Applications to reduce CPE, PNI, requirements will lower the bar for streamers’ contributions: Friends

The public broadcasting advocacy group Friends says several applications put forward by BCE Inc., Corus Entertainment Inc., Rogers Communications Inc., and Quebecor Inc.’s Groupe TVA to reduce CanCon contributions and to do away with local news broadcasting requirements is an attempt “to manipulate and circumvent” Canada’s newly revised Broadcasting Act. Friends made the comments in a Monday submission to the CRTC. Earlier this month, the Forum for Research and Policy in Communications (FRPC) and the Public Interest Advocacy Centre (PIAC) asked the commission to consolidate the seven requests made by the four private broadcasters into one proceeding. (The CRTC dealt with the demand as a procedural request which the two parties disputed, arguing it should be treated as a Part 1 application.) The broadcasters have submitted various requests to reduce or eliminate the amount of locally reflective news that must be broadcast, alter Canadian programming expenditure (CPE) and programs of national interest (PNI) requirements, and expand the definition of PNI. They argued that immediate regulatory relief is needed due to an advertising recession and increased competition with foreign streamers. Corus has also complained about losing its annual local expression funding now that Rogers owns Shaw. “The major broadcaster applications are too material to be addressed on an ad hoc individual Part 1 Application basis. The major broadcaster applications ask for significant changes in established policy,” Friends argued. “Vital local news is particularly at issue.” Friends disagreed with FRPC and PIAC on its request for an expedited resolution however. “The ‘current crisis’ has been a long time coming. Private TV stations have been experiencing losses for almost a decade. These losses, while real, have been endured and sustained through the cross-subsidy of profitable discretionary services and, in the case of vertically integrated entities, other profitable lines of business,” Friends wrote. Friends said the broadcasters should wait until the CRTC fully implements the Online Streaming Act which will level the playing field and address their concerns. The organization argued that lowering obligations now will ultimately lower the contribution expectations for the streamers that are now scoped into the act. Friends called the timing of the applications a tactical move. “Rather than seeing the implementation of the revised act as an opportunity to boost the Canadian audio-visual sector by bringing foreign online undertaking contributions up to their level, the major broadcaster applications illustrate a desire to manipulate and circumvent the act’s intent by asking the CRTC to pre-decide that ‘equitable contributions’ should mean lowering the bar. Quebecor on the other hand urged the CRTC to dismiss the FRPC-PIAC request and proceed with the several applications as soon as possible. “We can no longer afford to remain passive in the face of numerous procedural delays and the commission's decision to automatically renew our broadcasting licenses without any changes to our COLs,” Quebecor wrote in its reply, according to translation. Quebecor said the FRPC-PIAC request “completely ignores these realities and is intended to delay, again and again, decisions that should have been made months ago.” The company also noted that it put forward a proposal to alter its COLs almost a year ago to no avail. “Quebecor Media still cannot explain the delay in processing its initial request by the commission and reiterates that an urgent response must be made… without further delay.” The Director’s Guild of Canada opposed merging the proceedings and proposed that they be suspended until the CRTC has “the opportunity to consider the key public policy issues raised either during the C-11 hearings or subsequent policy proceedings.” “We note that many of the issues raised by the broadcasters will be addressed as part of the commission’s three-part regulatory plan launched last May,” the organization wrote, referring to the commission’s various Online Streaming Act implementation consultations. – Reporting by Jenna Cocullo at jcocullo@thewirereport.ca and editing by Phalen Tynes-MacDonald at pcreed@thewirereport.ca.

Applications to reduce CPE, PNI, requirements will lower the bar for streamers’ contributions: Friends

News | July 18, 2023

Unlock all the Canadian telecom, broadcasting and digital media news you need.

FREE TRIAL

SUBSCRIBE

Inside The Wire Report

Information

Hill Times Publishing

Get in Touch With Us

Applications to reduce CPE, PNI, requirements will lower the bar for streamers’ contributions: Friends

News | July 18, 2023

Unlock all the Canadian telecom, broadcasting and digital media news you need.

FREE TRIAL

SUBSCRIBE

Related Stories

Telus seeks clarity on undue preference allegations against Rogers

CRTC issues final conditions of Online Streaming Act

Digital media leads the way in CRTC broadcast survey

Accusations fly between Rogers, sports programmer Timeless Inc. in carriage dispute

Reuse & Permissions

Inside The Wire Report

Information

Hill Times Publishing

Get in Touch With Us