ARCHIVED - Telecom Commission Letter - 8662-A53-200314865
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LetterOttawa, 19 May 2005 File No. 8662-A53-200314865 By E-mail
Mr. Daniel M. Campbell Dear Mr. Campbell : RE: Aliant Telecom Inc. - Application Pursuant to Section 62 of the Telecommunications Act - Review and Vary Telecom Decision CRTC 2003-50 On 23 October 2003, the Commission received an application from Cox Hanson O'Reilly Matheson filed on behalf of Aliant Telecom Inc. pursuant to Section 62 of the Telecommunications Act and Part VII of the CRTC Telecommunications Rules of Procedure requesting that the Commission review and vary its decision in Telecom Decision CRTC 2003-50, Centrex Service , 24 July 2003 (Decision 2003-50). On 15 January 2004 , Commission received a letter from Cox Hanson O'Reilly Matheson inquiring about the status of the application and requesting that the Commission proceed with it. Commission staff considers that the issues raised in the application have been addressed in Telecom Decision CRTC 2005-27, Review of price floor safeguards for retail tariffed services and related issues, 29 April 2005 (Decision 2005-27). In Decision 2005-27, the Commission reaffirmed that its policy to preclude further rate de-averaging within a rate band provides a valuable additional safeguard to protect against targeted price reductions. The Commission noted that, should an incumbent local exchange carrier (ILEC) wish to respond to existing or anticipated competition within a rate band, it is permitted, under existing pricing rules, to reduce rates, provided that the rate reduction applies throughout the rate band and the imputation test is satisfied. By contrast, existing rules do not permit an ILEC to target small geographic areas within a rate band, for this practice could deter entry into the local market, where the ILECs continue to be the dominant service provider. Furthermore, the Commission noted that, based on the applications that have been filed to date, it has consistently ruled that rates of Uncapped services being further de-averaged within a rate band is not appropriate. In light of the above, this file is now closed. Yours sincerely, 'Original signed by S. Hutton '
Scott Hutton
cc: Ron Carrara, CRTC (819) 997-1334 |
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