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ARCHIVED - Broadcasting Decision CRTC 2004-202

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Broadcasting Decision CRTC 2004-202

  Ottawa, 9 June 2004
  Global Communications Limited
Toronto, Ontario
  Application 2003-1232-2
Public Hearing in the National Capital Region
19 April 2004
 

CIII-TV-41 Toronto - transitional digital television licence

  In this decision, the Commission approves the application by Global Communications Limited for a licence to operate a transitional digital television undertaking in association with CIII-TV-41 Toronto.
 

The application

1.

The Commission received an application by Global Communications Limited (Global) for a broadcasting licence to operate a transitional digital television undertaking in association with CIII-TV-41 Toronto. The applicant proposed that the station simulcast the current analog programming service of CIII-TV-41, with the exception of up to 14 hours per week of programming that would not be duplicated on the analog service. The digital undertaking would operate from the CN Tower on channel 65C with an effective radiated power (ERP) of 3,000 watts.
 

Intervention

2.

The Commission received an intervention by Rogers Cable Communications Inc. (Rogers) offering general comments. Rogers supported Global's application for a transitional digital television licence to serve Toronto. At the same time, Rogers noted that there is currently very little high definition (HD) programming that is Canadian, or otherwise uniquely available from Canadian sources. In Rogers' view, there is consequently very little reason at this time for HD viewers to choose programming offered by stations operating within the Canadian broadcasting system. Rogers recommended that the Commission strongly encourage broadcasters to produce and purchase HD programming. According to Rogers, the Commission should also require regular reports from broadcasters in order to assess their progress in meeting the objective of offering two-thirds of the digital television (DTV) schedule in HD by 2007.

3.

Rogers also proposed that broadcasters, such as Global, that operate two television stations serving one market should be granted a dual licence for their first digital transmitter to permit the scheduling of a single HD service with programming normally seen on either of the two analog channels. In addition, Rogers proposed that the minimum level of programming offered by specialty and pay services in HD should be 20% of a service's weekly schedule in its first year, half of which should be broadcast during the evening broadcast period resulting in the broadcast of approximately 2.5 hours of HD programming each evening. Rogers recommended that these minimum requirements should be increased by 10% in each broadcast year of a service's licence term.
 

The applicant's reply

4.

In response, Global disagreed with Rogers' recommendation related to dual DTV licensing for broadcasters that operate two television stations serving the same market. Global noted that its stations CIII-TV Paris and CHCH-TV Hamilton are distinct television stations with separate licences and requirements. In Global's view, common ownership should not trigger any exception to the DTV licensing policy.

5.

Global further submitted that this proceeding was not the appropriate venue to address the issues raised by Rogers regarding HD programming generally.
 

The Commission's policy

6.

The Commission set out its policy framework for the transition from analog to digital television in A licensing policy to oversee the transition from analog to digital, over-the-air television broadcasting, Broadcasting Public Notice CRTC 2002-31, 12 June 2002 (Public Notice 2002-31). In that policy framework, the Commission determined that its existing policies and regulations, as well as the conditions of licence currently applicable to a broadcaster in respect of its analog television service, will also apply to any transitional digital programming service the broadcaster may be licensed to provide. These include requirements for the provision of 60% Canadian content during the broadcast year and 50% during the evening broadcast period, and for the exhibition of a minimum of 8 hours per week of priority programming where required by condition of licence.
 

The Commission's analysis and determination

7.

With regard to Rogers' intervention, the Commission notes that Rogers supported Global's application and that most of Rogers' comments are related to the Commission's policy framework for the transition from analog to digital television, as outlined in Public Notice 2002-31.

8.

Based on its examination of the record, the Commission is satisfied that the application is consistent with Public Notice 2002-31, and The regulatory framework for the distribution of digital television signals, Broadcasting Public Notice CRTC 2003-61, 11 November 2003 (Public Notice 2003-61). Accordingly, the Commission approves the application by Global Communications Limited for a broadcasting licence to operate a digital television undertaking in association with CIII-TV-41 Toronto, subject to the conditions discussed below.
 

Programming

 
Canadian content obligations and the 14-hour program allowance

9.

The applicant made a commitment to simulcast the current programming service of CIII-TV-41, with the exception of up to 14 hours per week of supplementary programming that would not be duplicated on the analog service. The applicant further committed to ensure that a minimum of 50% of the unduplicated, supplementary programming broadcast by the undertaking is Canadian. The Commission has applied conditions of licence consistent with the applicant's commitments. The Commission further requires, by condition of licence, that all unduplicated, supplementary programming broadcast on the undertaking is broadcast in a wide screen, HD format. The conditions of licence are set out in the appendix to this decision.
 
Simulcast of high definition and wide screen programming, and program rights availability

10.

