Regulatory Recovery Surcharge for Canadian corporations

Graham Johnston johnstong at
Tue Mar 14 14:41:03 UTC 2017

We don't explicitly pay a charge like this for the transit bandwidth we purchase in Toronto from an international carrier, and I doubt that it is built into the cost without any mention of it. I've never heard of such a thing.

Graham Johnston
Network Planner
Westman Communications Group
johnstong at

-----Original Message-----
From: NANOG [mailto:nanog-bounces at] On Behalf Of Eric Dugas
Sent: Tuesday, March 14, 2017 9:04 AM
Subject: Regulatory Recovery Surcharge for Canadian corporations

I recently negotiated a new contract with a tier1 for IP transit in Canada and
just got the invoice. I saw a "new" Regulatory Recovery Surcharge of 10% the
MRC (before taxes) that I've never seen before. Do any of my Canadian fellows
on this list are paying this outrageous surcharge?  


Other than saying "it's in the MSA", our rep, their tax and billing department
are not useful at all. The actual rate is not specified anywhere in the MSA or
in the contract.  

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