The Honourable Mélanie Joly, Minister of Industry and Minister responsible for Canada Economic Development for Quebec Regions, made the following statement:
"Canada's new government has a strong mandate to bring costs down and to build one, strong, Canadian economy - one that aligns with our core values as a nation. This mandate serves as the foundation on which all our decisions are made. In that effort, we are ensuring a fair, competitive business environment that keeps costs down for Canadians.
"In August 2024, the Canadian Radio-television and Telecommunications Commission (CRTC) made a decision to expand its mandatory wholesale access framework. This will immediately allow for more competition on existing networks for high-speed Internet services across the country.
"The CRTC is an independent and quasi-judicial tribunal that regulates the Canadian communications sector in the public interest. According to the policy direction, the CRTC is responsible for considering how its decisions affect all forms of competition and investment, as well as how they foster affordability and lower prices, amongst other factors. Their decision to uphold the mandatory wholesale access framework was based on extensive consultation with experts, the Competition Bureau, and over 300 public submissions.
"To that end, the government is declining to alter the CRTC's decision to expand mandatory wholesale access.
"Canadians depend on telecommunications services for every aspect of life. By immediately increasing competition and consumer choice, the CRTC's decision aims to reduce the cost of high-speed Internet for Canadians and will contribute toward our broader mandate to bring down costs across the board."
Backgrounder
The CRTC has determined that allowing the three largest telecommunications companies (Bell, Rogers, and TELUS), as well as smaller providers, to use the mandatory wholesale access framework will likely make high-speed Internet plans more affordable by encouraging competition. This approach allows these companies to access networks outside their traditional service areas at regulated rates, and offer new Internet plans to consumers, expanding choice and keeping Internet prices down.
On November 8, 2024, Eastlink, Cogeco, the Competitive Network Operators of Canada and SaskTel petitioned the Governor in Council to vary the CRTC's August 13, 2024, decision to exclude the largest providers from mandated wholesale access.
After careful consideration, the Governor in Council is declining to alter the CRTC's wholesale framework. The CRTC has committed to closely monitoring the Internet market and to making any adjustments necessary to support ongoing competition and investment. The regulator will ensure consumer benefits result from robust competition, along with continued investment in high-speed Internet infrastructure.
