ARCHIVED - Telecom Order CRTC 2014-619

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Ottawa, 28 November 2014

File number: Tariff Notice 376

NorthernTel, Limited Partnership - Application to remove an exogenous adjustment and increase rates for certain Centrex and Switch 56 Data services

1. The Commission received an application from NorthernTel, Limited Partnership (NorthernTel), dated 7 October 2014, in which the company proposed revisions to sections N210, N240, and N900 of its General Tariff related to certain of the company’s Centrex and Switch 56 Data services. Specifically, NorthernTel proposed to reflect the expiry of an exogenous adjustment by lowering rates for the services to which the adjustment had applied. The company also proposed to increase these rates for the same services.
2. NorthernTel submitted that in Telecom Decision 2007-93, the Commission approved an exogenous adjustment for the recovery of the company’s non-recurring (start-up) local competition and local number portability costs over a five-year period. NorthernTel added that in Tariff Notice 278, dated 29 June 2009, the company had filed to increase the rates for certain Centrex and Switch 56 Data services to reflect the Commission-approved exogenous adjustment. These rates took effect on 1 July 2009. In its current application, NorthernTel has proposed to remove the exogenous amount it had applied, from each of the services affected by the increase.
3. The company also proposed to increase the rates for the same services. It submitted that, pursuant to the Commission’s determinations in Telecom Decision 2006-14 regarding services in the small incumbent local exchange carriers’ fourth basket of services, NorthernTel may increase the rates for the Centrex and Switch 56 Data services in question up to any rate approved by the Commission for the same services. NorthernTel provided a list of comparable services and their rates offered by Télébec, Limited Partnership, on which NorthernTel based its proposed rate increases.
4. NorthernTel submitted that the exogenous adjustment had expired on 1 July 2014, but that due to internal administrative constraints, it had not filed a tariff notice to seek approval for the proposed rate decreases and simultaneous rate increases before the expiry date of the exogenous adjustment. NorthernTel therefore requested that the Commission ratify the charging of the company’s rates for the Centrex and Switch 56 Data services in question between 1 July 2014 and the effective date of approval of its application, pursuant to subsection 25(4) of the Telecommunications Act (the Act).
5. In Telecom Order 2014-556, the Commission approved NorthernTel’s application on an interim basis, noting that it would address the company’s ratification request in a subsequent order.
6. The Commission received no interventions regarding NorthernTel’s application. The public record of this proceeding, which closed on 3 November 2014, is available on the Commission’s website at www.crtc.gc.ca or by using the file number provided above.
7. The Commission considers that in the absence of the expired exogenous adjustment, NorthernTel’s proposed rates comply with the Commission’s determinations set out in Telecom Decisions 2007-93 and 2006-14, as well as in Telecom Regulatory Policy 2013-160.
8. With respect to NorthernTel’s ratification request, the Commission notes that, pursuant to subsection 25(4) of the Act, it may ratify the charging of a rate by a Canadian carrier otherwise than in accordance with a tariff approved by the Commission if it is satisfied that the rate was charged because of an error or other circumstance that warrants the ratification.
9. The Commission is satisfied that NorthernTel charged its proposed rates for the Centrex and Switch 56 Data services in question between 1 July 2014 and the effective date of interim approval of its application without an approved tariff due to internal administrative constraints. The Commission therefore considers that the company’s ratification request is reasonable.
10. Accordingly, the Commission approves on a final basis NorthernTel’s application. NorthernTel is to issue revised tariff pages^{Footnote 1} within 10 days of the date of this order.

Secretary General

Related documents

• Telecom Order CRTC 2014-556, 28 October 2014
• Regulatory framework for the small incumbent local exchange carriers and related matters, Telecom Regulatory Policy CRTC 2013-160, 28 March 2013
• Implementation of local competition in NorthernTel, Limited Partnership’s serving territory − ExaTEL Inc. and Ontera, Telecom Decision CRTC 2007-93, 28 September 2007, as amended by Telecom Decision CRTC 2007-93-1, 1 November 2007
• Revised regulatory framework for the small incumbent local exchange carriers, Telecom Decision CRTC 2006-14, 29 March 2006

Date modified:

2014-11-28