Offences for which telcos may be fined once the bill comes into law include overcharging, failing to provide information to the Communications Regulator (Comreg) and sending unsolicited junk-mail to customers.

The heads of the Communications (Miscellaneous Provisions) Bill will be presented by communications minister Noel Dempsey within four weeks. The heads of the bill are currently being finalised, following the conclusion of a public consultation process.

The bill has been met with some scepticism from the telecoms industry. David McRedmond, commercial director with Eircom, said the legislation would simply create "a whole other level of bureaucracy" in a sector that was already "one of the most highly regulated" in Europe.

Many of the provisions in the bill were initially proposed by former Minister for Communications Dermot Ahern as far back as 2004, but progress has been slow.

The proposed legislation, which would apply to all telcos operating in the Republic including fixed line and mobile operators, provides increased powers for the Comreg.

The draft bill specifies a range of new offences and powers for Comreg.

The bill, which puts into force the provisions of a European Commission directive issued in 2003, would make it a criminal offence for operators to refuse to provide information "including financial information" requested by Comreg for the purpose of ensuring compliance with regulations. Operators found guilty of such an offence would be subject to fines of up to 4m or 10% of their annual turnover in the 12 months prior to conviction, whichever amount is greater.

The bill also provides for broader powers for Comreg in instances of overcharging.

Notes to the draft bill mention "incidents of overcharging in 2004 by operators O2, Eircom and Vodafone" and say that these incidents "highlighted Comreg's absence of powers to intervene".

Under the proposed legislation, Comreg would be able to compel operators to provide information in such cases, investigate instances of overcharging and then apply to the High Court to bring proceedings and levy fines of up to 5,000 on operators.