ARCHIVED - Telecom Order CRTC 2012-298

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Ottawa, 17 May 2012

Shaw Cablesystems G.P. – Third party Internet access service

File number: Tariff Notice 19

1.         The Commission received an application from Shaw Cablesystems G.P. (Shaw), dated 10 February 2012,  in which the company proposed changes to its wholesale Third Party Internet Access (TPIA) service tariff.  Specifically, Shaw proposed to introduce three new TPIA  services – High Speed 10, High Speed 20, and Broadband 250 and to change the product branding information for several existing services.  Shaw filed cost studies to support the rates for each of the proposed TPIA services.

2.         The Commission received comments from the Canadian Network Operators Consortium Inc. (CNOC).  CNOC submitted that the rates for Shaw’s proposed TPIA services should be set as soon as possible based on the Commission’s existing determinations.

3.         The public record of this proceeding is available on the Commission’s website at under “Public Proceedings” or by using the file number provided above.

4.         In Telecom Order 2012-150, the Commission (i) noted that Shaw’s proposed end-customer rate of $29.83 per month for High Speed 20 service, a 20 megabits per second (Mbps) service, was higher than the existing approved rate of $21.25 per month for Shaw’s 25 Mbps service,1 and (ii) approved the application on an interim basis, with a modification to replace the proposed rate for the 20 Mbps service with the rate of $21.25 per month.

5.         After Telecom Order 2012-150 was issued, Shaw filed reply comments. Shaw stated that it had proposed a TPIA speed upgrade from 15 Mbps to 25 Mbps without a rate change during the proceeding that led to Telecom Regulatory Policy 2011-703 to be consistent with its speed upgrade offered to its retail customers. Shaw also stated that, at that time, it had not considered it appropriate to file an updated cost study for the 25 Mbps TPIA service because the  proceeding that led to Telecom Regulatory Policy 2011-703 was ongoing. Shaw indicated that, as a result, the rate approved for the 25 Mbps service in Telecom Regulatory Policy 2011-703 was based on its cost study for the 15 Mbps service. 

6.         Shaw indicated that it no longer offers its 25 Mbps service to new retail customers and that it plans to destandardize the 25 Mbps service for new TPIA customers.

7.      Since the interim 20 Mbps rate of $21.25 per month reflects the cost-based rate of the 15 Mbps service, the Commission considers that this rate is not consistent with  Telecom Regulatory Policy 2011-703.

8.      The Commission notes that Shaw’s proposed 20 Mbps rate was developed based on a new cost study that is consistent with the costing determinations of Telecom Regulatory Policy 2011-703

9.         In light of the above, the Commission grants interim approval to Shaw’s proposed rate of $29.83 for 20 Mbps TPIA service, effective the date of this order.

10.     The Commission notes that Shaw has recently filed an application to review and vary Telecom Regulatory Policy 2011-703, challenging certain costing method determinations in that decision. Accordingly, the Commission will not dispose of this application on a final basis until it has made its determinations with respect to Shaw’s review and vary application.

Secretary General

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[1] Shaw’s 25 Mbps service rate was approved in Telecom Regulatory Policy 2011-703.


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