CRTC DECISION TARGETS IMPROVED TELEPHONE SERVICE FOR CANADIANS IN HIGH COST AREAS
OTTAWA-HULL, Oct. 19 /CNW/ - The Canadian Radio-television and Telecommunications Commission (CRTC) issued a decision today designed to extend and improve telephone service for Canadians living in high cost telephone areas. The CRTC is confident that this decision will give more Canadians access to the knowledge-based economy of the future. ''We are confident that this balanced, pragmatic and flexible approach, will make better telephone service available to Canadians living in high cost areas. This decision will promote the government's agenda of connectedness and help more Canadians move forward into the information age,'' says Françoise Bertrand, CRTC Chairperson.
Current Canadian situation In terms of telecommunications, Canada is considered to be the best connected country in the world. A country with a population of approximately 30 million, it has approximately 18 million telephone lines, 99% of which are single party lines and of these, more than 97% can access the Internet locally. In remote, rural regions and the far north, however, there are pockets where no telephone service exists or where it needs to be upgraded. Telephone service improvement plans already put in place by the telephone companies will improve service for approximately 90,000 Canadians. Today's decision aims to upgrade service for those not targeted by the existing plans - roughly 13,000 Canadians without telephone service and close to 7,700 without single line service. ''The problem is limited in scope, but serious where it exists. We are confident that it will be solved by the framework set out in this decision,'' says Madame Bertrand.
The new framework will focus on the following - Making available to all Canadians a basic level of telephone service that includes the ability to connect toll-free to the Internet; - Requiring telephone companies to submit service improvement plans while maintaining their obligation to serve; and - Tackling the unique challenges faced by Northwestel (NWTel).
Basic level of telephone service The basic level of telephone service set out by the Commission reflects the level of telephone service now available to most Canadians: - Single line touch tone service with local access to the Internet; - Access to enhanced calling features, including 911, voice message relay service for those with hearing difficulties, and features that protect privacy; - Access to operator and directory assistance services; - Access to long distance; and - A copy of the current local telephone directory.
Measures to achieve better service - Independent telephone companies across Canada must file service improvement and tracking plans by March 1, 2000. These plans will explain how the companies will provide service where it doesn't exist and upgrade it where it does not meet the basic level of telephone service. - The main local telephone service providers in each province, many of whom have service improvement plans, will file additional service improvement and tracking plans in 2001. These new plans will indicate how they will achieve and maintain the basic level of telephone service. Since these companies already have service improvement plans in progress, the new plans will be submitted as part of their next price cap review. - The Commission is also maintaining the existing companies' obligation to serve. This means that these companies must provide service to subscribers in their area at Commission approved rates. - The Commission will also hold a proceeding to look at ways to more precisely define high cost areas. This should allow subsidies to be more accurately targeted at actual high cost areas.
With the exception of NWTel, the Commission anticipates that Canadian telephone companies will be able to support improvements in a number of ways: reducing costs, increasing efficiencies, raising rates, using existing subsidies from long distance services, and generating additional profits from the sale of special calling features.
Northwestel NWTel serves subscribers in Canada's northern territories. It has the largest operating territory in Canada serving a population of only 110,000-less than one half of one percent of the total population of Canada. It delivers service to as many as 96 communities, providing them with about 68,000 telephone lines. More than 80 percent of these communities scattered over NWTel's operating territory have fewer than 500 telephone lines. Many communities are accessible only by air. As a result, NWTel has the lowest telephone line density in the country. This low density, combined with the large size and severe climatic conditions of its territory, requires NWTel to operate and maintain a network without the efficiencies available to companies in southern Canada. Due to its unique and difficult circumstances, the Commission is concerned that NWTel may not be able to achieve the basic level of telephone service, in the same way as the telecommunications companies in the rest of Canada. To address these concerns, the Commission has directed NWTel to file a service improvement plan for achieving the basic level of telephone service over time and upgrading the quality of long distance service. The Commission has also begun a public proceeding to examine NWTel's corporate revenues compared with the total amount of money that would be required to achieve the basic level of telephone service. This proceeding will also determine whether supplementary funding will be required. It will also look at the terms and conditions that would need to be in place to allow long distance competition in NWTel's territory.
High cost decision milestones
Date Event
October 1, 1999 Public Notice 99-21 on Northwestel issued March 1, 2000 Independent telephone companies to file service improvement plans January 1, 2001 Latest possible service improvement plan implementation start date for NWTel and independent telephone companies 2001 Larger telephone companies to file service improvement plans to be determined Service improvement plan start date for QuébecTel and Télébec
Reference Documents: Telecom Decision CRTC 99-16, Telecom Public Notice CRTC 99-21, Information: Telephone service to high cost areas - Did you know?
Copies of today's documents are available through our Internet site (http://www.crtc.gc.ca) or by contacting the public examination room of any CRTC office. These documents are available in alternative format upon request.
City Telephone TDD Fax
Halifax (902) 426-7997 (902) 426-6997 (902) 426-2721 Montreal (514) 283-6607 (514) 283-8316 (514) 283-3689 Ottawa-Hull (819) 997-2429 (819) 994-0423 (819) 994-0218 Regina (306) 780-3422 (819) 994-0423 (819) 994-0218 Toronto (416) 952-9096 (819) 994-0423 (819) 994-0218 Vancouver (604) 666-2111 (604) 666-0778 (604) 666-8322 Winnipeg (204) 983-6306 (204) 983-8274 (204) 983-6317
-30- For further information: General Inquiries: Ottawa, Ontario K1A 0N2, Tel: (819) 997-0313, TDD (819) 994-0423, Fax: (819) 994-0218, Toll-free no. 1-877-249-CRTC (2782), eMail: info@crtc.gc.ca. Media Relations: Denis Carmel, Tel: (819) 997-9403, eMail: denis.carmel@crtc.gc.ca
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Note: NorthwestTel's mobility division has signed up to supply Globalstar service. |