Distance-based postage among recommendations to save Canada Post

CALGARY - A new study is delivering some potential solutions to Canada Post's woes, including a recommendation that postage rates should vary depending on where the mail is going.

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The paper by the School of Public Policy at the University of Calgary says the outlook for the Crown corporation isn't encouraging with the status quo.

It notes that the number of letters delivered dropped by nearly a quarter between 2006 and 2013, and the rise in parcels sent to online shoppers hasn't been enough to offset the decline.

Meanwhile, the number of addresses in Canada is rising by nearly a quarter million a year.

Canada Post charges the same prices to all customers, even though delivery in urban areas is cheapest.

The study recommends Canada Post charge different prices based on the type of sender, the volume and the mail's destination.


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