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ARCHIVED - Order CRTC 2001-379

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Order CRTC 2001-379

 

Ottawa, 14 May 2001
 

2001 Price cap filing - Service rate increases for Manitoba

 

Reference: MTS TN 455
 

The Commission approves in part, by majority vote, MTS Communications Inc.'s application for rate increases to residential primary exchange service, service charges, directory assistance, directory listings, interexchange voice grade facilities, local channel charges, exchange measurement, Teleroute 200 and bridge connections for loops and facilities equipment.

1.

MTS proposed increases to the rates for the following capped services:
 

a) residence primary exchange service in all bands, except Band EA;

 

b) line connection service;
 

c) non-published numbers;
 

d) local directory assistance and long distance directory assistance;
 

e) local channels; and
 

f) channels for interexchange voice grade facilities.

2.

MTS also proposed increases to the following uncapped services:
 

a) interexchange voice grade facilities;

 

b) exchange measurement service;
 

c) Teleroute 200 service; and
 

d) loops and facilities equipment - bridging arrangements.

3.

MTS filed its price cap index and sub-basket indices in conjunction with its tariff application.

4.

In Price cap regulation and related issues, Telecom Decision CRTC 97-9, dated 1 May 1997, the Commission stated that no individual rate element in the basic residential local service sub-basket or for single-line business local customers is to increase by more that 10% in any year. This constraint does not apply for primary exchange services within the bands for which local loops are considered non-essential as determined in Local competition, Telecom Decision CRTC 97-8, dated 1 May 1997.

5.

In Decision 97-8, the Commission determined that, in Manitoba, local loops in Bands A and B are not essential. The Commission notes that, in bands where loops are essential, none of the residential primary exchange service rate increases proposed by MTS violate the 10% constraint.

6.

The proposed rates for the line connection component of service charges would apply across all bands, including bands where loops are considered essential. The Commission considers that, contrary to Decision 97-9, MTS' proposal would result in an increase greater than 10% to a single rate element applicable to residence customers and single-line business customers in bands where loops are essential.

7.

The Commission received comments opposing the proposed rate increases.

8.

The Commission finds that, except for the proposed increases to the line component of the service charges, all rates proposed by the company to capped services are within the price constraints established by the price cap regime.

9.

MTS filed its annual price cap filing on 17 April 2001.

10.

In light of the foregoing, the Commission approves, by majority vote, the proposed tariff revisions except for the proposed rate increase to the line connection component of service charges applicable to both residence and business customers.

11.

The revisions take effect on 14 May 2001.
 

Secretary General
 

This document is available in alternative format upon request and may also be examined at the following Internet site: www.crtc.gc.ca 

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