ARCHIVED - Telecom Commission Letter Addressed to Dallas Yeulett (Northwestel Inc.)
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Ottawa, 6 December 2016
Our references: 8740-N1-201610981
BY EMAIL
Mr. Dallas Yeulett
Senior Manager – Regulatory Compliance
Northwestel Inc.
301 Lambert st.
P.O. Box 2727,
Whitehorse, YT
Y1A 4Y4
regulatoryaffairs@nwtel.ca
RE: Northwestel Inc. Tariff Notice No. 959 – Accelerated Installation Service
Dear Mr. Yeulett:
On 14 October 2016, the Commission received an application from Northwestel Inc. (Northwestel), under Tariff Notice 959 (TN 959), in which the company proposed to introduce an Accelerated Installation Service.
On 10 November 2016, the Commission received a follow-up letter from Northwestel as part of its application, clarifying its rationale for not providing a cost study.
Paragraph 28(1)(a) of the Canadian Radio-television and Telecommunications Commission Rules of Practice and Procedure provides that the Commission may request parties to file information or documents where needed.
Northwestel is requested to provide comprehensive answers, including rationale and any supporting information, to the attached questions by 20 December 2016.
Sincerely,
Original signed by
Michel Murray
Director, Dispute Resolution and Regulatory Implementation
Telecommunications sector
c.c: Cameron Warriner, cameron.warriner@crtc.gc.ca
Attach. (1)
Request for information
- In its application, Northwestel submitted that as a discretionary service available to all business customers, the company believed the service would be appropriately assigned to its Uncapped Services basket under the current price cap framework set out in Telecom Decision CRTC 2007-5 (Price cap regulation for Northwestel Inc.) and as amended under Telecom Regulatory Policy 2013-711 (Northwestel Inc. – Regulatory Framework, Modernization Plan, and related matters).
In Telecom Decision CRTC 2007-5, the Commission considered it appropriate to assign residential and business optional services to the Other Capped Services basket in order to provide adequate incentives to the company to increase efficiencies. The Commission further determined that where Northwestel proposes to introduce a new service, or file rate reductions to an existing service in this basket, the proposed rates must be supported by an economic study and must satisfy an imputation test unless the proposed rates are equal to or above the rates approved for another ILEC for the same service. This framework for the Other Capped Services basket was maintained in Telecom Regulatory Policy 2013-711.
Explain why the proposed Accelerated Installation Service should not be included in the Other Capped Services basket and subject to the regulatory requirements for this basket under Northwestel’s price cap framework.
- If Northwestel considers that the proposed Accelerated Installation Service should be included in the Other Capped Services basket, confirm that the company proposes to set the proposed rate for the service based on Bell Canada’s tariffed rate for the same service.
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