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Telecom - Secretary General Letter addressed to Peggy Tabet (Quebecor Media Inc.) and Howard Slawner (Rogers Communications Inc.)

Ottawa, 5 may 2023

Our reference: 8622-V3-202302040

 

Peggy Tabet
Vice President, Regulatory and Environmental Affairs
Quebecor Media Inc.
612 Saint-Jacques Street
Montréal QC H3C 4M8
tabet.peggy@quebecor.com

Howard Slawner
Vice President - Telecom
Rogers Communications Inc.
333 Bloor Street East
10th Floor
Toronto ON M4W 1G9
regulatory@rci.rogers.com

Subject: Request for final offer arbitration regarding mobile virtual network operator (MVNO) access rates

Dear Peggy Tabet and Howard Slawner,

On 6 April 2023, the Canadian Radio-television and Telecommunications Commission (Commission) received a joint request from Quebecor Media Inc. (Quebecor), on behalf of Videotron Ltd. (Videotron) and Freedom Mobile, and Rogers Communications Inc. (Rogers), for final offer arbitration (FOA) for the purpose of establishing wholesale mobile virtual network operator (MVNO) access rates between Videotron and Rogers.

In a letter dated 27 April 2023 (the conduct letter), the Commission accepted the request by Quebecor and Rogers for FOA, and

On 1 May 2023, Rogers requested 1) an extension to the date to file its offer and the requested information, 2) an increase to the length of the appendix to the parties’ submissions, and 3) Quebecor to provide its volume projections for the use of Rogers’ MVNO network one week in advance of the offer date. On 2 May 2023, Quebecor opposed Rogers’ request. On 3 May 2023, Rogers filed additional comments.

As stated in the conduct letter, there is significant public interest in ensuring a timely resolution of this matter. Parties requested an expedited process, the Commission strives to release FOA decisions as expeditiously as possible, and any procedural issues that arise may result in delays to the applicable timelines. The Commission is of the view that Rogers did not provide sufficient rationale to justify delays to the FOA timelines or the need to file an appendix that is up to twice as long as that which the Commission allowed, both of which would negatively affect the goal of a timely resolution of the matter. As such, the Commission denies both requests.

Regarding Rogers’ request for Quebecor to provide Rogers with volume projections ahead of the submission deadline, the Commission is of the view that it is not necessary for Rogers to obtain this information ahead of its submission. The Commission will be in a position to assess the costs provided by Rogers alongside the projections submitted by Quebecor.  

In the conduct letter noted above, the Commission was of the view that it was in the public interest that the rate structure (though not any financials contained therein) proposed by the parties should be disclosed publicly on the record of this proceeding and in any consequent decision. The Commission stated that the rate structure should be placed on the public record and that if either party objected to this view, then representations had to be filed by 1 May 2023. On 1 May 2023, Rogers agreed to the disclosure, but Quebecor did not.

With respect to the disclosure of the rate structure, the Commission considers that it is not necessary to dispose of this matter at this time as the information at issue is available to the parties. However, the Commission underscores that in Information Bulletin 2022-337 Note de bas de page2 it indicated that it will aim to release as much information and rationale as possible to the public in its decisions on FOA proceedings on MVNO access rates to ensure that all carriers can understand the Commission’s rationale and decision. The Commission will take into consideration the parties’ submissions on the matter in light of its intent to provide as much transparency as possible in its eventual decision.

Yours sincerely

Original signed by

Claude Doucet
Secretary General

c.c. Michel Murray, CRTC michel.murray@crtc.gc.ca
Leila Wright, CRTC leila.wright@crtc.gc.ca
Philippe Nadeau, CRTC philippe.nadeau@crtc.gc.ca
Marisa Wyze, Rogers marisa.wyze@rci.rogers.com

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