Telecom Commission Letter addressed to Philippe Gauvin (Bell Canada)

Ottawa, February 15, 2016

Our reference:  8678-B2-201600578

BY EMAIL

Mr. Philippe Gauvin
Senior Legal Counsel
Bell Canada
Floor 19
160 Elgin Street
Ottawa, Ontario K2P 2C4
bell.regulatory@bell.ca

RE:  Part 1 Application – Proposal to amalgamate the Bell Canada and the former Bell Aliant Price Cap Indices and Models

Dear Sir:

On 15 January 2016, the Commission received a Part 1 application from Bell Canada in which it proposed to amalgamate the Price Cap indices and Models of Bell Canada and the former Bell Aliant Regional Communications Inc. (Bell Aliant).Footnote 1

Bell Canada noted that based on the Commission's directive, for the 2016 price cap year, it is required to file its price cap indices – namely the service band limit (SBL) and service band index (SBI) – for each service basket  by 31 March 2016.  Bell Canada stated that, if it does not receive approval to use the proposed combined price indices prior to that date, then it will assume that approval of those indices will be granted, unless otherwise directed by the Commission staff, and will use those indices to compute the updated SBLs and SBIs that it will file in that submission.

Commission staff notes that any proposed price change to a regulated service must comply with the pricing constraint, or SBL, for the basket to which the service is assigned.  Commission staff considers that until the Commission issues a decision on the company’s Part 1 application, Bell Canada cannot assume that its application is approved.

Accordingly, consistent with Telecom Information Bulletin 2010-455, if Bell Canada chooses to file proposed price changes to its regulated services before the Commission disposes of its Part 1 application, it can do so as follows:

  1. File Group A tariff applications using the current Price Cap models for Bell Canada and Bell Aliant; or
  2. File Group B tariff applications using the proposed amalgamated Price Cap model.Footnote 2

Sincerely,

Original signed by

Michel Murray
Director, Dispute Resolution and Regulatory Implementation
Telecommunications sector
c.c.: Joseph Cabrera, CRTC, (819) 934-6352, joseph.cabrera@crtc.gc.ca

Footnotes

Footnote 1

Bell Aliant was wound up into Bell Canada on 1 July 2015, and as of that date, Bell Canada’s operating territory encompasses the portions of Ontario and Quebec that were previously served by both Bell Aliant and Bell Canada, as well as the Atlantic serving area of Bell Aliant.

Return to footnote 1

Footnote 2

Disposal of such tariff applications would be dependent on the disposition of the Part 1 application.

Return to footnote 2

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