08
Aug
08

Government declines to regulate cellphone plans

Every once in a while this federal government passes up an opportunity to irritate me.  This is one of those times:

(Background: Bell and Telus will charge some customers $0.15 per incoming text message starting soonish.)

As it happens, Ottawa will not be regulating either Bell Canada’s or Telus Mobility’s pricing schemes any time soon, at least as far as text messaging is concerned.  Given the spectacular consequences of Alberta’s meddling in its bars’ pricing schemes (merely the first example that came to mind), I have a feeling this is a good thing.

“Given these undertakings by Bell Mobility and Telus, I would encourage consumers dissatisfied with existing plans to seek alternatives. The telecommunications market in Canada is dynamic — choice is available,” [Minister of Industry Jim Prentice] said.

He’s right, of course.  There are plenty of existing alternatives — Fido and Virgin Mobile, for example — and the feds’ recent auction of a 105MHz of the wireless spectrum ought to bring in even more.  Even those customers who can’t be bothered to switch providers can switch plans (well, I can’t speak for Bell, but I’ve done so several times and quite painlessly with Telus).

Speaking of Telus: I think this is a bad move on their part, and if I didn’t have a txt plan tacked onto my contract with them I’d probably switch to a competitor.  However, Telus Mobility have been mildly spectacular at serving this customer.  They have several times called me to let me know that I’m spending too much money with them, and to suggest that I switch to a different rate plan more appropriate to my use patterns.

Of course, customer service gets you only so far.  Revenue Canada does the same sort of thing when I forget a tax deduction, but they’re still taking my money under threat of force.

It’s that whole “free competitive market” thing.

New Democratic Party Chairman leader Jack Layton, however, has picked up where the Tories left off and seized the opportunity to irritate me with both grasping hands.

NDP Leader Jack Layton issued a followup statement Friday, calling on the government to implement legislation to protect consumers from the charges.

“Cellphone companies want to charge consumers 15 cents for each text message they receive, including spam,” said Layton. “Cellphone companies are gouging consumers, and our government stands back and watches.”

His language is dishonest, of course.  This isn’t a monolithic price-fixing scam affecting the whole market (unlike, say, farm subsidies) — it’s a gamble on the part of two agents in a competitive market (which is about to get even more so).  And as my previous mention of this matter makes clear, Ottawa didn’t stand back and watch: it came worryingly close to heavy-handed interference in the private matters of Bell and Telus.  That’s merely par for the course, though — we are after all talking about a politician.

What irritates me is the sheer gall of this hypocritical little man.  To suggest that the government spend its time and my money — when the Canadian job market has posted its worst losses in seventeen years and the government’s defence budget can’t keep up with inflation — investigating cell phone fucking pricing plans infuriates me.


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