The rural areas—and this is an important point—have not been deregulated. They still benefit from CRTC regulations and standards that are currently in effect. It's the status quo.
So, we are applying our test to the market, as it currently exists. Cities like Toronto and Vancouver could benefit from deregulation when this test is applied by the CRTC and put into effect. So, we are giving the CRTC a tool with which to expedite deregulation in the urban centres, where there is already healthy competition.
As regards areas where there is no competition—in other words, where there are only one or two players—we will not be applying that test. I hope that we will one day be in a position to create competition and deregulate those markets. It's in the interest of consumers, so much so that according to one study, a 1 percent drop in rates in the local telephone service market, following deregulation, would affect approximately 60 per cent of markets in Canada and result in annual savings of $29 million a year for Canadians. That's a lot of money. That's the reason why we want consumers to benefit from this competition as quickly as possible.
We have to decide whether we are going to allow that deregulation to occur immediately or later. Should we apply the 3-3 test or the market share test?
We have decided to apply the 3-3 test, which is simple and non-arbitrary, to allow the CRTC and markets to apply it where there is competition, so that consumers can benefit and save money.