As part of this proceeding, the Commission asked the applicant to comment on the possible imposition of conditions of licence reflecting, among other things, the two key principles set out in Public Notice 2002-31 relating to the simulcast of HD and wide screen programming. Specifically, the Commission asked whether Global would adhere to conditions of licence requiring that:
 
  • all simulcast programming on the undertaking produced in the wide screen format (16:9 aspect ratio) be broadcast in that format; and
 
  • all simulcast programming on the undertaking aired during the evening broadcast period produced in HD be broadcast in HD.

11.

In response, Global stated that it could not accept the proposed conditions of licence. Global expressed concern regarding the availability of program rights, and requested flexibility for the simulcast of HD and wide screen programming. Global explained that, while an HD version of a program may exist, it may not always be possible to acquire the broadcast rights to that version. Global confirmed, however, that if it were able to acquire such rights, a HD program would be broadcast in HD.

12.

The Commission notes Global's concerns, and acknowledges that there may be extraordinary cases when HD or wide screen versions of programs exist, but cannot be obtained. An example of such a case would be when broadcast rights are not sold in the Canadian market at all. The availability of rights to HD and wide screen programming was an issue raised in the proceeding that led to the transitional digital television policy set out in Public Notice 2002-31. In that public notice, the Commission noted that broadcasters were concerned that the rights to such programs, especially for productions originating in the U.S., may be sold separately from the rights to the same programs produced in the traditional analog format, or may not be sold in the Canadian market at all.

13.

The Commission finds that, in the circumstances, it would be inappropriate to impose conditions of licence requiring that all simulcast programming produced in the widescreen format be broadcast in that format, or that all simulcast programming during the evening broadcast period that is produced in HD be broadcast in HD. Accordingly, the conditions of licence set out in the appendix to this decision take into account the variable availability of wide screen and HD versions of the programs to be simulcast.
 
Data transmission

14.

In Public Notice 2002-31, the Commission expressed the view that HDTV should be used to promote the development of new Canadian programming of high quality, and to make this available to viewers in a picture format that is superior to the current analog National Television Standards Committee (NTSC) format. To that end, the Commission emphasized that broadcasters should ensure that the HD programming they purchase or produce is transmitted to viewers without loss of signal quality. Consistent with that aim, the Commission requires, by condition of licence, that the licensee ensure that the transmission of data does not affect the quality or quantity of HD programming.
 

Technical considerations

15.

The undertaking will operate on channel 65C with an ERP of 3,000 watts. The Commission is satisfied that these technical parameters will provide effective coverage to the Toronto area within the constraints of the Department of Industry (the Department's) DTV Transition Allotment Plan.
 

Issuance of the licence

16.

The Commission will issue a transitional digital television licence to Global Communications Limited, subject to the conditions set out in the appendix to this decision. The licence will expire 31 August 2008, coincident with the expiry of the licence for CIII-TV-41 Toronto.

17.

The Commission reminds the licensee that, pursuant to section 22(1) of the Broadcasting Act, no licence may be issued until the Department notifies the Commission that its technical requirements have been met, and that a broadcasting certificate will be issued.

18.

Furthermore, the licence for this undertaking will be issued once the licensee has informed the Commission in writing that it is prepared to commence operations. The undertaking must be operational at the earliest possible date and in any event no later than 24 months from the date of this decision, unless a request for an extension of time is approved by the Commission before 9 June 2006. In order to ensure that such a request is processed in a timely manner, it should be submitted at least 60 days before this date.
 

Employment equity

19.

Because this licensee is subject to the Employment Equity Act and files reports concerning employment equity with Human Resources Development Canada, its employment equity practices are not examined by the Commission.
  Secretary General
  This decision is to be appended to the licence. It is available in alternative format upon request, and may also be examined at the following Internet site: www.crtc.gc.ca
 

Appendix to Broadcasting Decision CRTC 2004-202

 

Conditions of licence

 

1. In addition to the conditions set out below, the licence is subject to the terms and conditions applicable to the analog television station CIII-TV-41 Toronto, as set out in Licence renewal for CIII-TV, Decision CRTC 2001-458-3, 2 August 2001.

 

2. The licensee shall ensure that all programming broadcast on the undertaking is a simulcast of the programming broadcast on CIII-TV-41, with the exception of up to 14 hours per week of unduplicated, supplementary programming.

 

3. The licensee shall ensure that at least 50% of the unduplicated, supplementary programming broadcast on the undertaking is Canadian.

 

4. The licensee shall ensure that all unduplicated, supplementary programming broadcast on the undertaking is broadcast in a wide screen (16:9 aspect ratio), high definition format.

 

5. The licensee shall ensure that all programs that are simulcast on the undertaking, and that are available to the licensee in a wide screen (16:9 aspect ratio) format, are also broadcast in that format.

 

6. The licensee shall ensure that all programs that are simulcast on the undertaking during the evening broadcast period, and that are available to the licensee in high definition, are also broadcast in high definition.

 

7. The licensee shall ensure that the transmission of data does not affect the quality or quantity of high definition programming.

Date Modified: 2004-06-09

Date modified: