Scott Hutton, Chief, Consumer and Research
Canadian Radio-television and Telecommunications Commission (CRTC)
Check against delivery
Good morning and thank you for inviting us to appear before your committee.
Before I begin my remarks, I would like to thank the Algonquin Anishinaabeg People for having me here as an uninvited guest on their unceded, unsurrendered territory. I would also like to thank them for being stewards of the land and waters in this area since time immemorial.
I am joined today by my colleague Nanao Kachi, Director of Social and Consumer Policy.
As you know, the CRTC is an independent, administrative tribunal that regulates the Canadian communications sector in the public interest. We hold public hearings on telecommunications and broadcasting matters, and make decisions based on the public record of those hearings.
In the telecommunications industry, our work focuses mainly on Internet and cellphone services. We promote choice and affordability for Canadians, encourage investment in reliable and high-quality networks, and work to improve access to telecommunications services in Indigenous, rural, and remote communities.
These goals were brought into greater focus in February 2023 when the government issued a policy direction to the CRTC to renew its approach to telecommunications. It directed us, among other things, to act quickly to provide clarity to the market, and to consider how our decisions would promote competition, affordability, consumer interests, and innovation.
We know it is not just the market that needs clarity. Canadians need clear, concise, and easy-to-understand information that empowers them to make informed decisions and choose plans that best fit their individual needs.
Let me share what the CRTC has been doing to ensure that service providers are giving Canadians clear information, and to make it easier for consumers to switch cellphone and Internet providers.
In 2013, we created a Wireless Code to ensure that each customer receives a copy of their contract from their provider. This must include a Critical Information Summary, which is a two-page breakdown of all the key contract terms. The prices and terms-including what voice, text, and data services are included and any limits on those services that could trigger overage additional charges or fees-must be clear. In addition, wireless contracts cannot lock in customers for more than 24 months and customers must get a notice 90 days before the end of the contract. Contracts must also remind them that they can switch plans or providers without penalty.
Since then, the CRTC applied similar obligations to Internet service providers, requiring them to provide their customers with clear and easy-to-understand information in their contracts.
Despite these measures, disagreements can occur between a customer and their service provider that they cannot resolve themselves. That's why the CRTC set up the independent Commission for Complaints for Telecom-television Services, the CCTS. I understand the committee heard from the CCTS last week. They handle thousands of complaints by customers every year, and can require companies to reimburse their customers.
The CRTC continues to take further action to strengthen consumer protections in Canada. We are always looking at best practices in other countries, and will soon be launching a consultation on whether we should implement something similar to the broadband labels that the Federal Communications Commission, or FCC, has required in the U.S. The labels, which have a common look and feel to nutritional labels, provide easy-to-understand and measurable data on Internet speeds and network quality.
We intend to examine how to measure service quality and typical download and upload speeds during peak periods. We want to make sure that Canadians can compare "apples to apples" when shopping for Internet services. We are also mindful of the accessibility needs of Canadians, so we are working diligently to ensure that everyone has equitable access to that information.
Any action that the CRTC takes will build on the foundation of protections that are already in place. The CRTC has a solid track record of taking action to make sure that Canadians can benefit from lower prices and more choice, while promoting investment in telecommunications networks. Additionally, we are making sure that Canadians have the information they need when shopping for services. We look forward to continuing this important work.
Thank you again for the opportunity to appear before you today, and we look forward to your questions.
