Northwestel to offer low-cost internet under Connecting Families initiative

The CRTC approved Northwestel's packages on Oct. 24th

Northwestel will offer eligible customers access to two internet packages under the Connecting Families program.

The federal initiative asks internet service providers (ISPs) to offer low-cost internet plans for families who cannot afford access. Families receiving the maximum Canada Child Benefit and low-income seniors getting the maximum Guaranteed Income Supplement are eligible.

Northwestel’s first plan is a 300GB/$10 option with 15Mbps download and 1Mbps upload speeds. The second plan offers 40GB of data for $20/month with 50Mbps download and 10 Mbps upload speeds. Both plans charge $1 per gigabyte of overage. The

The Canadian Radio-television and Telecommunications Commission (CRTC) approved the packages on Tuesday. In its decision, the commission noted it received concerns about how the packages would impact competition, especially given the low cost.

The CRTC wrote the plans only apply to specific groups, and all customers eligible for the plans likely aren’t going to apply.

“The commission considers that the low-income households that are eligible for these packages are unlikely to be a significant source of revenue for competitors because they are likely accessing the most affordable internet services, if any.”

Northwestel adds itself to a list of several other ISPs also part of the program.

Image credit: Shutterstock 

Source: CRTC