news-record.com

GOVERNMENT

N.C. Senate tentatively OKs freeing phone prices

Article
Comments (2)

Thursday, June 11, 2009

(Updated 3:44 pm)

By
Associated Press

RALEIGH (AP) — Deregulation of the prices North Carolina consumers pay for landline telephone service could be approved as early as next week.

Legislation that allows AT&T and 15 smaller providers to cut loose from rate-setting regulations of household service was tentatively approved by the state Senate 44-0.

Landline telephone providers want the option to drop out of Utilities Commission price-setting oversight because cable, Internet and wireless rivals aren't similarly regulated.

The legislation would allow phone companies to set their own prices, except for stand-alone basic residential service. Rate increases for the basic service would be limited to inflation adjustments. Rural and urban customers must be charged comparable rates.

Advertisement | Advertise with Us

Comments

View Comments

This article has been closed to new comments. Comments are generally closed after 14 days. However, comments may be closed earlier at the discretion of the News & Record.

Inappropriate content? Please report abuse.

camelcityman27105

June 11, 2009 - 9:45 pm EDT

Bad legislation: The phone company rules again! When are lawmakers finally going to realize that corporations do not police themselves very well! State-controlled landline phone rates was one excellent way to keep prices low and affordable for customers. Just as federal deregulation of the airlines has not meant better service (many towns and cities were abandoned in the process) or competitive prices for travelers. So why should we expect anything different from legislation designed to allow the phone company to set prices freely? "Free market" pricing also eliminates any checks and balances designed to keep customer prices at sensible rates! I say that Raleigh should scrap this bill and keep the current deregulation in place!