ARCHIVED - Telecom Order CRTC 97-289
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Ottawa, 4 March 1997
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Telecom Order CRTC 97-289
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IN THE MATTER OF an application filed by Bell Canada (Bell) under tariff Notice 5878 (TN 5878) dated 22 November 1996, for approval of tariff revisions to its General Tariff providing for $2.00 per month rate increases to all residence primary exchange services while temporarily exempting business primary exchange and residence trunk line service rates from the $2.00 per month increase.
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WHEREAS, on 18 December 1996, the Commission issued Telecom Order CRTC 96-1477 (Order 96-1477) approving the proposed tariff revisions on an interim basis;
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WHEREAS, by letter dated 20 December 1996, AT&T Canada Long Distance Services Company (AT&T Canada) submitted that the Commission should revoke its interim approval of TN 5878 as it pertains to the exemption of business rates and residential trunk groups since Bell's rationale for these exemptions is faulty;
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WHEREAS, in TN 5878, Bell had proposed not to apply the $2.00 per month increase to any of the rates for business service and residential trunk groups because the Commission is currently assessing Bell's application filed under Tariff Notice 5665 - TelecomLink (TN 5665), to restructure business primary exchange and residence trunk line service rates;
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WHEREAS AT&T Canada submitted that, to the extent that certain of Bell's rates are currently non-compensatory and should be subject to rebalancing, a delay based on the outcome of TN 5665 is inappropriate and is contrary to the Commission's intent in Implementation of Regulatory Framework - Splitting of the Rate Base and Related Issues, Telecom Decision CRTC 95-21, 31 October 1995 (Decision 95-21);
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WHEREAS, by reply letter dated 30 December 1996, Bell stated that since business customers whose rates are below the costs to provide the service experienced increases of as much as $6.00 on 1 July 1996 and may experience a further increase on 1 July 1997, the proposed exemptions are consistent with Decision 95-21 wherein the Commission stated that "the goal of economic efficiency must be tempered by consideration of the potential impact on subscribers"; and
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WHEREAS, the Commission considers that the proposed exemptions to non-compensatory business rates and residential trunk group rates are inconsistent with the rate rebalancing requirements of Decision 95-21 to move rates closer to costs -
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IT IS HEREBY ORDERED THAT:
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1. The proposed tariff revisions given interim approval in Order 96-1477 are given final approval with the following change:
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Non-compensatory business primary exchange and residence trunk line service rates are to reflect a $2.00 per month increase.
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2. Bell is to issue tariff pages forthwith to reflect the above.
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Allan J. Darling
Secretary General |
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- Date modified: