65% French music quota has become ‘a symbol, a magic number, even a dogma,’ Astral says

Astral Radio and Cogeco Diffusion are calling on the CRTC to review its French-language music quotas rather than impose them as a condition of licence for radio stations. But the Association québécoise de l’industrie du disque, du spectacle et de la vidéo (ADISQ) says the broadcasters aren’t meeting the existing requirements. “It's past time to leave the irrational, the symbolic and the sacred and return both feet to Earth and confront harsh reality. This reality is that the gap is becoming deeper between the obligations of French-language music stations and the expectations of its francophone listeners,” Astral wrote in reply comments for a CRTC proceeding involving a licence renewal for one of its stations. According to CRTC regulations, all French-language music stations must devote at least 65 per cent of their broadcast week to French-language music and air at least 55 per cent French-language content from 6 a.m. to 6 p.m. on weekdays. On Dec. 17, the CRTC received a complaint from ADISQ that some stations, including Astral’s CKTF-FM and Cogeco’s CKOI-FM, were non-compliant with the regulations. ADISQ said the problem was caused by an “abusive” use of music montages—collections of songs remixed so they seamlessly switch from one to the next, and are counted as one song for regulatory purposes. ADISQ said the stations were offering montages made exclusively from English-language songs played almost in their entirety. But the pieces count only as one song, leading ADISQ to argue that the stations were playing more English-language content than permitted. The Society of Authors, Composers and Music Publishers of Canada (SOCAN) and the Association des professionnels de l’édition musicale (APEM) have come out in support of ADISQ’s complaint. On March 16, the CRTC opened a consultation on renewal applications for several radio stations across Canada, including the French-language Cogeco and Astral stations, which appeared to be non-compliant with radio regulations or their conditions of licence. In its notice of consultation, the commission said the stations appeared to fall below the French-language content requirements, in part because of the montages, and added that it intended to discuss adding length and frequency of montages as a condition of licence. In separate letters, the CRTC told Astral and Cogeco that their montages did not qualify, and that each song should count as one piece. The CRTC calculated that Astral’s French-language content represented 54.6 per cent of the broadcast week and 44.2 per cent for weekdays. It said Cogeco clocked in at 50.6 per cent of the broadcast week and 34.6 per cent on weekdays. At a hearing last month to review radio licence non-compliance issues, Cogeco and Astral maintained that their montages meet CRTC standards. "Our analysis showed that the music montages aired by CKOI-FM for the periods targeted complied with its regulatory requirements regarding French-language vocal music broadcasting. That being said, these music montages are in line with the tastes and expectations of our audience,” Richard Lachance, senior vice-president at Cogeco Diffusion, told the commission. In a March 21 letter to the commission, Astral wrote that the CRTC's interpretation of the regulations is different from the original interpretation, and that it should hold a consultation to clarify the rules. Hugues Mousseau, Astral’s manager of corporate communications, said in an interview the CRTC never provided a clear definition of what constitutes a montage. “What we’re asking the CRTC to consider is holding a hearing specific to the policy for commercial radio, with a specific interest in montages and quotas for francophone music,” he said. Mousseau said Astral would like to see a review in the short to medium term. “But it’s not up to us to determine the calendar or the schedule or to say whether it’s urgent or not. We will follow what the CRTC does … At this point the CRTC has shown no indication it’s moving in that direction.” But Solange Drouin, ADISQ CEO and vice-president of public affairs, said in an interview that the CRTC’s rules on montages are clear. They are meant to introduce new artists and materials through short clips linked together, he said. Drouin said that by calling for a regulatory review, Cogeco and Astral are trying to dodge a direct examination of the complaint. “We told the CRTC we can’t wait for a policy review before you take action because this abusive situation has a catastrophic impact,” she said. The radio regulations are scheduled for review in 2013. But Astral has argued that the existing regulations are out of touch with young audiences, who are migrating towards English-language radio and unregulated platforms. In its reply comments, Astral wrote that Quebecers listen to 62 per cent English-language content and 29 per cent French. “The only explanation is that the attachment to the 65 per cent quota is beyond rationality and logic. It has become a symbol, a magic number, even a dogma, that no believer is allowed to question,” Astral wrote. Astral proposed that instead of limiting all English-language content, the CRTC should limit non-Canadian content to 35 or 40 per cent. “Astral is profoundly convinced that the advantages that would result from the adoption of this new regulatory approach for the public, the French-language broadcasting system, and its participants and partners, would clearly outweigh the disadvantages.” Mousseau cautioned that Astral’s proposal is one suggestion among many and that it hasn’t been fully fleshed out. Cogeco added that the CRTC’s requirements are incongruous with the tastes of Quebec listeners. In its reply comments, Cogeco said that restricting montages would lower ratings for French-language stations, adding that imposing restrictions on montages for CKOI would make it the only French-language station with such limitations in the Montreal market. The broadcaster also said it is open to participating in a broader proceeding to review the regulations. “An overall review has become all the more necessary because the radio industry is currently undergoing significant changes,” Cogeco said in a release last month following the CRTC hearing. “The draw on francophone listener share to English-language radio and competition from other platforms, such as the Internet, that have little or no regulation, are resulting in a migration of listeners toward these platforms and having a harmful impact on the exposure and listenership of francophone music in general and on the vitality of the French-language music industry.” Lachance said in an interview that if the CRTC wanted to rule on montages as part of the licence renewal proceeding, any new measures should be temporary until a broader review is launched that would consider the current market conditions. Lachance added that a full review is not urgent, and should be left to the CRTC’s discretion. “What we’re saying is that the regulation is there, but there’s also a market that’s in full development and growth—we have to be able to adapt emerging markets to regulation,” he said. Lachance said Cogeco is now developing a proposal for montages, adding that it’s hard to say how any change would affect the market. But Drouin said she is not convinced that English-language montages are the key to the stations’ success. She said listeners like music, no matter the language, and the key is to present it well. “Francophone music, if it’s well-positioned and is presented in all its diversity—which don’t do—will have as much success as the music currently offered,” she said. “Generally, and unfortunately, are afraid of taking risks because they are public companies that must show positive results every three months ... but they haven’t demonstrated that content doesn’t work.” Drouin suggested that the commission consider every four minutes of montage as one piece. At the hearing last month, vice-chairman of broadcasting Tom Pentefountas said that a review of radio regulations would not be undertaken as part of the licence renewal proceeding. Final reply comments are due July 7. news@thewirereport.ca

65% French music quota has become ‘a symbol, a magic number, even a dogma,’ Astral says

Broadcast | June 7, 2011

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