Consumer groups demand CRTC address complaints over 'so lame' $25 basic TV packages

Consumer advocacy groups are demandingimmediate action by the CRTC to address the flood of complaints pouring in about the new$25 basic TV packages.

The Consumers' Association of Canada says it has asked the federal broadcast regulator to holda hearing to examine the problem and come up with abetter dealfor Canadians.

But there will be no quickaction according to the CRTC, whichsays itprefersto wait and seehow its mandated TV packages pan out over time.

The commission's stancehas further infuriated consumer groups. "We've waited and we've seen. And what we see is so lame," says Josh Tabish with Open Media, an advocacy group for telecom consumers.

• CRTC flooded with complaints about new $25 skinny basic TV package

• $25 skinnyTV packages called a 'ripoff' as industry 'stares down' CRTC

• CRTC gives CCTS expanded mandate to cover TV provider complaints as well

Great expectations

Both the CRTC and the Consumers'Associationhave been inundated with hundreds ofcomplaints from disgruntled Canadians about the new TV packages.

Association president Bruce Cran says many of the gripes his group has receivedinvolve the high price of the plansonce extra fees are included.

"People don't like what they're seeing there as far as value is concerned," he says.

People had high hopes for the new CRTC rules that proposed to"maximize choice and affordability for Canadian TV viewers."

The commission had mandated that by March 1service providers must offer a basic TV package for $25 or less. They also had to let customers top up the plan with individual pick-and-pay or small channel bundles.

But many TV customers are finding the costs for the new deals can skyrocket.The $25 packages often exclude routine discounts, but include extra fees for necessities such as a digital TV box rental.

And some of the added individual or bundled channels come at a high price.

Need to fix a 'bad mistake'

Cran believes many of the TV providers are purposely making the basic packages unattractive, because they don't want customers paring down their TV plans.

So the Consumers' Association of Canada has askedthe CRTCto holda hearing on the topic, just like it did when laying the groundwork for the $25 basic packages.

Cran wants the commission to better clarify the new rules so that TV providers are forced to offer Canadians more attractive deals.

"We believe in accountability," he says. "The CRTC has made a bad mistake here."

Tabish with Open Media agrees. He says the cable companies have taken advantage of the unclear CRTC regulationsto keep gouging Canadians.

"The telecom providers used every trick in the book to make [the new deals] as unpalatable as possible," he says.

• New $25 basic TV package: A deal many consumers simply won't want

• Bell tells staff to downplay new $25 basic TV package ordered by CRTC

He points in particular to Bell Canada, which is demanding that customers purchasing theFibeTV $25 Starter pack also get Bellinternetservice plus rent a PVR. An online customer service rep with the company said the actual cost for the basic package totals $119.90 a month.

"This is so against the spirit of the rules," saysTabish."The commission should have done more to make sure price was really nailed down."

Bell has told CBC News it complies withCRTCregulations.

Wait and see approach

Despite the cries for action, the CRTChas noplans to do anything soon. Cransays the commission has told him it wants to monitor the situation for about six months.

CRTC spokeswomanPatricia Valladaotold CBC News, "We have to give it time."

She also isn't overly concerned about the mounting complaints pouring in to the CRTC 587 at last count since March 1. She points out that the commission gets just as many complaints about unwanted telemarketing calls.

"It's just day-to-day business," she says.

Valladao adds that consumers must also understand that the new packages won't work out for everyone.

"What you think is a value for you might be different than what's a value for your neighbour," she says.

Indeed, CBC News did hear from a few contented TV customers on Thursday during an online forum on the issue. They said they signed up for the basic $25 package and are saving money.

But we've also heard many complaints from people who hoped to switch but find the new deals are less attractive than their current TV plans.

For them, there appears to be few options.

The federal government says it won't get involved. "It is up to the CRTC to analyze the situation and take the appropriate action, if required," said Heritage Canada spokesman Tim Warmington in an email.

So, for now, dissatisfied customers either have to lower their expectations or try to negotiate abetter TV deal on their own.

Commission spokeswomanValladao recommends this. "People have to negotiate and shop around," she says.

But if that's the case, thenone might ask, what was the point of the newCRTC regulationsin the first place?