Telecom Update Special: CRTC Chair Responds to Forbearance Critics |
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![]() Tue, 18 Apr 2006 12:16:37 -0400
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TELECOM UPDATE SPECIAL ISSUE
Exclusive interview:
CRTC CHAIR RESPONDS TO FORBEARANCE CRITICS
Number 525b: April 18, 2006
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INTERVIEW WITH CHARLES DALFEN: The CRTC's "local forbearance" decision
ANGUS: Some have said the forbearance decision shows that the CRTC is
DALFEN: No. The opposite is true. We believe in market forces and
But the Telecommunications Act says the CRTC can only "forbear from
We set two key criteria: the incumbents have to have lost 25% of the
ANGUS: The CRTC only issues its competition report, including market
DALFEN: No. They can apply at any time. They can even apply before they
ANGUS: How long will it take the CRTC to process applications for local =
DALFEN: We expect to turn around forbearance applications in four
ANGUS: When will we likely see local services deregulated?
DALFEN: I expect that most business markets -- in major cities at
ANGUS: Why did you use lines in service as the measure of market share,
DALFEN: Lines is the measure of competition used around the world. It is
ANGUS: Would you be open to a forbearance application based on revenue?
DALFEN: We'd probably be open to a case being made on revenue as a
ANGUS: Why did you set 25% as the market share loss figure?
DALFEN: As every party to the proceeding acknowledged, setting the
ANGUS: Why did the CRTC set different deregulation criteria for local
DALFEN: When we set the criteria for cable deregulation, the competition
Also, in the local phone market, competitors--even the
ANGUS: Why do you require the phone companies to meet certain quality
DALFEN: No. It's about protecting customers. There's no point to
ANGUS: Why does the CRTC require the incumbents to provide wholesale
DALFEN: This ensures that competitors who want to offer a bundled
ANGUS: But isn't it true that the telcos' main competitors -- the
DALFEN: Firstly, as I said, all local service competitors, including
We had a whole proceeding to establish the minimum standards required
Meeting these standards is entirely within the phone companies'
ANGUS: A recent Financial Post editorial claimed that the CRTC makes it
DALFEN: No. I don't know how anyone can draw that conclusion. The
ANGUS: The Telecom Policy Review report recommended relying on market
DALFEN: The TPR report also recommended that the CRTC have the power to
Before the recent election, the government introduced a bill that would
For further information, see:
** Telecom Update #524:
http://www.angustel.ca/update/up524.html
** CRTC Telecom Decision 2006-15:
http://www.crtc.gc.ca/archive/ENG/Decisions/2006/dt2006-15.htm
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