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Portrait of Senator Pete Kelly Session:
State Capitol, Room 510
Juneau, AK 99801-1182
Phone: (907) 465-2327
Fax: (907) 465-5241
Send E-Mail

Interim:
119 N. Cushman St., Suite 201
Fairbanks, AK 99701-2879
Phone: (907) 456-8161
Fax: (907) 451-9293

Sponsor Statement for SB 52
Telecommunications Competition

Updated: May 14, 1999

Senate Bill 52 requires the Alaska Public Utilities Commission (APUC) to adopt regulations permitting local telephone competition in areas having 5,000 or more lines by July 1, 1999. History has proven competition gives consumers lower costs, increased technology, and more choices.

In 1996, Congress passed the Telecommunications Act allowing and promoting local telephone competition nationwide. The APUC exempted Fairbanks and Juneau from full local compettion beause of fears that competition might harm the existing phone monopoly (PTI). PTI was purchased in 1997 by Century Telephone, which has its headquarters in Louisiana. The purchase of PTI made Century the 10th largest phone company in the Unitied States. Century has since sold its local telephone services to Alaska Communications Systems and affiliated companies (pending regulatory approval).

The fears that promoted the APUC to delay full competition in Fairbanks and Juneau are the same fears that caused the APUC to delay long distance competition in Alaska for many years. As we have all seen, those fears were unfounded and long distance competition produced better quality, new services, and lower prices for consumers throughout the state.

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