products and services and to create new ones for their customers.
The future role of the UPU will be one that is more inclusive of external stakeholders, ensuring that the changing needs of postal customers are addressed effectively. The UPU will therefore increasingly provide a global forum for its members and external partners.
Since its establishment in 1991, the UPUs Postal Development Action Group PDAG has focussed its activity on increasing the resources available for postal development and reform. Through its efforts, international financial institutions have become aware of the need for investment in the postal sector.
The UPUs Technical Cooperation Action Group is also very much involved in postal development issues. The UPU undertakes field projects in such areas as training, management and postal operations while its regional advisers play an active role in promoting postal reform at a regional level.
To complement the large number of quality of service initiatives taken by national Posts, the UPUs International Bureau undertakes four worldwide quality tests each year, monitoring 900 international links through the use of test letters and parcels.
While globalisation has brought countries closer together, the forces of liberalisation have also brought new players into the postal arena. Some countries already have more than one national postal service provider while private operators ha...
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