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ARCHIVED -  Telecom Order CRTC 97-1146

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Telecom Order

Ottawa, 20 August 1997
Telecom Order CRTC 97-1146
On 16 January 1997, BC TEL filed Tariff Notice 3576 (TN 3576) proposing the introduction of Terminal Network Access Wide Area (TNAWA) service to provide wide area toll-free calling capability for service providers subscribing to Terminal Network Access (TNA) local service. The Commission granted interim approval to this proposal in Telecom Order CRTC 97-151 (Order 97-151) dated 7 February 1997.
File No.: TN 3576
1. In the information filed with TN 3576, BC TEL stated that the proposed TNAWA service was intended to provide a lower cost service with fewer features as an alternative to the Advantage Toll-Free Messaging option for its TNA local service customers in order to avoid losing a majority of its TNA local and wide area service customers to competitors. The company stated that in developing this service offering it had removed attributes of the Advantage Toll-Free Messaging option which are not of value to this market segment, and in so doing had managed a price reduction based on the lower cost of providing the scaled-down service. BC TEL filed an imputation test with TN 3576.
2. On 6 February 1997, Island Custom Message Center Ltd. filed comments supporting the filing but requesting that it be approved retroactive to 1 September 1995 in order to compensate companies located outside Wide Area Customer Owned Paging Service (WACOPS) serving areas.
3. BC TEL responded on 24 February 1997 stating that the WACOPS tariff was only available in locations where there was sufficient demand for that service. BC TEL submitted that it did not assume any responsibility for providing WACOPS to customers in all parts of the province and that it therefore does not accept any financial obligation or liability to those customers who, because of their location, were unable to subscribe to WACOPS. Finally, BC TEL noted that it is not possible to make TNAWA service rates available on a retroactive basis.
4. The Commission considers that BC TEL has provided a satisfactory response to the comments of Island Custom Message Center Ltd.
5. On 17 February 1997, the Canadian Wireless Telecommunications Association (CWTA) filed comments stating that the proposed service was not a new service but merely a repackaging of Stentor's Advantage Toll-Free Messaging. The CWTA further stated that the filing of yet another rating scheme and supporting cost study for toll-free messaging service raises serious concerns regarding the validity of this, and all previous tariffs and cost studies filed by the telephone companies in connection with this type of messaging service.
6. The CWTA requested that the Commission review the cost studies that were used to support the withdrawal of WACOPS, the introduction of Stentor's Advantage Toll-Free Messaging service and the proposed TNAWA service. In the interim, CWTA proposed that the Commission require BC TEL to adopt the WACOPS rates currently offered by TELUS Communications Inc. (TCI).
7. On 27 February 1997, BC TEL responded to CWTA's comments, stating that WACOPS, Advantage Toll-Free Messaging, and TNAWA are distinctive services. WACOPS had a flat rate pricing structure and bundled local access and toll-free calling capability; Advantage Toll-Free Messaging service and TNAWA provide only the toll-free calling component at usage sensitive rates. TNAWA is distinguished from Advantage Toll-Free Messaging by the absence of certain service attributes.
8. With respect to CWTA's request that BC TEL be directed to adopt TCI's WACOPS rates, BC TEL stated that the Commission had ruled in Telecom Order CRTC 96-1087, dated 2 October 1996, that the companies should not continue to offer WACOPS as a non-compensatory bundled service.
9. The Commission finds the cost studies filed with these services to be appropriate.
10. The Commission notes that in comparison with Advantage Toll-Free Messaging service, the proposed TNAWA service is intended to offer a lower cost service with fewer features.
11. The Commission finds that it is acceptable for BC TEL to offer the lower featured, lower priced service which passes the imputation test.
12. It is therefore ordered that TN 3576 be given final approval.
Laura M. Talbot-Allan
Secretary General
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