DS 98-109
                                   
                   GRANITE STATE TELEPHONE COMPANY
                                   
           Request to Introduce Digital Subscriber Service
                                   
            Order Extending the Time for Review by 30 days
                                   
                       O R D E R   N O.  22,978
                                   
                            July 13, 1998
                                   
         On June 18, 1998, Granite State Telephone Company (GST
or Company) petitioned the New Hampshire Public Utilities
Commission (Commission) for authority to introduce Digital
Subscriber Line Service(DSL) pursuant to RSA 374:22 and RSA
374:26.  Along with the petition, GST attached cost support data
for DSL services. 
         DSL service, according to GST, provides high speed,
full duplex, point to point dedicated access over twisted copper
wire between customer locations and a data service provider (e.g.
Internet service provider). The proposed monthly rate for DSL
service is $58.00. In addition, GST proposes a one-time service
establishment charge of $32.70 per line and a one-time equipment
charge of $100.00 per line. 
         Staff has reviewed the petition and recommends that the
Commission extend the time for review. In Staff's opinion, the
cost support data attached to the Company's petition is only a
summary sheet of anticipated costs and potential demand for DSL
services.  On June 30, 1998, Staff made a request to GST for
supplemental information that would provide greater detail in
support of the Company's petition. To date, GST has not provided
such information. 
         Staff recognizes that DSL services can provide high
speed access to the Internet, a service that is in demand by
certain customers throughout New Hampshire. However, because the
petition does not include adequate cost support information,
Staff requests assurance that the cost to implement DSL service
is balanced by the revenues resulting from the demand for its
service. 
         We have reviewed the petition and Staff's
recommendation. We commend the Company for attempting to
introduce new services that potentially provide customers high
speed access to the Internet. However, we are concerned by the
Company's lack of detail in support of its proposal.  Therefore,
consistent with RSA 378:6, IV, we will extend the time for review
of this petition for 30 days and order GST to provide the
information necessary to insure that DSL customers or GST
stockholders fully cover the cost of providing DSL services.
         Based upon the foregoing, it is hereby
         ORDERED, that pursuant to RSA 378:6, IV the time for
review of this petition is extended for 30 days; and it is 

         FURTHER ORDERED, that GST file information necessary to
insure that either DSL customers or stockholders cover the cost
of DSL under the proposed rates.
         By order of the Public Utilities Commission of New
Hampshire this thirteenth day of July, 1998.


                                                                               
                Douglas L. Patch     Bruce B. Ellsworth      Susan S. Geiger
                    Chairman            Commissioner           Commissioner

Attested by:



                                
Thomas B. Getz
Executive Director and Secretary