ARCHIVED - Telecom Commission Letter Addressed to Dallas Yeulett (Northwestel Inc.)

Ottawa, 23 April 2015

Our reference: 8740-N1-201501023

BY EMAIL

Mr. Dallas Yeulett
Senior Manager, Regulatory Compliance
Northwestel Inc.
P.O. Box 2727
Whitehorse, Yukon Y1A 4Y4
regulatoryaffairs@nwtel.ca

RE: Northwestel’s Tariff Notice (TN) 923 - Filing and disclosure of cost information

Dear Sir:

On 26 February 2015, the Commission received a request from the Canadian Network Operators Consortium Inc. (CNOC) for the disclosure of costing information for which Northwestel Inc. (Northwestel) had claimed confidentiality.

CNOC submitted that Northwestel is relying on the cost studies filed in the proceedings leading to Telecom Order 2013-93^{Footnote 1} and TRP 2013-711^{Footnote 2} to support the rates proposed in Tariff Notice (TN) 923.  CNOC further submitted that, Northwestel’s disclosure of this costs information has not been in accordance with the full scope of disclosures prescribed in TRP 2012-592^{Footnote 3}.  Accordingly, CNOC requested that Northwestel file a new costs study and disclose its contents in accordance with TRP 2012-592.

On 9 March 2015, Northwestel responded to CNOC’s request for disclosure. Northwestel submitted that it has already disclosed some of the information requested by CNOC (including markup and annual productivity improvement factor). Northwestel further submitted that in TRP 2012-592, the Commission indicated that it considers it inefficient to reopen proceedings where the record is closed to request disclosure of information that was filed in confidence.  Accordingly, Northwestel requested that CNOC’s request be denied.To support its proposed rates in TN 923 Northwestel indicated that it used the approved cost information from cost studies filed in the proceeding leading to Telecom Order 2013-93 and TRP 2013-711 Northwestel included the following information in its current submission:

1. Summary of Phase II costs in Attachment 1.
2. Unit cost information in Attachment 2.

To address CNOC’s disclosure request, and in compliance with TRP 2012-592, Northwestel is to disclose the costs (specifically the MECs) for each line item found in Attachment 1 of its submission.

Although Northwestel makes reference to a previous proceeding, in order to assess their proposed rates in the context of TN 923, relevant costing information is required to be filed in the current proceeding. Accordingly, Northwestel is requested to:

1. Provide a cost study report and detailed cost information of major costs in accordance with the attached Commission staff letter dated 13 September 2013.
2. Explain whether costs (obtained from the cost studies filed in the proceeding leading to Telecom Order 2013-93 and TRP 2013-711) have been adjusted to reflect 2015 vintage.  If not, explain why not, with supporting rationale.
3. Disclose the above-listed information in accordance with TRP 2012-592.

The above information is to be provided by 25 May 2015.  Interested parties may provide comments on the additional information to be submitted by Northwestel by 26 June 2015.

Northwestel may provide reply comments by 10 July 2015.

Northwestel and parties should serve copies on all interested parties by the required dates. The required material should be received, and not merely sent, by that date.

Sincerely,

Original signed by

Lyne Renaud
Director, Competitor Services and Costing Implementation
Telecommunications Sector

Attach. (2)

c.c.: B. Natraj ( Nat Natraj), CRTC, (819) 953-5081, CRTC, nat.natraj@crtc.gc.ca
William Sandiford, CNOC, regulatory@cnoc.ca
Dean Proctor, SSI, regulatory@ssimicro.com

Date modified:

2015-04-23