Canada’s telecommunications regulatory body has announced that it will prohibit telecom companies from imposing charges on customers for plan cancellations, changes, or activations. This move aims to facilitate easier switching between internet and cellphone plans, enabling consumers to take advantage of better deals without unexpected fees. The new regulations are set to take effect on June 12.
Additionally, the Canadian Radio-television and Telecommunications Commission (CRTC) plans to introduce more measures to enhance consumer protection, making it simpler for individuals to shop for, compare, and select plans. Following consultations initiated by the CRTC in late 2024 to empower cellphone and internet users, the commission sought feedback on potential modifications related to notifications, self-service options, and fees.
The CRTC is considering initiatives to ensure customers are informed about the expiration of their plans or discounts to prevent billing surprises. Exploring self-serve alternatives for plan changes or cancellations is also on the table to streamline these processes for consumers. These proposals were prompted by amendments to the Telecommunications Act by the federal government, mandating the implementation of new consumer safeguards by the CRTC.
Vicky Eatrides, Chairperson and CEO of the CRTC, stated, “We are taking action to give Canadians more control over their internet and cellphone services.” The decision to eliminate extra charges for plan activations, changes, or cancellations enables consumers to switch to more favorable options without incurring additional costs.
Separately, the CRTC is evaluating whether service providers should be obligated to present specific details about home internet plans, such as pricing and speed, through a standardized label system. This approach, likened to food nutrition labels in supermarkets, aims to improve consumer understanding when selecting home internet packages. A hearing on this proposal was held in June, with experts supporting the potential benefits of enhancing consumer awareness in this area.
In a related development, the CRTC will conduct a public consultation to review consumer protection regulations, including the Internet Code and the Wireless Code, with the objective of merging them into a unified code for simplification and clarity.
