Evidence of meeting #50 for Industry, Science and Technology in the 39th Parliament, 1st session. (The original version is on Parliament’s site, as are the minutes.) The winning word was deregulation.
A recording is available from Parliament.
Independent
André Arthur Independent Portneuf—Jacques-Cartier, QC
Even if it's made a part of a package that includes telephone?
Staff Lawyer, British Columbia Public Interest Advocacy Centre
Well, actually, no. Internet service is not regulated. Your local telephone is regulated. The terms are separate.
Independent
André Arthur Independent Portneuf—Jacques-Cartier, QC
And you also told us that the phone service might be disconnected if people wouldn't pay their $120.
Staff Lawyer, British Columbia Public Interest Advocacy Centre
That is something that I am concerned about in deregulation. Currently, under regulation, none of the monopoly companies can threaten to cut off your local telephone if you have unpaid long distance, for example. So currently, they could not. Under deregulation, there is a possibility that they could.
Staff Lawyer, British Columbia Public Interest Advocacy Centre
Yes, I'm afraid of that.
Independent
André Arthur Independent Portneuf—Jacques-Cartier, QC
Okay. It's always good to be afraid. It keeps you on your toes.
Ms. Léger, what services to the public do members of your coalition provide that telecommunications or cable companies are not providing? What value do your members add to the common good or Canadian society?
Spokeswoman, Quebec Coalition of Internet Service Providers
Naturally, in terms of value-added, I can mention that customer service is very close to the clientele. All of the members of the coalition that I represent have agents who answer questions quickly when they are called. So customer service is an aspect that makes a major difference. Moreover, we are offering an alternative, since the majority of us resell the infrastructure owners' services. A customer who calls one of the members of the coalition may be offered cable or high-speed service from a telephone company, along with the services of a third party or a VOIP service provider.
We listen to the customer and we tell him, if that is the case, that cable is faster in his region. In fact, we know that there are disparities depending on where someone lives, even in urban areas. Sometimes, ADSL may be faster or more reliable than cable, or the opposite. We are able to offer our clients the best service, because for us, offering one or the other is all the same. So we are able to offer a package objectively.
Independent
André Arthur Independent Portneuf—Jacques-Cartier, QC
Are you saying that the telecommunications and cable companies would charge you the same amount to provide you with their services? Would the Videotron and Bell fee structures be the same for residential services?
Spokeswoman, Quebec Coalition of Internet Service Providers
It depends on the service that we are using. Today, the cable and Bell wholesale rates are similar.
Independent
Spokeswoman, Quebec Coalition of Internet Service Providers
They are similar. Let's say that they are pretty close.
Independent
André Arthur Independent Portneuf—Jacques-Cartier, QC
Can you tell me the difference between similar costs and costs that are the same?
Spokeswoman, Quebec Coalition of Internet Service Providers
They are the same if I pay $19 per month per client to either Bell or Videotron.
Independent
Spokeswoman, Quebec Coalition of Internet Service Providers
There is a fee structure. The cost varies from $19 to $21, according to the number of subscribers we have with the company. A dollar a month per customer is not that important to us, if it means that we will keep a subscriber. We would rather meet the needs of our clientele, even if it costs us a dollar more per month to do so.
Independent
André Arthur Independent Portneuf—Jacques-Cartier, QC
So, you may actually take a loss in providing me with the service.
Spokeswoman, Quebec Coalition of Internet Service Providers
Of course.
Independent
Independent
André Arthur Independent Portneuf—Jacques-Cartier, QC
And that is a current practice in your company?
Spokeswoman, Quebec Coalition of Internet Service Providers
Indeed. We are responsive to the needs of our customers because an unhappy customer will vote with his wallet: we have competition. Our subscribers are loyal because they are happy with the service that we provide.
Conservative
The Chair Conservative James Rajotte
Okay, we have about two minutes, and Mr. McTeague is up next.
Mr. McTeague, you have two minutes.
Liberal
Dan McTeague Liberal Pickering—Scarborough East, ON
My question is probably for Ms. MacDonald or Ms. Léger.
If the government, in your view, or in my view, is determined not to use what we referred to in the original decision as a bright-light market share test, which was alluded to a little earlier, in my view, it should be using the Competition Bureau's test in terms of the kinds of criteria that are linked to the finding under subsection 34(2). I won't get into that.
Do you believe that we should be moving toward the kinds of criteria that would support a conclusion that sufficient competition should exist before deregulation? That's a very pointed question. If we're not going to use what the CRTC has proposed, what the TPR has proposed, then we should at least fall back, in the absence of a Bill C-41, which has been proposed by the government, on the particular criteria that require, above all other matters, that sufficient competition exist under subsection 34(2). Do you believe that we should be following that, or that the government ought to be following that, as a minimum test?
Spokeswoman, Quebec Coalition of Internet Service Providers
It should be a minimum test, because right now, what we're saying.... And it depends on what you mean by competition. For us, competition is actual service that you can use. For Internet access, you can use cable or high speed in one home. In telephony, it's very different. I wouldn't compare cellular phones with a traditional phone line, simply because, in my own home, even if I live in an urban area, my cell phone doesn't reach my home. You have to be careful about what is considered competition, and yes, the test should be done.