From:
Jimmy Huang[SMTP:jimmy_huang@hotmail.com]Reply To: jimmy.huang@utoronto.ca
Sent: August 21, 2001 8:54 PM
To: Procedure@crtc.gc.ca
Cc: bell.regulatory@bell.ca
Subject: Price Cap Review and Related Issues
To whom it may concern,
In general, it is fair to have users pay their true costs for services
received, be that long distance, local or internet. To the extent that
there has be cross-subsidization in the current rate structure, it should be
corrected gradually. If policy makers deem it to be necessary to maintain
universality of service and cross-subsidies are required to achieved that,
that the amount of subsidies should be clearly spell out and made known to
both paying and receiving custormers.
Subject to a thorough review by the commission, the request by Bell Canada
does not seem unreasonable.
However, I have two concerns on related issues:
1. Where is true competition is local telephone service? The only way to
ensure comsumer to receive the lowest prices possible is to ensure
sufficient competition exist. The commission's rule for facility-based
local competition may be well intentioned, but the fact that no real
competitior to Bell has yet to emerged points to a possible need for change.
2. Service fees charged
I am not clear as to the level of oversight on service fee Bell charged. In
the absence of real competition, I assume CRTC is making sure that all fees
set are reasonable. Some of Bell's fee levels are simply outrageous, and
are being used by Bell to push more of their ancilary services. One case in
point is the activation fee. I recently moved within downtown Toronto
(within 2 km). My phone number did not change (therefore no expense for
listing change), no technician's visit was required; all that is done is a
simple reprograming in Bell's computer system. I don't know much about the
phone business but I certainly do not think that costs anywhere close to the
$55 Bell charged! With no real choice, I had to accept whatever they claim
the cost to be. What role does CRTC play in making sure that fees are
reasonable? Are there any disclosure as to how Bell set the rates?
Hope this helps.
Jimmy Huang
Toronto
"Only the best"
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