ARCHIVED - Telecom Commission Letter - 8740-A53-200603557

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Ottawa, 11 April 2006

File No.:  8740-A53-200603557

By E-mail

Mr. David Hennessey
Manager - Regulatory Matters
Aliant Telecom Inc.
Fort William Building
P.O. Box 2110
St. John's , Newfoundland
A1C 5H6

Dear Mr. Hennessey: 

Re: Aliant Telecom Tariff Notice 196

On 31 March 2006 , the Commission received an application from the company under cover of Tariff Notice 196 proposing revisions to the company's Megalink service, Digital Switched Service (DSS) and Digital Exchange Access (DEA) Service.   Tariff Notice 196 was submitted by the company as part of its 2006 Annual Price Cap filing.

The company is requested to provide responses to the attached questions, by 24 April 2006 .

Yours sincerely,

'Original signed by S. Bédard '

Suzanne Bédard
Senior Manager, Tariffs

cc:   Bob Martin - CRTC (819) 953-3361



  1. In the cost studies submitted in support of Tariff Notice 196, the company stated that it is proposing to restructure the Access charge component of its Megalink, DEA and DSS services.   The company indicated that currently the Megalink, DEA and DSS accesses are charged by references to the National Services Tariff item 301 which includes various elements including access, link and intra-exchange channel.   The company stated that, with Tariff Notice 196, the Access would be charged single explicit rates within each of the Megalink, DEA and DSS tariffs, and no longer through references to the National Services Tariff.  

    Commission staff notes that item 301 of the National Service Tariff includes provisions for rates related to non-contracted as well as 1, 2, 3, 4 and 5-year minimum contract periods (MCPs).  Commission staff further notes that Tariff Notice 196 includes provisions for rates related to monthly (non-contracted) as well as 1, 3 and 5-year MCPs.   

    Indicate what would happen to customer contracts with 2 or 4 year MCPs that will still be active, if any, past 1 June 2006.  Indicate how many contracts would be involved.  
  2. At paragraph 264 of Review of price floor safeguards for retail tariffed services and related issues , Telecom Decision CRTC 2005-27, 29 April 2005, the Commission modified the imputation test for term and volume rates to require that, in their cost studies, the large ILECs must demonstrate not only that the proposed service offering passes the imputation test at the service and rate band levels for the service, but also that the lowest per-unit rate (explicit or implicit) in a grid meets the imputation test.  

    Commission staff notes that, in Tariff Notice 196, the company has proposed specific rate grids for its Megalink, DEA and DSS services, and the rates vary based on term.   

    Provide an imputation tests for each of Megalink, DEA and DSS, to demonstrate that the lowest per-unit rates in the proposed grids meet the imputation test.
Date Modified: 2006-04-11
Date modified: