CRTC ruling allows Bell to implement usage-based internet billing

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Thursday turned out to be a nightmarish day for internet junkies across Canada, as the CRTC ruled that both Bell can proceed with plans to charge broadband customers per gigabyte of data consumed. Known as usage-based billing, the CRTC granted Bell permission to go ahead with the changes on the condition that it does not charge usage-based rates to wholesalers until all of its retail customers are switched over to usage-based plans. Bell did away with uncapped data allotments in 2006 and the vast majority of its retail customers are presently on usage-based plans. If and when all consumers are on the new plans, Bell will be able and willing to impose a cap of 2GB, 20GB and 60GB on its 512Kbps, 2 Mbps and 5Mbps services. Anyone who exceeds the cap will have to pay $1.12 per GB up to a maximum of $22.50. Exceed 300GB and pay an additional $0.75 per GB. Many wholesalers are crying foul over the ruling as it gives Bell an even greater advantage over its partners wholesales and significantly reduces competition in the broadband market as it will force rates to be raised. Bell has yet to comment on the ruling.

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