CRTC lowers wholesale broadband rates to boost competition among providers

CRTC announcement was welcomed by the Canadian Network Operators Consortium

Canada’s telecoms regulator says it has lowered the rates for wholesale broadband access as it looks to increase competition among internet providers.

The lower rates announced by the CRTC Thursday means it will be cheaper for smaller internet providers to buy broadband capacity on the networks owned by the big telecom providers.

The CRTC requires that the large cable and telephone companies make available parts of their network, at rates set by the regulator, to improve competition and lower prices.

In 2016, the CRTC set interim wholesale rates after it decided the rates proposed by the telecom companies were not “just and reasonable.”

It says the final rates are 15 to 43 per cent lower than the interim rates for monthly capacity, and three to 77 per cent lower for access rates.

ALSO READ: CRTC to bring in ‘code of conduct’ for internet providers

“As the demand for faster broadband speeds grows, we are putting measures in place to ensure Canada’s internet market remains dynamic,” said CRTC chair and CEO Ian Scott in a statement.

Major telecom companies have warned that their investments in expanding infrastructure could be impacted if wholesale rates are set too low.

The CRTC announcement was welcomed by the Canadian Network Operators Consortium, which represents smaller internet providers.

“This is just a great decision for broadband consumers in Canada, because it opens the door to lower prices, higher speeds, and the great innovative services that members of CNOC and companies like us perform,” said Matt Stein, chairman of the CNOC and CEO of Distributel.

Byron Holland, president and CEO of the Canadian Internet Registration Authority, said in a statement that he welcomed the decision, and encouraged the regulator not to delay in also setting wholesale rates for faster fibre-based home internet access.

The Canadian Press

Like us on Facebook and follow us on Twitter.

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Vernon beer baseball league expanding

Okanagan Spring League announces early-bird registration drive; adding new team from Kelowna

Vernon Vipers thump Merritt

BCHL: Win moves Vipers to within a point of third-place Wenatchee

Vernon basketball product’s college career ends in loss

Michael Rouault scores 23 points for TRU but team falls; sister’s squad also eliminated

Vernon Vipers entertain Merritt in Monday afternoon tilt

Vipers sit in fourth place in BCHL Interior Division, three points behind Wenatchee

Vernon Winter Carnival 60s theme a hit with residents

Milestone 60th anniversary Carnival wrapped up Sunday

Kelowna’s Family YMCA opens doors on Family Day

The entire day was free for the community

LETTER: Sick of narrow-minded response to homelessness in Vernon

Give Your Head A Shake, Vernon I have been reading lots of… Continue reading

Canucks acquire forward Tyler Toffoli from Kings in push for playoffs

Vancouver sends Schaller, Madden, pick to L.A.

South Okanagan woman reflects on prestigious win at Westminster dog show

“Polly” the Scottish deerhound was crowned best in breed and reserve best hound.

RCMP report woman arrested after ramming police cruiser

Suspect wanted for crimes allegedly committed in Kelowna, Salmon Arm and 100 Mile House

New highway proposed between Alberta and B.C.

The route would connect Red Deer to Kamloops

Wet’suwet’en and B.C. government have been talking Aboriginal title for a year

Coastal GasLink says it has agreements with all 20 elected First Nations councils along the 670-kilometre route

Trudeau tightlipped on plan to end protests ‘quickly and peacefully’

The prime minister, who cancelled a two-day trip to Barbados this week to deal with the crisis at home

B.C. budget expected to stay the course as economic growth moderates

Finance minister said ICBC costs have affected budget

Most Read