Cable / Telecom News

SaskTel to hike rates, boost service


REGINA – SaskTel customers can look forward to higher rates and enhancements to the company's 4G network in 2012.

The provincial telco said Wednesday that it has filed an application with the CRTC to increase rates for customers in its high cost serving areas (HCSA) in accordance with the Commission’s obligation to serve decision issued in May.   That decision allows local HCSA rates to rise to an average of $30 per month by June 1, 2013, in order to reduce the amount these rates are subsidized from the national contribution fund which subsidizes high cost rural and remote consumer services. 

SaskTel confirmed that it will increase its rates between $1.18 and $1.90 each year in three equal increments for its E, F, and G rate bands.  The first increase will come into effect on February 1st, and the company said that it will ask that the subsequent increases be effective June 2012 and June 2013.  Rates may then be increased by inflation beginning June 1, 2014.

“Over the past number of years, the CRTC has moved to reduce the level of subsidy for local service in high cost serving areas”, said president and CEO Ron Styles, in a statement.  “Following an extensive public hearing in 2010, the CRTC concluded local telephone rates in rural and remote areas should be raised to an average of $30.00 and that such levels would be affordable.”

In other company news, SaskTel said it has expanded its 4G wireless network to 11 more locations across the province plus made engineering enhancements that include 4G light pole towers and cellular on wheels (COWS).

The upgrades have provided an approximate 50% overall capacity improvement for customers, with call drops reduced to under 1% and call completions at 98%, SaskTel said.  Improvements to the network are scheduled to continue throughout 2012.

www.sasktel.com