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Whereas the Commission considered providing ILECs with greater regulatory flexibility prior to forbearance and the circumstances under which it might lessen or remove existing competitive safeguards for promotions, as defined in Telecom Decision CRTC 2005-25, Promotions of local wireline services, lessen or remove the local winback rule set out in Telecom Decision CRTC 2005-28, Regulatory framework for voice communication services using Internet Protocol, as amended by Telecom Decision CRTC 2005-28-1 and confirmed by Telecom Decision CRTC 2006-53, permit the ex parte filing of tariff applications for promotions, and permit the waiving of service charges for local residential winbacks;

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Whereas subsection 34(1) of the Act provides that the Commission may make a determination to refrain, in whole or in part and conditionally or unconditionally, from the exercise of any power or the performance of any duty under sections 24, 25, 27, 29 and 31 of the Act in relation to a telecommunications service or class of services provided by a Canadian carrier, if the Commission finds as a question of fact that to refrain would be consistent with the Canadian telecommunications policy objectives set out in section 7 of the Act;

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Whereas subsection 34(2) of the Act provides that the Commission shall make a determination to refrain, to the extent that it considers appropriate, conditionally or unconditionally, from the exercise of any power or the performance of any duty under sections 24, 25, 27, 29 and 31 of the Act in relation to a telecommunications service or class of services provided by a Canadian carrier, where the Commission finds as a question of fact that the service or class of service is or will be subject to competition sufficient to protect the interests of users;

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Whereas that Order directs that the Commission should rely on market forces to the maximum extent feasible as the means of achieving the Canadian telecommunications policy objectives and that, when relying on regulation to achieve those objectives, the Commission should use measures that are efficient and proportionate to their purpose and that interfere with the operation of competitive market forces to the minimum extent necessary;

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Whereas the Governor in Council considers that LFRs are not the appropriate geographic component of a relevant market, as they are too vast to retain administrative practicality and do not reflect a social and economic community of interest;

Whereas the Governor in Council considers that local exchanges are the appropriate geographic component of a relevant market, as they often reflect a social and economic community of interest and are less likely than LFRs to contain pockets of uncontested customers;

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Therefore, Her Excellency the Governor General in Council, on the recommendation of the Minister of Industry, pursuant to subsection 12(1) of the Telecommunications ActFootnote ^a, varies Telecom Decision CRTC 2006-15 as follows:

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• 2. Paragraphs 242 to 281 of the Decision are replaced by the following:

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  • b) the ILEC demonstrates that, during a six-month period, beginning no earlier than eight months before its application for local forbearance and ending at any time before the Commission’s decision respecting the application,

    • (i) it met, on average, the quality of service standard for each indicator set out in Appendix B, as defined in Telecom Decision CRTC 2005-20, Finalization of quality of service rate rebate plan for competitors, with respect to the services provided to competitors in its territory, and

  • 243. 

    For the purposes of subparagraphs 242a)(ii) and (iii) and paragraph 523, the Commission considers that a telecommunications service provider is independent if it does not have the same owner as, and is not affiliated with, any other service provider referred to in the respective subparagraph. Further, for the purpose of those provisions, the Commission considers that a facilities-based telecommunications service provider is one that provides services in the relevant market either by using its own facilities and services or by using a combination of its own facilities and services together with those leased from other service providers.

• 3. Paragraphs 483 to 488 of the Decision are replaced by the following:

  • 483. 

    The Commission removes the existing competitive safeguards for promotions, as defined in Telecom Decision CRTC 2005-25, Promotions of local wireline services, removes the local winback rule as set out in Telecom Decision CRTC 2005-28, Regulatory framework for voice communication services using Internet Protocol, as amended by Telecom Decision CRTC 2005-28-1 and confirmed by Telecom Decision CRTC 2006-53, permits the ex parte filing of tariff applications for promotions and permits the waiving of service charges for residential local winbacks.

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