GATINEAU, Que. - The federal regular has an obligation to Canadians to ensure efforts by Internet providers don't unjustly discriminate against certain classes of users when they manage their networks, consumer groups said Monday.

In a presentation that drew a line in the sand between end users and the big Internet service providers, the Consumers' Association of Canada, representing several public interest groups, told CRTC commissioners it was their responsibility to ensure access is fair and equal.

The Canadian Radio-television and Telecommunications Commission called the one-week of hearings to determine under what conditions providers such as Bell (TSX:BCE), Rogers Communications (TSX:RCI,B), Telus (TSX:T) and Quebecor (TSX:QBR.B) can control flow of traffic on their networks.

The issue not only involves the speed on the Internet, but also raises concerns about anti-competitive practices and privacy, since certain management practices allows providers to discern the content being shared by users.

NDP digital affairs spokesman Charlie Angus said the hearings were critical because of the Internet's importance in the new economy.

"It sets a really bad signal if it's the telcoms that get to decide what's in the fast lane and what's in the slow lane," Angus said.

Providers say they need to be able to "manage the flow of traffic, particularly during peak hours, in order that the relative few users that require a lot of bandwidth can't clog up the pipeline and slow traffic for everyone else."

The one-week hearings began with testimony by two network managing firms that argued that providers need to ensure the vast majority of users are not disadvantaged by the few.

"An unmanaged network is not neutral," said Don Bowman, chief technology officer with Sandvine Inc., a Waterloo, Ont. network management firm.

"Certain bandwidth-hungry applications introduce delays into the network that prejudice" others.

But John Lawford, representing the consumers association and several public interest groups, questioned whether providers are using high-bandwidth peer-to-peer file sharing as a scapegoat for their failure to expand networks to meet demand.

Peer-to-peer is used to distribute large files, including software, academic files, movies, television programs and music, from computer to computer over the Internet.

Lawford said one service provider estimated peer-to-peer at about three per cent of network traffic, although it is growing.

"If three per cent is causing a problem, how finely tuned is your network?" Lawford asked. "Are we getting in Canada a good enough Internet, and the answer is no."

Lawford said he is not opposed to all network traffic management, but providers must first justify why it is necessary and receive permission from the CRTC.

And he said some forms of control, such as deep packet inspection (DPI) that allows providers to detect the types of content on the Internet, is a violation of privacy laws and open to abuse. He said providers can measure the traffic without resorting to such intrusive means.

The hearings continue until next Monday.