Telecom Decision CRTC 2002-24

Ottawa, 19 April 2002

Regulatory regime for the provision of international private line services

Reference: 8640-A53-01/01

Summary

With this decision, the Commission refrains from regulating international private line services provided by any Canadian carrier.

Background

1. In The Commission refrains from regulating Teleglobe's remaining tariffed services, Order CRTC 2001-689, 31 August 2001 (Order 2001-689), the Commission forbore from regulation of international private line (IPL) services provided by Teleglobe Inc. (Teleglobe). In The Commission refrains from regulating international private line services provided by Bell Canada, Aliant Telecom Inc., MTS Communications Inc. and Saskatchewan Telecommunications, Telecom Decision CRTC 2002-4, 24 January 2002 (Decision 2002-4), the Commission forbore from regulation of IPL services provided by Bell Canada, Aliant Telecom Inc. (Aliant Telecom), MTS Communications Inc. (MTS) and Saskatchewan Telecommunications (SaskTel).

2. The Commission also stated in Decision 2002-4 that the international licensing conditions continue to apply.

3. In the proceeding that led to Decision 2002-4, TELUS Communications Inc. (TCI) submitted that if the Commission grants the application by Bell Canada, Aliant Telecom, MTS and SaskTel, the same degree of forbearance should be extended to IPL services provided by any other Canadian carrier.

4. In paragraph 21 of Decision 2002-4, the Commission expressed the preliminary view that it would be appropriate to forbear from the regulation of IPL services provided by any other Canadian carrier. Interested parties had the opportunity until 8 February 2002 to file comments on the Commission's preliminary view.

Positions of parties

5. In its comment dated 6 February 2002, TCI submitted that the forbearance criteria prescribed in Review of regulatory framework, Telecom Decision CRTC 94-19, 16 September 1994, are met throughout Canada with respect to IPL services and that forbearance would be appropriate with respect to existing and future IPL services provided by any Canadian carrier.

6. No comments were received from any other party.

Commission determinations

Forbearance

7. The Commission considers that no Canadian carrier has market power in the IPL market, because of possible supply from Teleglobe, from other Canadian carriers and from foreign carriers, which, consistent with Regulatory regime for the provision of international telecommunications services, Telecom Decision CRTC 98-17, 1 October 1998 (Decision 98-17), may offer international telecommunications services originating or terminating in Canada, including IPL services. Accordingly, and consistent with its findings in Decision 2002-4 and Order 2001-689, the Commission finds that the market for IPL services is competitive.

8. Accordingly, the Commission extends the same scope of forbearance to international private line services provided by any Canadian carrier as it granted to Bell Canada, Aliant Telecom, MTS and SaskTel in Decision 2002-4, and to Teleglobe in Order 2001-689.

9. These IPL services will continue to be subject to the international licensing conditions established in Decision 98-17 and subsequently amended.

Scope of forbearance

10. The Commission will retain sufficient powers under section 24 of the Telecommunications Act (the Act) to ensure that the confidentiality of customer information is protected, including ensuring that the existing conditions regarding disclosure of confidential customer information to third parties continue to apply; and to be able to impose conditions, related to confidentiality or not, as may be needed in the future.

11. The Commission will also retain part of its powers under section 27(3) of the Act to ensure compliance with powers and duties not forborne from in this decision.

12. Pursuant to section 34(1) of the Act, the Commission finds, as a question of fact, that to refrain from exercising its powers and duties under sections 24 (in part), 25 and 31, and sections 27(1), 27(2), 27(3) (in part), 27(4), 27(5) and 27(6) of the Act to the extent set out in this decision with respect to IPL services provided by Canadian carriers, would be consistent with the Canadian telecommunications policy objectives.

13. Pursuant to section 34(2) of the Act, the Commission finds as a question of fact that the provision of these services is sufficiently competitive to protect the interests of users.

14. Pursuant to section 34(3) of the Act, the Commission finds that to refrain from exercising the powers and performing the duties to the extent set out in this decision would not likely impair the continuance of a competitive market for these services.

15. The Commission therefore orders that:

  1. pursuant to section 34(4) of the Act, effective immediately, sections 24 (in part), 25 and 31, as well as sections 27(1), 27(2), 27(3) (in part), 27(4), 27(5) and 27(6) of the Act do not apply, to the extent that they are inconsistent with the determinations in this decision regarding IPL services provided by Canadian carriers;
  2. on a going forward basis, Canadian carriers incorporate, where appropriate, the existing conditions regarding disclosure of confidential customer information to third parties into all agreements or other arrangements with customers for the services forborne in this decision; and
  3. carriers withdraw the relevant tariff pages forthwith.

Secretary General

This decision is to be appended to the licence. It 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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