TekSavvy won't pay Bell, Rogers more wholesale internet fees until they pay refunds

Networking cables and circuit boards are shown in Toronto on Wednesday, November 8, 2017. THE CANADIAN PRESS/Nathan Denette

TORONTO — TekSavvy Solutions Inc. says it's owed tens of millions of dollars in rebates from excessive wholesale internet fees and won't pay more to Bell or Rogers until the balance is settled.

TekSavvy's announcement comes a day after the Federal Court of Appeal ruled against Bell, Rogers and several other carriers that sought to overturn a 2019 regulator's order for them to slash wholesale rates retroactively and refund excess amounts collected over several years.

The CRTC's order was stayed last September by the appeal court, meaning the rates charged to independent ISPs didn't change and the big carriers weren't required to pay the rebates.

TekSavvy is the largest of Canada's independent internet service providers, which collectively share about 10 per cent of the market.

The company is based in Chatham, Ont., and its largest base of customers in Ontario, where Bell and Rogers are the largest internet service providers.

The carriers have mounted several challenges to the CRTC's rate decision, including court appeals filed Bell Canada and five of Canada's largest cable operators: Rogers, Shaw, Quebecor's Videotron, Cogeco and Eastlink.

This report by The Canadian Press was first published Sept. 11, 2020