The opinions expressed in this editorial are those of the author and do not necessarily reflect those of Decima Reports.  The CRTC’s deferral account decision – which mandates the incumbent phone companies to extend broadband into unserved areas – is again under criticism.  This time, though, it is from a competitive ISP that says its business will be severely damaged if the decision is allowed to stand. Barrett Xplore Inc. appealed Telecom Decision 2006-9 to the Governor in Council this month asking Cabinet to stay all parts of the decision that relates to the subsidy issue.  In its appeal, the company is essentially saying that allowing the incumbent telephone companies to use 95% of their deferral accounts, or about $620 million, will only serve to allow ILECs to entrench themselves in these regions and to further enslave rural and remote Canadians to monopoly service provision.  The deferral account ruling has now been appealed three times and one has to wonder whether the commission got this one right. It is laudable to extend broadband to unserved areas, but people living in these areas are going to benefit on the backs of urban consumers who paid into the deferral account.  As well, it doesn’t seem fair to give the vast majority of the money back to the ILECs to rollout broadband networks to these regions, given that they already have the money in the bank to do so, but have to date chosen to do very little in rural Canada.  While Barrett makes some solid points in its appeal and will likely be negatively affected if the deferral account decision is allowed to stand, one starts to think that maybe everything would have been easier if the CRTC had told the ILECs to give the deferral account money back to urban dwellers who paid into it.