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Ottawa, 12 May 1998
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Telecom Order CRTC 98-465
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On 31 March 1998, The Island Telephone Company Limited (Island Tel) filed an application further to Price Cap Regulation and Related Issues, Telecom Decision CRTC 97-9, 1 May 1997 (Decision 97-9).
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File No.: Tariff Notice 481
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1. Island Tel filed its Price Cap Index (PCI) and respective Service Band Limits (SBLs) as at 1 January 1998 incorporating an adjustment to the PCI and Basic Residential Local Service sub-basket SBL to reflect the amount of the residual shortfall not recovered through rates. The Commission considers that this is in compliance with Implementation of Price Cap Regulation and Related Issues, Telecom Decision CRTC 98-2, 5 March 1998.
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2. Pursuant to Decision 97-9, Island Tel updated its PCI and respective SBLs to incorporate the Gross Domestic Product-Price Index and the productivity offset of 4.5% stipulated in Decision 97-9.
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3. Island Tel proposed to reduce the local service rates for Single Line, Four Party and Multi-Line Business Network Exchange Service.
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4. The company filed the calculation of its Actual Price Index and the Service Band Indices demonstrating that, under its proposed rates, it will not exceed the 1 May 1998 PCI and SBLs.
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5. The Commission is satisfied that, on the basis of the imputation test information required by Local Competition, Telecom Decision CRTC 97-8, 1 May 1997, the proposed rates will not be anti-competitive.
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6. In light of the foregoing, the Commission approves the proposed tariff revisions effective 19 May 1998.
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Laura M. Talbot-Allan
Secretary General
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This document is available in alternative format upon request.
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