Conservative government emphasizes interests of consumers in response to CRTC

OTTAWA--Dean Del Mastro, parliamentary secretary to the minister of Canadian Heritage, says the government is taking the interests of consumers into consideration as it reviews the CRTC's recommendations to the government, issued Tuesday. The CRTC’s report to cabinet Tuesday issued three recommendations to the Conservative government following its proceeding on group-based licensing for private television services. The report to cabinet followed the CRTC’s first report, released Monday, which proposed a system for value-for-signal negotiations between private broadcasters and broadcasting distribution undertakings (BDUs), or cable and satellite television distributors, pending approval by the Federal Court of Appeal. The CRTC's report to cabinet recommended that the government amend the Canadian Radio-television and Telecommunications Commission Act to encourage consumer groups’ participation in CRTC proceedings. The commission said the government should amend the act “to clarify that the Commission has the power to award interim or final costs and incidentals to participants in broadcasting proceedings before it.” “I think this is something going to take into consideration,” Del Mastro told The Wire Report. Del Maestro noted that groups and individuals are increasingly using technology to communicate with the CRTC. “There is a great opportunity to make use of so that people don’t have to go through undue expenses or take days out of their schedules to have their opinions heard by the CRTC.” The CRTC also recommended that the government issue an order-in-council to establish a “self-regulatory body” for broadcast distribution undertakings (BDUs), saying that Canada has not had such an association since the Cable Television Standards Council (CTSC) ceased operations in April 2006. “In the Commission's view, consumers would benefit from a single point of contact for all telecommunications and broadcasting distribution concerns,” the report said. The CRTC said most BDUs often provide bundled telecom and broadcasting services, and that, “in light of the consumer dissatisfaction expressed in this public proceeding , it would be appropriate to provide consumers with a similar avenue to raise issues and concerns related to broadcasting distribution services.” It recommended that, under the order-in-council decision, distributors would establish an independent, self-regulated body “to address complaints regarding broadcasting distribution services, and that this self-regulatory body work with the CCTS to provide consumers with a single point of contact for consumer complaints.” But Del Mastro said he does not believe the recommendation for a BDU self-regulatory body is “a position put forward by consumers.” He said the government will be considering the report's findings, but will give special attention to the concerns of consumers. “Cabinet will obviously consider , but what I think we’ll be focusing on in the report is on what consumers said about value-for-signal or a fee-for-carriage regime, and what their feelings were,” he said. The CRTC also recommended that the government take additional steps to help meet the Aug. 31, 2011 deadline for digital over-the-air broadcasting. The commission recommended that the government coordinate a digital transition implementation plan with “trilateral discussions” between the Department of Industry, the Department of Canadian Heritage, and the CRTC. The government should also provide support for the CBC’s digital transition plans, the commission said. “The Government should position the digital transition as a key part of Canada's digital economy strategy set out in the Speech from the Throne on 3 March 2010, and the Federal Budget on 4 March 2010,” the commission said. It added that the government should fund and coordinate a “national consumer education and awareness program” to ensure that Canadians are informed about how to access over-the-air digital broadcasts. A working group that would consult with stakeholders would assist the consumer awareness program. The CRTC said it is currently examining whether regulatory measures are necessary to ensure consumer awareness of the transition to digital broadcasting, and that it is preparing an estimate of the number of Canadians who could lose television services as a result of the transition. Del Mastro said the government is considering how to proceed on the issue, but ultimately the responsibility lies with broadcasters and distributors. “There certainly has been a number of plans brought forward for consideration,” he said. “I think with respect to the actual digital transition itself, broadcasters have a responsibility, as mandated by the CRTC, to broadcast their signals over the air.” Prime Minister Stephen Harper also reacted to the CRTC’s report on value for signal during Parliament's Question Period Tuesday. “The CRTC has delivered some recommendations and is taking this matter to the courts for further opinion, and we will watch for the outcome of those deliberations,” Harper said. But he stressed that that the government has “concerns with taxes or fees imposed upon consumers,” alluding to the possibility that value-for-signal negotiations between broadcasters and distributors could result in higher cable bills. Following an appearance at the Commons Standing Committee on Official Languages Tuesday morning, Heritage Minister Moore told reporters that the request to the CRTC for the report was to help the government determine the best interest of consumers. “There’s going to be a good healthy debate about , and our government is studying the report and how we can best respond to the interests of consumers,” he said. kfournier@thewirereport.ca

Conservative government emphasizes interests of consumers in response to CRTC

Broadcast | March 23, 2010

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