By Brenda Flanagan
Correspondent
Here’s the BPU’s bottom line: “All I want is for the consumer to get what they pay for,” said BPU Commissioner Joseph Fiordeliso.
And telephone customers will be paying some 36 percent more to chat over Verizon landlines after the Board of Public Utilities voted to deregulate — or, as commissioners called it, reclassify — the phone giant’s landline services over the next five years.
“We need to make decisions. I for one believe that this matter has gone on for some time and it is time to move on,” said BPU Chairman Richard Mroz.
Mroz wanted to cross this particular issue off the BPU’s to-do list. Verizon’s request to reclassify its landline rates had languished since 2011 — sidelined by stiff opposition from consumer advocates who charged it’d hike landline rates for elderly, disabled users who depended on their old-style phones. But the BPU says the marketplace is moving away from old copper wire lines.
“Over three in 10 households have cut the cord in favor of wireless only service — a figure that has been steadily increasing,” said BPU Telecom Analyst Harold Bond.
Commissioners noted dissatisfied customers can shop around — find other companies — but the BPU will be watching how Verizon treats its customers overall.
“So I don’t think that can be over-emphasized, that we will be still be regulating this utility,” said BPU Commissioner Mary-Anna Holden.
Verizon’s landline rates will rise at no more than a buck a month over the next four years — and no more than $2 a month the fifth year. After that, the landlines will be deregulated.
“I think the board was clear about their decision. They need to weigh the competitive landscape in New Jersey, which is immense and is only growing every day, against the needs of consumers. I think they were clear consumer protections are staying in place,” said Verizon Media Relations Director John Bonomo.
But advocates fear the worst.
“We think it’s a bad decision and we’re concerned that it will hurt seniors and hundreds of thousands of residents in New Jersey who rely on affordable, reliable phone service,” said Evelyn Liebman, associate director for advocacy for the AARP New Jersey.
“A lot of towns in Cumberland, Salem County, Burlington County and a lot of the shore towns have issues with copper wire service — and they don’t have cell phone alternatives so this will be a problem for them,” said New Jersey League of Municipalities Staff Attorney Ed Purcell.
Despite the unanimous vote, this matter is not over. Advocates say they will be going through this agreement with attorneys and may well file a legal appeal.