ARCHIVED - Telecom Order CRTC 2004-371

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Telecom Order CRTC 2004-371

  Ottawa, 1 November 2004
 

Bell Canada

  Reference: Tariff Notice 6829
 

Calling Features

1.

The Commission received an application by Bell Canada, dated 16 August 2004, to revise General Tariff item 2165, Calling Features, in order to remove the $8.00 maximum charge associated with the use of Last call return, Busy call return and Three-way calling on a pay-per-activation basis.

2.

Bell Canada submitted that no rate would change as a result of its proposal.

3.

The Commission received no comments with respect to the application.
 

Commission's analysis and determination

4.

In Regulatory framework for second price cap period, Telecom Decision CRTC 2002-34, 30 May 2002, the Commission assigned residential services to two service baskets: the Residential Local Services in high costs serving areas (HCSAs) basket and the Residential Local Services in non-HCSAs basket. Each basket was subdivided into two sub-baskets: the Residential Local Exchange Services sub-basket and the Residential Optional Local Services sub-basket. The Commission notes that Calling Features for residential customers were assigned to the Residential Optional Local Services in HCSAs and non-HCSAs sub-baskets.

5.

The pricing constraints which apply to services in the Residential Optional Local Services in non-HCSAs sub-basket include:
 
  • a basket constraint, operating through the service basket limit (SBL) for the Residential Local Services in non-HCSAs basket, which must be updated annually by the rate of inflation less the productivity off-set; and
 
  • a rate element constraint limiting increases to the monthly rate for a feature to $1.00 per year.

6.

The Commission notes that the only pricing constraint that applies to services in the Residential Optional Local Services in HCSAs sub-basket is a rate element constraint limiting increases to the monthly rate for a feature to $1.00 per year.

7.

The Commission notes that Bell Canada's proposal to remove the $8.00 maximum charge per month for Last call return, Busy call return, and Three-way calling when used on a pay-per-activation basis would result in a rate increase for those customers who currently use these services in such a way that they are billed the maximum charge. The Commission is concerned that, for some of these customers, the removal of the maximum charge for these services would cause the effective rate for these services to increase, possibly by more than $1.00 per month. The Commission is also concerned that Bell Canada's proposal, which would result in a rate increase for some customers, might cause the service basket index (SBI) to exceed the SBL for the Residential Local Services in non-HCSAs basket. The Commission considers that Bell Canada has failed to provide sufficient information to confirm that its proposal would not result in the SBI exceeding the SBL.

8.

Accordingly, the Commission denies Bell Canada's proposal to remove the $8.00 maximum charge associated with the use of Last call return, Busy call return and Three-way calling on a pay-per-activation basis.
  Secretary General
  This document is available in alternative format upon request and may also be examined at the following Internet site: http://www.crtc.gc.ca

Date Modified: 2004-11-01

Date modified: