The CRTC ordered telecommunications carriers to create deferral accounts from urban residential telephone service revenues.
It later directed that these funds be used to improve accessibility for persons with disabilities, expand broadband coverage, and distribute remaining amounts to subscribers as credits.
Bell Canada, TELUS, and consumer groups appealed the CRTC's authority to make these allocations.
The Supreme Court of Canada dismissed the appeals, holding that the CRTC's creation and use of the deferral accounts was a reasonable exercise of its rate-setting authority under the Telecommunications Act, which requires it to balance the interests of consumers, carriers, and competitors while implementing national telecommunications policy objectives.
