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ARCHIVED - Order CRTC 2001-739

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Order CRTC 2001-739

Ottawa, 25 September 2001

CRTC denies MTS application to increase residence and business service charges

Reference: Tariff notice 460

1.

On 27 June 2001, MTS Communications Inc. filed an application with the Commission to increase the line connection charge (tariff item 510 of its General Tariff) for residence customers from $12 to $13.20 and for business customers from $15 to $16.50. The company also proposed to continue to apply the existing $15 line connection charge to certain types of customers in recognition of economies of scale.

2.

MTS proposed to exempt the following business services from the proposed line connection rate increase:

· Centrex 5 and Centrex Plus services in rate bands A and B with a line size over 4,000;

· province-wide Centrex aggregation with a line size over 10,000;

· National Centrex service with an MTS line size over 5,000;

· National Centrex service with a line size over 90,000; and

· all initial software changes for Centrex.

3.

The Commission notes that MTS did not provide any cost justification to support rate-increase exemptions for Centrex customers with a specified minimum line size. In addition, the Commission finds that it would not be appropriate to apply a line connection charge for initial software changes for Centrex, as such changes are not driven by the number of line connections.

Secretary General

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Date Modified: 2001-09-25

Date modified: