ARCHIVED - Letter

Ottawa, 13 April 2011

Our Files:  8661-C12-201102350 – Telecom Notice of Consultation CRTC 2011-77 (“TNC 2011-77”) and associated tariff notice applications (see Attachment)

8638-C12-201014620 - Follow-up to Regulatory Policy CRTC 2010-632 - Wholesale high-speed access services proceeding (cost studies - Cable Carriers) (“POI Aggregation”)

8638-C12-201016882 - Follow-up to Regulatory Policy CRTC 2010-632 - Wholesale high-speed access services proceeding (cost studies - ILECs) (“Speed Matching”)

BY E-MAIL

To Distribution List

Re: Follow up to Telecom Regulatory Policy CRTC 2010-632 (TRP 2010-632), Wholesale high-speed access services proceeding and TNC 2011-77 proceeding – Process issues

The Commission has received letters from TCC dated 6 April 2011 and 8 April 2011, Canadian Network Operators Consortium Inc. (CNOC) dated 7 April 2011 and 11 April 2011, Shaw Communications Inc. and Bell Aliant, Regional Communications, Limited Partnership and Bell Canada dated 11 April 2011 and Vaxination Informatique and Cogeco Cable Inc., Quebecor Media Inc., on behalf of its affiliate Videotron G.P., and Rogers Communications Partnership dated 12 April 2011. This letter deals with the procedural matters raised in these letters as identified below:

1. Clarify which tariff proposals are part of TNC 2011-77 proceeding
2. Request to modify some existing tariff applications
3. Establish remaining process for interrogatories sent on 5 and 6 April 2011
4. Establish remaining process for reviewing proposed tariffs and cost studies for the wholesale business high-speed access services
5. Clarify process for comments associated with TNC 2011-77 proceeding
6. TCC’s request for a Commission determination regarding TCC’s proposed tariff filed in Tariff Notice 391 (TN 391)
7. Interim rates for Speed Matching and POI Aggregation services
8. Request to have TNs 349/7293 withdrawn

1. Clarify which tariff proposals are part of TNC 2011-77 proceeding

Commission staff notes that TNC 2011-77 is a review of the billing practices for wholesale residential high-speed access services only and that Telecom Notice of Consultation 2011-77 -2 (TNC 2011-77-2) dated 8 April 2011 clearly stated that it added only the residential component of the wholesale high-speed access services tariffs (including all of the cable carriers’ wholesale TPIA services) to the TNC 2011-77 proceeding. The business component will be reviewed in a separate process as identified later in this letter.

2. Modification of existing tariff applications

Commission staff notes that Bell Aliant’s TN 345B and TN 392, Bell Canada’s TN 7290B, and TCC’s TN 391A and TN 553A include proposed rates for both business and residence.

In light of the clarification in #1 above, Bell Aliant, Bell Canada and TCC are requested to modify TNs 345B, 392, 7290B, 391A and 553A such that new tariff applications are filed separately for each of business and residence by 21 April 2011.

Commission staff considers that the new tariff applications are to have the same proposed costs and rates as those included in TNs 345B, 392, 7290B, 391A and 553A. Further, Commission staff notes that the new residential tariff applications will form part of the TNC 2011-77 proceeding (file 8661-C12-201102350), while the new business tariff applications will remain part of the Speed Matching proceeding (file 8638-C12-201016882).

3. Remaining process for interrogatories of 5/6 April 2011

Commission staff notes that it is crucial that responses to the interrogatories posed by the Commission to ILECs and cable carriers on 5 April 2011 and 6 April 2011 are received as early as possible to permit Commission staff to conduct its assessment of the proposed cost studies in a timely manner. Accordingly, the process associated with the responses to these additional interrogatories is set out as follows:

The ILECs and cable carriers are to provide written responses to the interrogatories by 20 April 2011.

Requests by parties for public disclosure of information that has been designated confidential, setting out in each case the reasons for disclosure, must be filed with the Commission and served on the respective ILECs and cable carriers by 31 May 2011 using the Microsoft Excel templates provided in the Commission’s letter dated 12 January 2011.

Written responses to requests for public disclosure must be filed with the Commission and served on the party or parties making the request by 7 June 2011 using the Microsoft Excel templates provided in Commission’s letter dated 12 January 2011.

Determinations will be issued regarding requests for public disclosure as soon as possible. Any information to be provided pursuant to such determinations must be filed with the Commission and served on all parties by 21 June 2011.

Commission staff notes that the responses to the additional interrogatories posed by the Commission to ILECs on 5 and 6 April 2011 will be put on the record of both the TNC 2011-77 proceeding (file 8661-C12-201102350 ) and the Speed Matching proceeding (file 8638-C12-201016882). The responses to the additional interrogatories posed by the Commission to cable carriers on 5 April 2011 will be put on the record of the TNC 2011-77 proceeding.

Commission staff notes that final comments associated with proposed costs and rates for wholesale residential high-speed access services will now be filed as part of the TNC 2011-77 proceeding, where final comments are due 29 July 2011.

4. Remaining process for wholesale business high-speed access services

The remaining process for reviewing the proposed tariffs and cost studies for the wholesale business high-speed access services is as follows:

All parties may file written comments with the Commission on any matter within the scope of the Speed Matching proceeding pertaining to wholesale business high-speed access services, serving copies on all other parties, by 29 July 2011.

Commission staff notes that the file pertaining to business high-speed access services will remain as file 8638-C12-201016882.

5. Process for comments associated with TNC 2011-77 proceeding

In TNC 2011-77-2, the Commission stated that parties may file reply comments on interventions by 29 April 2011. These comments are in reply to the interventions filed by parties on 28 March 2011. Commission staff would like to clarify that these reply comments are intended to provide parties with the opportunity to provide their initial reactions to the proposals and policy positions taken by other parties in the 28 March interventions, including whether parties agree with the general approach and/or whether there are any major concerns with the proposals. It should be noted that parties will also have opportunities to express their views at the oral hearing on any issue within the scope of the TNC 2011-77 proceeding.

Commission staff would also point out that the final arguments due on 29 July 2011 in the TNC 2011-77 proceeding will allow parties to respond to the entire record of the proceeding. This includes both the policy side of billing practices for wholesale residential high-speed access services as well as any issues related to the costing and rating aspects of the tariff applications that have been added to the record. It will also provide the opportunity to reply to the detailed evidence provided in response to the interrogatories, as well as the submissions made at the oral hearing.

Commission staff notes that the 15 page limit for final arguments will apply only to the policy aspects of the proceeding and there will be no page limit with respect to the comments on proposed costs and rates for wholesale residential high-speed access services.

6. TCC’s request for a Commission determination re TN 391

TCC requested that the Commission make a determination forthwith regarding its proposed tariff filed as part of TN 391, which TCC claims is not part of the follow-up process relating to speed-matching arising from TRP 2010-632.

CNOC opposed TCC’s request indicating that the Commission should address the broad policy issue of value of service pricing for high-speed wholesale services in the context of the TRP 2010-632 follow-up proceeding before disposing of TN 391. By letter dated 11 April 2011, CNOC asked the Commission to include TN 391 explicitly in the TNC 2011-77 proceeding.

Commission staff notes that in TN 391 dated 15 July 2010, TCC proposed changes to its wholesale legacy speeds services, including the elimination of its existing legacy speeds. Subsequently, in TN 391A dated 10 Dec 2010, TCC proposed revisions to its TN 391 proposal regarding legacy speeds services as well as adding new higher wholesale speed services. Commission staff further notes that TN 391A also included the elimination of its existing legacy speeds.

Commission staff notes that the residential part of wholesale high-speed access services is being dealt with in the TNC 2011-77 proceeding which examines the proposed costs and rates of all proposed residential speeds. Accordingly, the new tariff applications (as per issue #2 above) related to residential services, for all speeds, will be dealt with in the TNC 2011-77 proceeding, and those related to business, will be addressed in the Speed Matching proceeding pertaining to wholesale business high-speed access services which examines the proposed costs and rates of all proposed business speeds.

7.  Interim rates for Speed Matching and POI Aggregation services

It is noted that the Commission intends to shortly address the issue of implementing interim rates for Speed Matching and POI Aggregation services.

8. Request to have TNs 349/7293 withdrawn

By letter dated 11 April 2011, CNOC requested that the Commission return Bell Aliant’s TN 349 and Bell Canada’s TN 7293 and also close its files related to the TN 349 and TN 7293 proceedings.

Commission staff notes that these TNs contain outstanding issues (e.g. rates for grandfathered customers, speed upgrades for existing 5 Mbps speed in Ontario) some of which are unrelated to the issues in the TNC 2011-77 proceeding that need to be resolved and, accordingly, finds that it would be inappropriate to close these two files.

Yours sincerely,

Original signed by:

Lynne Fancy
Director General, Competition, Costing and Tariffs
Telecommunications

cc: Yvan Davidson, yvan.davidson@crtc.gc.ca; Richard Pagé, richard.page@crtc.gc.ca ; Tom Vilmansen, tom.vilmansen@crtc.gc.ca; Mohammed Omar, mohammed.omar@crtc.gc.ca

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Attachment

Tariff notice applications associated with TNC 2011-77 proceeding:

8740-B2-201018317 - Bell Canada Tariff Notice 7293 (“TN 7293”)

8740-B54-201018300 - Bell Aliant Regional Communications, Limited Partnership (Bell Aliant) Tariff Notice 349 (“TN 349”)

8740-B2-201017426 - Bell Canada Tariff Notice 7290B (“TN 7290B”)

8740-B54-201017401 - Bell Aliant Tariff Notice 345B (“TN 345B”)

8740-A53-201017864 - Bell Aliant Tariff Notice 392 (“TN 392”)

8740-M59-201017921 – MTS Allstream Tariff Notice 699

8740-S22-201018474 - Saskatchewan Telecommunication Tariff Notice 246

8740-T66-201011410 - TELUS Communications Company (TCC) Tariff Notice 391A (“TN 391A”)

8740-T69-201017848 - TCC Tariff Notice 553A (“TN 553A”)

8740-R28-201018060 – Rogers Communications Tariff Notice 18

8740-C6-201018052 – Cogeco Cable Inc. Tariff Notice 34

8740-S9-201017955 – Shaw Communications Inc. Tariff Notice 15

8740-V3-201018201 – Quebecor Media Inc. Tariff Notice 37A

Date modified:

2011-04-13