The company is offering unrestricted 4.9 cents/minute calling anywhere in Canada for commercial and residential users.
The rate into the U.S. is 5.9 cents/minute.
Marketing the service in the North is a British Columbia company, Canadian Travel Promotions of Port Hardy.
CTP's Lloyd Olson said the service is similar to that offered by Sprint or At&T in the South.
"The only reason those companies aren't in the North is that the market is too small for them to bother," said Olson.
"There is no catch. Long distance service is deregulated and customers can use the carrier of their choice."
The firm is marketing the service on the internet and by e-mail to businesses.
NorthwesTel was closed for the holiday on Monday and not available for comment.