Vicky Eatrides, Chairperson and Chief Executive Officer
Canadian Radio-television and Telecommunications Commission (CRTC)
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Introduction
Good afternoon and thank you for inviting us to appear before your committee.
Before I begin, I would like to acknowledge that we are gathered on the traditional, unceded territory of the Algonquin Anishnaabeg people.
I am joined today by my colleagues, Scott Hutton, the Vice-President of Consumer, Analytics and Strategy, and Scott Shortliffe, our Vice-President of Broadcasting.
We are pleased to be here to update the Committee on our implementation of the Online Streaming Act. Before we get into Committee members' questions, perhaps I can share a brief overview of the CRTC and our work, and then give you some details on our progress.
Overview of the CRTC
So, let's start with a quick overview of the CRTC. As you know, we are an independent, quasi-judicial tribunal that regulates the Canadian communications sector in the public interest. We hold public consultations on telecommunications and broadcasting matters and make decisions based on the public record.
The Commission consists of nine members: a Chairperson; a Vice-Chairperson for Broadcasting; a Vice-Chairperson for Telecommunications; and six regional Commissioners who are located across the country. The Commission is supported by a team of expert staff that help us make informed decisions.
And we are moving quickly to make those decisions because we know that Canadians and businesses need certainty. At the same time, as Parliament would expect, we are consulting broadly before making these major decisions. We are listening to diverse voices to better understand how changes in the communications landscape affect Canada's broadcasting system.
Promoting competition and affordability in telecommunications and empowering consumers
I know that we are here to talk about broadcasting, but let me just briefly touch on some of our other major lines of work, namely, promoting competition and affordability in telecommunications and empowering consumers.
In our meetings with Canadians across the country, we have heard how critical high-quality Internet and cellphone services are for employment, healthcare, education, safety, connecting with loved ones, and so much more. We have also heard what happens when there is a lack of meaningful connectivity. And those stories are troubling.
To address this, we have helped provide Canadians with more choice for Internet and cellphone services by allowing competitors to sell plans using the networks of large telecommunications companies.
And we are seeing positive movement in the market. For example, according to Statistics Canada, prices for cellphone services decreased by 16.7% between 2023 and 2024.
At the same time, we want to ensure that we have a healthy and innovative industry. So we have put measures in place to make sure companies keep investing in high-quality networks.
Making sure that Canadians have access to high-quality networks and choice is one part of the equation. The other part is making sure that Canadians can easily find those choices, switch to plans that best meet their needs, and are not surprised by higher bills.
Last year, we launched a comprehensive Consumer Protections Action Plan to address these issues. This is a crucial area of our work that will continue to be a focus for the CRTC.
Modernizing Canada's broadcasting system
So that is a small glimpse into our work on the telecommunications side. But I know the Committee's focus for this meeting is on the broadcasting side.
As you know, Parliament gave the CRTC a major task when it entrusted us with implementing the Online Streaming Act.
The Act requires us to modernize Canada's broadcasting framework and ensure that online streaming services make meaningful contributions to Canadian and Indigenous content.
Modernizing the decades-old regulatory framework is no small task. The changes that are required are substantial and complex.
Given this responsibility, we responded within days of the passage of the bill by launching a regulatory plan to facilitate participation and increase predictability.
And we have been making progress on that plan.
We have launched 15 consultations and held four public hearings. On those four public hearings, we received over a thousand written interventions and heard oral presentations from over 300 interested parties.
We know that following these public proceedings, people are eager for our decisions. We have issued seven major decisions so far that set out the foundation of our future broadcasting framework. And other major decisions are coming soon.
Decisions and ongoing consultations
One of our first key decisions was on base contributions, which helped bring online streaming services into the Canadian broadcasting system. That decision was based on more than 360 written submissions and over 120 presentations made during a three-week public hearing.
Based on the evidence provided, we determined that online streaming services should make initial contributions to the broadcasting system, and that those contributions should be directed to areas of immediate need. This includes local news on radio and television, French-language content, and Indigenous content. The decision will result in an estimated $200 million annually flowing into the broadcasting system.
And that decision was just the beginning.
Over the summer, we issued decisions to support local news on radio and television, particularly in smaller markets where there are fewer options. We know how important news is. We hear this from Canadians across the country and we know that Committee members do as well.
While issuing those decisions on news, we have also been holding public hearings.
The first hearing, in May, was three weeks long and focused on the definition of Canadian content for television and streaming. We heard a wide range of views on how the system can better support and promote Canadian stories, and on what investments are required to encourage a variety of productions, and business, broadcast and distribution models.
We also heard about tools needed to support certain types of Canadian programming. During that proceeding, we considered complex issues like the impact of artificial intelligence and the role of intellectual property in the broadcasting sector.
The second major hearing, in June, explored the dynamics between the different types of players in the Canadian broadcasting system.
What we heard will help us create a sustainable model for the delivery and discoverability of diverse Canadian and Indigenous content. The results of this hearing will help ensure equitable access to the broadcasting system, and promote a fair and competitive marketplace, supported by an updated dispute resolution framework.
And the third hearing, which wrapped up earlier this week, focused on radio and audio streaming services. We heard a variety of views on how to define Canadian content for music. We also considered the major changes in the industry and the impact of streaming services.
These three recent public hearings are key to ensuring a modern and sustainable broadcasting system for Canada.
Decisions flowing from these consultations and others will be issued in the coming weeks and months. In fact, within days, you will see a decision that helps address the administrative burden on radio stations. So stay tuned.
Conclusion
To wrap up, we are doing work on multiple fronts. We have touched on a few of them, but the list is long.
As we continue to prioritize the implementation of legislation entrusted to us by Parliament, we are also taking action in areas like the Online News Act, service outages, the Broadband Fund, and making it easier for everyone to participate in CRTC proceedings.
We are moving quickly because we know that Canadians and businesses need certainty, and at the same time we are consulting broadly. As a quasi-judicial tribunal, we know that better decisions are made when we listen to individuals, to businesses, and to organizations that help bring diverse voices into the conversation.
We are always listening to what Canadians need and we know that Committee members are as well.
We look forward to hearing your views and answering your questions. Thank you again for inviting us.
