ARCHIVED -  Telecom Order CRTC 98-599

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Telecom Order

Ottawa, 19 June 1998
Telecom Order CRTC 98-599
On 5 February 1998, Stentor Resource Centre Inc. (Stentor), on behalf of and with the concurrence of Bell Canada, The New Brunswick Telephone Company, Limited, Maritime Tel & Tel Limited, The Island Telephone Company Limited and NewTel Communications Inc., submitted an application providing for the terms and conditions and rates for an arrangement which provides for Centrex Service, Digital Network Access Service, toll-free and outbound calling capability with service features that meet the specific requirements of a single large customer application.
File No.: Tariff Notice 645
1. MetroNet Communications Group Inc. (MetroNet) and Call-Net Enterprises Inc. (Call-Net) filed comments opposing Stentor's application.
2. Call-Net and MetroNet opposed the application on the grounds that, among other things, the proposed tariff provides for customer-specific pricing for Centrex service and bundles local exchange and toll services.
3. MetroNet requested that the Commission indicate that customer-specific arrangements for uncapped local services involving elements available from the General Tariff will not be permitted until after the widespread implementation of Local Number Portability.
4. MetroNet submitted that the proposed tariff pages should specify the rates, terms and conditions of forborne elements of the bundled service package.
5. Stentor replied that the economic study which was filed with the Commission included all the costs and revenues associated with the unregulated service elements and so enables the Commission to make a fully informed decision regarding approval of the bundled service as a whole.
6. The Commission notes that in Forbearance - Regulation of Toll Services Provided by Incumbent Telephone Companies, Telecom Decision CRTC 97-19, 18 December 1997 (Decision 97-19), the Commission concluded that where a forborne service is included in a new bundled service, the rates for the bundled service are to be filed for approval by the Commission.
7. The Commission finds Stentor's proposed wording "volumes of unregulated services" to be ambiguous and does not fulfil the requirements of Decision 97-19. Moreover, the Commission considers that the absence of a statement of the volumes involved and of what particular services, renders an examination of the cost and revenue support ineffectual.
8. With respect to customer-specific bundled services, the Commission notes that in Joint Marketing and Bundling, Telecom Decision CRTC 98-4, 24 March 1998, it initiated a proceeding to examine whether the framework established in Review of Regulatory Framework, Telecom Decision CRTC 94-19, 16 September 1994 should be extended to tariffed services bundled with forborne services and tariffed services which are the subject of Telecom Public Notice CRTC 97-21.
9. Given that Tariff Notice 645 proposes to bundle tariffed services with forborne services on a customer-specific basis, the Commission is of the view that it would be inappropriate to proceed with the application at this time and is therefore not addressing all of the concerns expressed by the parties.
10. In light of the foregoing, the Commission denies Tariff Notice 645.
Laura M. Talbot-Allan
Secretary General
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