Jay Aspin, MP for Nipissing-Timiskaming says he has submitted a formal request to Canada’s Competition Commissioner to review the sale of Ontera to Bell Aliant.
“Our competition laws are very clear,” said Aspin. “Whenever a merger or sale may result in a substantial reduction of competition in an industry it is necessary to review the deal. While the sale of Ontera may not be significant with respect to the telecommunications industry in Ontario-at-large, the explicit effect will be that our region will go from having an open-access network that promotes competition and supports lower prices for consumers to a monopoly overnight.
"Competition will be reduced, prices will increase and more jobs will be lost," he added.
Aspin says he submitted the request to the Competition Commissioner to review the sale of Ontera to Bell Aliant given the particular and acutely adverse impact it would have to competition and prices in Northern Ontario.
The Competition Act empowers the Competition Commissioner to initiate the review of any proposed merger by a tribunal. If the tribunal finds that the merger would substantially reduce competition it may prohibit the merger from proceeding.
North Bay City Council unanimously approved a motion moved by deputy mayor Tanya Vrebosch on Monday night, which will see the City file a complaint with the Competition Bureau as well as the Canadian Radio-television and Telecommunication Commission, requesting an investigation into the sale of Ontera.
The motion argues that the sale will create a monopoly of telecommunication services in portions of Northeastern Ontario, therefore having a potential impact on service levels and the cost of those services.
