Canada's communications sector is looking to keep up with the 21st century.
A panel tasked with reviewing our country's broadcasting and telecommunications laws has submitted its final report to the government and recommended several changes to reduce barriers to access by all Canadians to advanced telecommunications networks and to support the creation, production, and discoverability of Canadian content.
Among the key suggestions is giving the Canadian Radio-television and Telecommunications Commission (CRTC) more power to regulate foreign streaming services, such as Netflix. If approved, those service providers that enter the Canadian market would be forced to contribute equitably to the Canadian broadcasting system. All, including Netflix and other online streaming services, would be required to devote a portion of their program budgets to Canadian programs through levies determined by the CRTC based on a percentage of Canadian-derived revenues. The panel insisted it is not recommending that Canadian content be supported by a so-called 'Netflix Tax' – charging consumers an extra levy on subscriptions to such services as Netflix.
"It is more appropriate to establish a regime that requires such online streaming services that benefit from operating in Canada to invest in Canadian programming that they believe will attract and appeal to Canadians," the panel said. "This approach would ensure a meaningful contribution to Canadian cultural policy objectives and the production sector. It need not result in higher prices for consumers."
Other recommendations include more consumer rights, better protection of private and personal data, and wider, more affordable universal service. The report also recommends more regulation over online news and more high quality Canadian digital content "to safeguard, enrich, and strengthen the cultural, political, social, and economic fabric of Canada. "The data showed Canadians, particularly those in the 18–34 demographic, are increasingly consuming news content online and should be informed by accurate and reliable national, regional, and local perspectives, from diverse sources, and across all platforms.
"The volume of online content available to audiences has exploded and this abundance makes it challenging for Canadians to discover trusted Canadian content," the report said.
The report also suggested subscription to traditional cable and satellite services is declining while subscriptions to largely foreign on-demand Internet video and audio services have been rising steadily since 2011.
Panel Chair Janet Yale said they believe the recommendations will provide policymakers and regulators with a new legislative framework and modern regulatory tools necessary to create and maintain a world-class communications sector in Canada.
"Our panel knew that we had to think big and consider what would serve Canadians today and years into the future," said Yale. "We feel strongly that, while our laws need to respond to the issues of today, a lasting legislative framework must be resilient, flexible, and adaptable to the unforeseen but inescapable changes of tomorrow."
This is the first time the Broadcasting Act, the Telecommunications Act, and the Radiocommunication Act have been reviewed together in a comprehensive and integrated fashion to unify laws in the digital age.
