CenturyLink Plans To Increase Rates In Minnesota

The dominant landline phone service provider in Minnesota, CenturyLink recently gained flexibility for increasing the price of their offerings in the State. CenturyLink had petitioned the Public Utilities Commission (PUC) last summer in order to change their regulatory status and enable them to be considered as a competitive market telecom provider.

The telecom giant stated that they needed this change to protect themselves from the increasing competition from other cable TV providers and wireless carriers. The PUC unanimously voted in favor of the petition from CenturyLink but five telephone exchanges in the state, served by the telecom company were excluded from the petition.

This means that CenturyLink will be able to increase the rate of their best internet offerings in 104 telephone exchanges of the state out of the total 109 while the excluding five exchanges are currently placed under traditional rate-of-return regulation. The excluded telephone exchanges are in Hanover on the western edge of the Twin Cities, Sabin, southeast of Moorhead, Glenville, near Albert Lea, and in the Iron Range towns of Biwabik and Cook. Reports indicate that there are approximately 2,000 subscribers in these five excluded telephone exchanges.

Monroe, La.-based CenturyLink said, “We are pleased the commission has recognized the competitive landscape in 104 Minnesota exchanges. Once the order is final, we will determine any next steps regarding the other five exchanges.”

The Minnesota Department of Commerce had earlier stated that the competitive analysis of CenturyLink is flawed in the case of a number of telephone exchanges. In a statement, the Commerce Department indicated that they will continue their works “to ensure that all Minnesotans have access to affordable, quality basic phone service, wherever they may live in the state. Many areas now have competitive choices for phone service. But some areas still do not.”

Ben Wogsland, a spokesman for Attorney General Lori Swanson said, “We’re frankly terribly disappointed.” He added that many residents in the state still heavily rely on landlines. He said, “And there are many areas in greater Minnesota where cell coverage is very spotty.” Reports claim that CenturyLink might be increasing the rates by increments of about $2 per month to a cap of $25 a month until the date, Dec. 31, 2022.

CenturyLink is also the fastest internet provider in many states and they have been delivering the best internet service to their customers for reasonable prices.