CRTC Fails to Address Root Cause of Rising Internet Fees

Regulator Refuses Requests from Canadians to Broaden Scope of Usage-Based Billing Proceeding

March 11, 2011 – Today the CRTC turned down a major opportunity to address the framework that led to the large-scale installation of punitive fees for Internet use. The media regulator denied requests from independent service providers, public interest groups, and over 90,000 citizens who asked that the upcoming hearing on usage-based billing (UBB) address key structural issues.

In direct submissions and via http://openmedia.ca/crtc, citizens have been asking the CRTC to address the issues that incentivized and allowed Big Telecom to stifle competition to make the Internet less affordable for all. However, while only five major players – Bell, Telus, Rogers, Videotron and Shaw – dominate the Internet service industry, the CRTC still holds that there is “no evidence that market forces are not working properly.”

Pro-Internet group OpenMedia.ca remains concerned that the interrogatory process that the CRTC will conduct may not give Canadians the evidence required to participate in this proceeding on a level playing field. The lack of this information precludes an informed discussion, and indeed an informed decision, about usage-based billing.

OpenMedia.ca is, however, pleased that the CRTC has chosen to conduct a public hearing and an online consultation to discuss usage-based billing as an Internet traffic management practice. OpenMedia.ca will ensure that Canadian voices are heard at the proceeding.

“The CRTC has positioned themselves to offer no more than a Band-Aid solution to an endemic problem,” said OpenMedia.ca Executive Director Steve Anderson.

“Without a meaningful, evidence-based examination of the Internet service market, the CRTC has set the stage for Big Telecom to continue to hogtie their competition, and to impose usage-based billing on Canadians. It's moments like these that the CRTC should act boldly, but all we saw today was a regulator bending at the knees.”

“We will continue to force citizens’ interests into this important process, as we now look to the government to fix some of the broader telecom problems and reform the CRTC in their upcoming digital economy strategy.”

On Tuesday, OpenMedia.ca's Steve Anderson met with Industry Minister Tony Clement to discuss these very issues. See his report back from that meeting here: http://openmedia.ca/blog/clement-meeting-report-back-good-bad-ugly

The pro-Internet group is urging Canadians to flood decision-makers with messages about the usage-based billing proceeding at http://openmedia.ca/crtc and http://stopthemeter.ca.

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Contact

Lindsey Pinto
Communications Manager, OpenMedia.ca
778-238-7710
[email protected]

About OpenMedia.ca

OpenMedia.ca is a national, non-partisan, non-profit public engagement organization working to advance and support an open and innovative communications system in Canada. Our primary goal is to increase public awareness and informed participation in Canadian media, cultural, information, and telecommunications policy formation.

About Stop The Meter

In October, Canadians were outraged by the news that the CRTC had decided to allow Bell and other big Internet service providers (ISPs) to impose new fees on independent ISPs – usage-based billing. Now every Internet user in Canada is likely to feel the sting of a less affordable Internet, and a less competitive Internet service market. Recognizing the importance of this issue, OpenMedia.ca launched the Stop The Meter campaign.

Since its inception, this multi-platform petition, based at http://www.StopTheMeter.ca and in French at http://openmedia.ca/compteur, has become a record breaker and a game changer. Over 470,000 names have now been added to the website, Facebook, Twitter, and in print.