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ARCHIVED - Telecom - Commission Letter - 8000-C12-24/02 - 2003 Inflation Rate (GDP-PI) - Decision 2001-756

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Letter

Ottawa, 11 March 2004

File: 8000-C12-24/02

By e-mail

To: Attached Distribution List

Subject: 2003 Inflation Rate (GDP-PI) - Decision 2001-756

As directed in Regulatory framework for the small incumbent telephone companies, Telecom Decision CRTC 2001-756, 14 December 2001, the small incumbent local exchange carriers (ILECs) may increase rates for residence and business primary exchange service annually by no more than inflation in the absence of any exogenous factors.

In the above noted decision, it was also determined that the measure of inflation to be used by the small ILECs is the Gross Domestic Product Implicit Chain Price Index (GDP-PI) published by Statistics Canada.

For 2003, the average annual inflation rate over the year, as measured by the quarterly GDP-PI, is 3.4%. The small ILECs are to use this rate as the inflation component in their annual proposed rate changes which are to be filed with the Commission by 1 April 2004.

Yours sincerely,

'Original signed by S. Bédard

Suzanne Bédard
Senior Manager, Tariffs
Telecommunications

cc: Claude Rousseau, CRTC, (819) 953-7112
Cliff Abbott, CRTC, (819) 997-4509

Date modified: 2004-03-11

Date modified: