ARCHIVED -  Telecom Order CRTC 99-1232

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Telecom Order CRTC 99-1232


Ottawa, 23 December 1999


On 11 September 1998, Bell Canada (Bell) filed an application for approval of an interconnection agreement between Bell and Northwestel Inc. (Northwestel). On 11 May 1999, Bell filed an application for approval of revisions to Schedule A, Message Toll Services, of the proposed agreement.


File No.: 8340-B2-0010/00


1. The Commission notes that the proposed interconnection agreement would cancel and supersede the interconnection agreement between Bell and Northwestel dated 1 January 1992, as amended.


2. The current agreement is based on a revenue sharing formula. Under the proposed agreement, terminating rates for Message Toll Service traffic are based on each company's Carrier Access Tariff (CAT) rates and transport charges. In the absence of CRTC approved CAT rates for Northwestel, proxy rates would apply.


3. The Commission notes that it has initiated a proceeding (Northwestel proceeding), Northwestel Inc. – Implementation of toll competition and review of regulatory framework, quality of service and related matters, Telecom Public Notice CRTC 99-21, dated 1 October 1999, that will, among other things, assess the level of contribution required for Northwestel to achieve the basic service objective, address the terms and conditions that may permit long distance competition in Northwestel's operating territory, and determine whether any supplementary funding is required. The Commission is of the view that it would be appropriate for Bell and Northwestel to base their settlement payments on the current interconnection agreement until these issues are addressed.


4. In light of the above, the Commission denies the application and directs Bell and Northwestel to continue to base their settlement payments on the current interconnection agreement until the decision in the Northwestel proceeding becomes effective.


Secretary General


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