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February 21, 2011

Mr. Robert Morin


Secretary General
Canadian Radio-television and
Telecommunications Commission
Ottawa, ON
K1A 0N2

Re: Telecom Notice of Consultation CRTC 2011-77 – Requests for modifying the scope and terms
of the proceeding

Dear Mr. Morin:

1. The Canadian Association of Internet Providers (CAIP) is in receipt of submissions from the
Public Interest Advocacy Centre (PIAC) on its own behalf and as counsel to the Consumers’
Association of Canada (CAC), the Canadian Network Operators Consortium (CNOC) and
Vaxination Informatique, all requesting a change in scope and terms in the above mentioned
proceeding.

2. CAIP also has concerns with the narrow scope of the proceeding as cited in the Commission’s 8
February 2011 Notice of Consultation and supports the call to broaden the scope and terms of
TNC 2011-77.

3. We are particularly concerned that the Commission has prejudged the fundamental issue, raised
by Vaxination Informatique in its Petition to the Governor in Council, as to whether there is any
cost-based justification for wholesale UBB charges as an additional rate element to the
incumbent ILEC and cable carriers’ existing mandated wholesale access services. It would
appear from the Commission’s 8 February 2011 Notice of Consultation and other public
statements that the Commission intends to limit the scope of the inquiry to tinkering with the
mechanics of wholesale UBB rather than re-examining the underlying factual assumptions and
legal and policy underpinnings of wholesale UBB as a matter of principle.

4. In order to determine the fundamental issue on proper principles applicable to wholesale


mandated services, CAIP requests
a. the removal of paragraphs 7, 11, 12 and 13 of TNC 2011-77; and
b. a call for comments on the following questions:
i. Is there an actual congestion problem in any incumbent network?
ii. If so, what is the cause of those problems taking into account the fact that there
are many services and applications that are offered by the incumbents
themselves which need to be factored into any analysis of the factors
contributing to such congestion?
iii. What are the appropriate pricing principles that should apply to wholesale
access services?

Suite 416, 207 Bank Street, Ottawa, ON K2P 2N2


905-373-9313 • FAX 905-373-1801
iv. Is it appropriate to apply retail pricing principles to wholesale services, taking
into account the prohibitions set out in the Competition Act against retail price
maintenance?
v. Given that retail Internet access services are forborne from regulation, is it
practical or even feasible to base the pricing of wholesale services on retail
prices?

5. CAIP looks forward to participating in this consultation and we hope that the Commission
recognizes and agrees with the benefits of expanding the scope and terms of Telecom Notice of
Consultation CRTC 2011-77.

Regards,

Thomas Copeland
Chair
Canadian Association of Internet Providers

Suite 416, 207 Bank Street, Ottawa, ON K2P 2N2


905-373-9313 • FAX 905-373-1801

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