ARCHIVED - Telecom Commission Letter - 8640-T66-200612714

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Ottawa, 26 October 2006


Our File No.: 8640-T66-200612714

To: Distribution List

Re:   TELUS Communications Company - Application seeking forbearance of TELUS' High-Speed digital services

On 10 October 2006, the Commission received an application filed pursuant to Part VII of the CRTC Telecommunications Rules of Procedure , from TELUS Communication Company (TCC), requesting that the Commission make a determination, pursuant to section 34 of the Telecommunications Act (the Act), to refrain wholly and unconditionally from exercising its powers and performing its duties under sections 24, 25, 27, 29 and 31 of the Act with respect to TCC's high-speed digital services.

In its submissions, TCC requested that the Commission apply any forbearance framework and criteria established as a result of the proceeding initiated by Telecom Public Notice CRTC 2005-8 based on the evidence supplied in its application and on the record of Public Notice 2005-8.   TCC submitted that any favourable disposition of Bell Canada 's forbearance application should be extended simultaneously to TCC. Alternatively, TCC requested that the Commission withhold its determinations relative to Bell Canada 's application pending a supplemental process to gather data from competitors operating in TCC's territory and other regions outside of Bell Canada 's territory.

The Commission received comments from Bell Canada and Télébec, société en commandite (the Companies), dated 18 October 2006 , with respect to TCC's application.   The Companies indicated that they concurred with TCC that the Commission should apply the forbearance framework resulting from the proceeding initiated by Public Notice 2005-8 to assess the merits of TCC's application. However, the Companies were strongly opposed to the Commission expanding the scope of the current proceeding to examine TCC's forbearance or to TCC's alternative suggestion that the Commission withhold its determination with respect to Bell Canada 's application.  

The Companies argued that expanding the scope of the current proceeding would introduce additional delays to this proceeding, unnecessarily increase the regulatory burden on all parties and prevent high-speed intra-exchange digital services (HSDS) customers from benefiting from the new forbearance framework.

Commission staff notes that Bell Canada filed its original HSDS forbearance application on 23 February 2004 . Commission staff further notes that on 30 June 2005, in light of the policy issues raised by Bell Canada's application that are common to all large incumbent local exchange carriers, the Commission initiated Public Notice 2005-8 in which it clearly indicated its intent to establish a forbearance framework for HSDS and to dispose of Bell Canada's forbearance application.

Commission staff is of the view that expanding, at this late stage, the Public Notice 2005-8 process to include TCC 's application as part of that process would unnecessarily delay the Commission's decision in that proceeding and also increase the regulatory burdens on all parties participating in that proceeding. Commission staff is further concerned that to adopt TCC's alternative suggestion of suspending the Commission's decision on Bell Canada's application until TCC's application can be disposed of by the Commission would unfairly penalise Bell Canada whose application has been pending since 23 February 2004.  

In light of the above, Commission staff is of the view that it is appropriate to complete the current process as initiated in Public Notice 2005-8. Accordingly, TCC's Part VII application is being suspended until the Commission has rendered a determination in the proceeding initiated by Public Notice 2005-8. At that time, an appropriate process will be established to dispose of TCC's forbearance application.


'Original signed by L. Katz'

Len Katz

Distribution List : ; stinsond@comnet.calefebvre@rogers.comkirsten.embree@fmc-law.comdmckeown@viewcom.careglementation@xittelecom ; ; telecom-sales ; ; ; ; ; ; ; ; ; ; ; ; ; roy.wiseman@peelr ; ; ; ; ; ; ; ; ; ; ; ; ; ; ;

Date Modified: 2006-10-26
Date modified: