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Telecom Order CRTC 2017-27

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Ottawa, 27 January 2017

File numbers: Tariff Notices 3 and 3A

Freedom Mobile Inc. – Introduction of Local Service Request Rejection Charge

Application

  1. The Commission received an application from Freedom Mobile Inc. (Freedom Mobile) [formerly WIND Mobile Corp.], dated 6 October 2016 and amended on 26 October 2016, in which the company proposed to effect some minor housekeeping changes to its Access Services Tariff, and to introduce item 502.1 – Local Service Request (LSR) Rejection Charge. Specifically, Freedom Mobile proposed that a monthly LSR rejection charge of $70 apply for each rejected LSRFootnote 1 originating from a local exchange carrier (LEC), a wireless service provider, or an Internet service provider that exceeds the following thresholds:
    • a monthly LSR rejection rate threshold of 12.8% until 28 June 2017, a threshold of 10.4% until 28 June 2018, and a threshold of 8% thereafter, would apply to each telecommunications service provider (TSP) that submits in excess of 500 LSRs in a month unless at least 75% of the LSRs it submits in that month relate to business services.
    • a monthly LSR rejection rate threshold of 25.6% until 28 June 2017, a threshold of 20.8% until 28 June 2018, and a threshold of 16% thereafter would apply to each TSP that submits 500 or fewer LSRs in a month and to each TSP in cases where at least 75% of the LSRs it submits in that month relate to business services.
  2. Freedom Mobile indicated that the LSR rejection charge would not apply in cases where the rejection is due to (i) errors attributable to it, (ii) its winback activities, and (iii) deactivation of the telephone number subsequent to the LSR submission.
  3. Freedom Mobile submitted that its proposed tariff revisions are consistent with Broadcasting and Telecom Decision 2013-261, Telecom Regulatory Policy 2012-523, and tariffs that the Commission has approved for other LECs.
  4. The Commission received no interventions regarding Freedom Mobile's application. The public record of this proceeding, which closed on 25 November 2016, is available on the Commission's website at www.crtc.gc.ca or by using the file numbers provided above.

Commission's analysis and determinations

  1. The Commission has reviewed Freedom Mobile's proposed minor housekeeping changes and considers them to be appropriate.
  2. With regard to the proposed introduction of the LSR rejection charge, Freedom Mobile's proposed text regarding the LSR rejection rate thresholds is consistent with the Commission's determinations set out in Telecom Regulatory Policy 2012-523.Footnote 2 That text and the proposed rates are also consistent with those the Commission has approved for other competitive local exchange carriers. For example, Freedom Mobile's proposed monthly rate of $70 for each LSR above the approved threshold is equal to the Commission-approved rate for the same service provided by Cogeco Cable Inc.,Footnote 3 as set out in Telecom Order 2014-530.
  3. However, Freedom Mobile's proposed effective dates for the LSR rejection rate thresholds are not consistent with the Commission's determinations set out in Telecom Regulatory Policy 2012-523, since these dates must be based on the date the tariff is approved by the Commission, rather than the June dates proposed by the company.  
  4. LSR rejection charges are not specifically addressed in Broadcasting and Telecom Decision 2013-261.
  5. In light of the above, the Commission approves Freedom Mobile's application, effective the date of this order, subject to the revision of the effective dates for the LSR rejection rate thresholds to reflect the date of this order.
  6. The Commission directs Freedom Mobile to issue revised tariff pagesFootnote 4 within 10 days of the date of this order.

Secretary General

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