ARCHIVED -  Telecom Order CRTC 98-1102

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Telecom Order

Ottawa, 6 November 1998
Telecom Order CRTC 98-1102
On 10 July 1998, Bell Canada (Bell) filed an application for approval of tariff revisions to General Tariff Item 70.2(1), Additional Business Line Promotion, proposing an extension of the promotional campaign for the installation of additional business primary exchange services to 30 September 1998, for a total promotion period of almost eight months.
File No.: Tariff Notice 6252
1.On 24 July 1998, the Commission issued Telecom Order CRTC 98-731 granting interim approval to the application.
2.In its comments of 21 July 1998, Optel Communications Corporation (Optel) submitted that the application should be denied.
3.Optel argued that Bell was conferring an undue preference on its competitive service offerings while resold Centrex continues to be subject to service connection charges for the installation of additional lines.
4.Optel further submitted that at six months the promotional campaign stretches the usual meaning of the term "promotion". Optel submitted that an extension of the campaign beyond the original six months would make it more of a price war than a promotion, which Bell should be prevented from engaging in at this stage of local competition.
5.In its reply, Bell submitted that its promotion is intended to stimulate sales of additional business lines rather than Centrex service. In this regard, the company argued that it is not providing itself with any undue advantage since Optel, as well as any customer, can obtain additional business lines under the terms of the promotion. Bell further submitted that its own Centrex, as well as Centrex customers of Optel, are similarly situated in that this promotion is likely of little value to them.
6.Bell also noted that in Tariff Filings Relating to Promotions, Telecom Decision CRTC 96-7, 18 September 1996, the Commission stated that it will examine each promotion on a case-by-case basis.
7.The Commission considers that there is no undue preference associated with the promotional campaign as the service charge waiver is available to Optel under the same terms and conditions as Bell's other customers.
8.The Commission is satisfied that notwithstanding the extended duration of the service charge waiver promotion, it continues to be a legitimate promotion.
9.In light of the foregoing, the Commission orders that the application filed by Bell under Tariff Notice 6252 is granted final approval.
Secretary General
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