ARCHIVED -  Telecom Order CRTC 96-1313

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Telecom Order

Ottawa, 20 November 1996
Telecom Order CRTC 96-1313
IN THE MATTER OF an application by Northwestel Inc. (Northwestel) under Tariff Notice 587 dated 29 August 1996, for approval of tariff revisions to Northwestel's 800 Service (Canada & U.S.) and 800 Entry-Canada.
WHEREAS Northwestel proposed to restructure Toll-free service and provide overall reductions to the service rates;
WHEREAS Northwestel was of the opinion that the enhancements will provide more flexibility, will facilitate entry to the service, and will be more affordable to the majority of customers;
WHEREAS the Government of Yukon stated that the restructured service will increase the costs to the Government of Yukon by approximately 13%, with no appreciable benefit or value;
WHEREAS the Government of Yukon submitted that the Commission compare the proposed service rates against other western Canadian telephone companies and limit Northwestel to a rate that is within a specified percentage margin;
WHEREAS Northwestel stated that the objective of the proposed tariff is to provide a more affordable and flexible service to meet the demands of the majority of its business customers and that its priority was affordability for small to medium size business customers;
WHEREAS Northwestel submitted that the proposed tariff will reduce the monthly charges for the average customer;
WHEREAS the Commission notes that Northwestel filed an economic study which evaluated the introduction of the proposed Toll-free service rate structure;
WHEREAS by letter dated 18 September 1996, the Commission requested further information from Northwestel;
WHEREAS the Commission notes that the economic study embodies costs associated with facilities provided by TELUS Communications Inc. under the terms of an agreement yet to be filed with the Commission;
WHEREAS the Commission is of the view that the restructured service does provide additional benefits to Northwestel's Toll-free customers;
WHEREAS the Commission notes that Northwestel indicated that the company would not be proposing to increase local rates as a consequence of the revenue requirement impact of the proposed Toll-free service restructure; and
WHEREAS in light of all the information received -
IT IS HEREBY ORDERED THAT:
The proposed tariff revisions submitted by Northwestel under Tariff Notice 587 are granted interim approval effective 6 January 1997.
Allan J. Darling
Secretary General

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