Primus: Bell's Over Billing Not Tied To Real World Costs
UBB charges 'many, may times' the cost of delivery
by Karl Bode 07:40AM Monday Jan 10 2011 Tipped by thebaron
With Canadian incumbents convincing Canadian regulators
that usage-based billing was a good idea, Canadian consumers are now seeing all manner of rate hikes -- including Bell Canada trying to charge several hundred dollars for a 7Mbps DSL connection
. With incumbents now throttling and double dipping wholesaler bandwidth too, Bell competitors like Primus have been forced to follow Bell's lead
. As we've repeated, charging users up to $4.50 per gigabyte is a power play untied to real ISP economics, something Primus exec Matt Stein makes clear in comments to the CBC
. "It's not meant to recover costs," says Stein of Bell's new billing. "In fact these charges that Bell has levied are many, many, many times what it costs to actually deliver it." Ultimately, it's not about Congestion, either. Bell's move is about retaining power, socking it to competitors, and cashing in on Internet video.
Re: Canada has lost 3 million user accounts since 2006
said by cavemanISP :How about a link for that unlikely claim.
Canada has lost 3 million user accounts since 2006.
harper didn't like that facebook revolt so this is his plan to get rid of the rest of canada's internet....
said by singh01:NO NO NO NO NO NO!
Hopefully they need to team up with TSI, so they both have a better chance of removing the UBB or a high enough cap like 200GB.
Don't you know!?!? Removing regulation is meant to be good for consumers by lower prices and promoting innovation and improving speeds and services!
Nothing to see here. These are not the droids you're looking for. Move along.
Re: UBB Well, when it comes to electricity, at least on my Ontario bill, the reality is more like the current UBB. That is, a base rate plus usage.
That's because even if I use 0 kw/h in a billing period I still pay Debt Retirement Charge and a minimal amount of "Delivery" charge. Also, a "Regulatory Charge" (I just checked my last bill again.) Those charges therefore are unavoidable and generate a minimum bill.
They also rise in proportion to usage! If I use 400 kw/h I pay less of those charges than if I use 1200 kw/h. I don't know what the formula is. But I'll always pay a minimum.
It's not like the old days from Bob Rae and prior where you paid 4 cents kw/h and then multiply that by your usage and that was your bill.
Deregulation under Mike Harris and Ernie Eves and their Energy Ministers took care of that as people demanded that each category of charge and utility overhead was broken down into separate line items on our bills.
Careful what you ask for! But the mantra is that during decades prior that we were underpaying for Hydro and now we have to overpay to make up for the lost decades of upgrades and maintenance. It has to be done, but it won't be painless.
Then of course the HST now is calculated upon the total of everything (including the Debt Retirement which is controversial).
In the last billing period I used 453 kw/h and paid 77.10 all inclusive. Therefore that's a shade over 17.01 cents per kw/h including all fees and taxes, bottom line.
However if I used zero, I would still pay 20 bucks or more just to "maintain the lines." Just like UBB.
said by EUS:Do they charge you a reconnection fee for your power when you return?
Funny, my hydro has no flat rate. I shut off power in the summer, go away for 2 mths, there's $0 to pay.
I don't fill up on heating oil, I don't pay, again no flat rate.
said by EUS:Interesting. Here in Windsor EnWin charges a base meter fee per month, regardless of use as long as the account is active. Same goes for water, telephone and cable television.
I'm not disconnected, I power off the main.
Oil is on demand, when they pass by they try to fill, and the tanks are still full, no more oil goes in, they cannot charge.
So no flat rate, all usage based.
said by EUS:;)
Bonin' up on french is easy, and terrific fun with a french girlfriend.
| Nationalizing the electrical grid was probably the single most important contribution of Quebec's Quiet Revolution. The government spent a fortune buying out all the large private companies AND building huge hydro-electric dams to meet Quebec's growing needs for power.|
Result: Quebec has some of the lowest and most stable electrical rates in North America. No flat rate plus usage fee combo, no peak hour billing, reliable service, and very few blackouts.
Now applying UBB to electricity is understandable since the huge amount of power that goes through the electrical grid does have a direct effect on the overall condition of the equipment. In fact, we were the pioneers in 735 KV power line delivery systems.
But the Internet? Am I to believe that the flow of data -- which involves minute amounts of electrical current -- actually wears out network equipment? That just doesn't make sense! TekSavvy and Cogent for example can offer unlimited service with no ill effects on their equipment. What's so special about Bell that their infrastructure suddenly breaks down whenever I try to watch a YouTube video?
You know what? If there's an election this spring, I'm very tempted to run on a mandate to nationalize broadband just like Australia is doing right now! Wire up everyone across the nation, and sell access to this network to any and all ISPs out there, each billed ONLY on the speed they purchase, and NOT on how much data actually goes through the freakin' tubes!
It's actually pretty easy to run for office in a national election. You need to be a Canadian citizen 18 years and over, have at least 100 qualified voters nominate you as a candidate, and leave a $1,000 deposit with Elections Canada which will be returned to you once you've filed your donations and expenses reports.
Okay, enough ranting for now. I need a hundred nominators! And if I get elected, I will present a private member's bill to nationalize the last mile nationwide!
One catch though.
My biggest opponent in my riding is... Gilles Duceppe!
Watch my future television channel's public test broadcast!
»thecanadianpublic.com (click "Watch Live!")