The Standing Committee on Industry and Technology is set to reconvene this week to scrutinize Rogers’ plan to increase cell phone prices, which iPhone in Canada first reported before the news percolated across the country.
This move comes in the wake of Rogers’ announcement to raise prices starting January 17, a decision that contradicts earlier promises of lower rates following its takeover of Shaw. We also told you that Rogers Ignite bundles and Shaw home phone, TV and Internet is also increasing in price as well.
Rick Perkins, Member of Parliament, highlighted the issue on X, stating, “Trudeau’s Industry Minister said that Rogers’ takeover of Shaw will lead to lower prices. The opposite is happening. He must answer for the merger he approved.”
Perkins, along with four other MPs, signed a letter to Joel Lightbound, MP and Chair of the Standing Committee on Industry and Technology, expressing deep concern over the rising costs for Canadians.
The letter, dated January 8, 2024, emphasizes the increasing financial burden on Canadians, citing 40-year inflation highs, high housing costs, and soaring grocery prices. “Cell phone bills are again on the rise in Canada,” the MPs wrote, noting that Bell and Telus have not commented on potential price increases.
The MPs criticized the Liberal government’s approval of the Rogers-Shaw merger, which they believe has reduced competition in Canada’s telecommunications sector.
“The looming price hike by Rogers appears to be the first material impact of Canada’s cell phone market becoming less competitive,” the letter stated. It also accused the CEO of Rogers and the Liberal Minister of Industry of misleading Canadians by promising lower prices post-merger.
The letter calls for an urgent study on the increasing costs of cell phone packages, citing contradictions to the testimony of wireless CEOs and statements made by the Liberal Minister of Industry. “Canada’s telecommunications sector needs more competition, not less,” the MPs asserted.
“Pursuant to Standing Order 106(4), the committee must convene at the earliest opportunity to discuss an urgent study on the increasing costs of cell phone packages in direct contradiction to the testimony of wireless CEOs before this committee January 27, 2023, and statements made by the Liberal Minister of Industry,” said the letter.
It’s worth noting that the Industry Committee had advised the government to reject the Rogers-Shaw merger, but the recommendation was ignored. Peter Nowak points out, “the feds – the same government whose former Industry minister now works for Rogers – ignored the committee.”
Former Industry Minister Navdeep Bains was hired by Rogers as their Chief Corporate Affairs Officer in April 2023. He stepped down from the federal Liberal Party suddenly in January 2021, claiming he wanted to spend more time with family, but we guess two years was more than enough.
