ARCHIVED - Public Notice CRTC 2000-150

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Public Notice CRTC 2000-150

 

See also: 2000-150-1

Ottawa, 7 November 2000

 

Call for comments on proposed amendments to the Broadcasting Distribution Regulations, Pay Television Regulations, 1990 and Specialty Services Regulations, 1990

 

In this notice, the Commission calls for comments on proposed regulatory amendments necessary to give effect to its licensing framework policy for new digital pay and specialty services set out in Public Notice CRTC 2000-6.

 

Future amendments may be required to accommodate any determinations that the Commission may make related to increasing the availability of French-language broadcasting services in French linguistic minority communities as a result of the processes described in Public Notices CRTC 2000-38 and 2000-74. Interested parties will have an opportunity to comment on proposed amendments to any regulations that result from these processes.

1.

The Commission proposes to make amendments to the Pay Television Regulations, 1990, SOR/90-105, the Specialty Services Regulations, 1990, SOR/90-106, and the Broadcasting Distribution Regulations, SOR/99-555. A copy of the proposed Regulations amending certain regulations made under the Broadcasting Act (the proposed amendments) is appended to this public notice.

2.

The proposed amendments result from the process initiated by the Commission in Public Notice CRTC 1999-19 calling for comments to assist in the development of an appropriate framework for considering new pay and specialty services applications. Following a written comment process, the Commission issued Public Notice CRTC 2000-6, dated 13 January 2000 and entitled Licensing framework for new digital pay and specialty services, setting out its framework for licensing new digital Canadian pay and specialty services.

3.

The proposed amendments are intended to implement the Commission's policies as set out in PN 2000-6. The Commission proposes that the amendments will come into effect on 1 February 2001.

4.

Future amendments may be required to accommodate any determinations that the Commission may make related to increasing the availability of French-language broadcasting services in French linguistic minority communities as a result of the processes described in Public Notices CRTC 2000-38  and 2000-74. Interested parties will have an opportunity to comment on proposed amendments to any regulations that result from these processes.

 

Carriage of category 1 and category 2 services

5.

In PN 2000-6, the Commission stated that it would license two categories of new digital services, each with a different set of regulatory obligations and privileges. It proposes to incorporate the corresponding obligations affecting distribution undertakings into the Broadcasting Distribution Regulations (the regulations) as follows.

6.

Class 1 and 2 licensees who offer programming services to the public using digital technology would, pursuant to section 18(11) of the regulations, be required to distribute Category 1 services appropriate to their market on a digital basis. Direct-to-home (DTH) undertakings would be required to carry all category 1 services on a digital basis pursuant to section 38. Pursuant to the proposed amendment to section 33.1, Class 3 licensees may carry category 1 services.

7.

Under the proposed amendments, Class 1, Class 2 and Class 3 licensees may carry category 2 services on a digital basis pursuant to sections 19.1 and 33.1.

8.

As an exception, section 33.2 of the regulations would allow licensees of independent Class 3 distribution systems that do not use digital technology to distribute Category 1 services on an analog basis. An independent Class 3 distribution system is one that is not interconnected with a Class 1 or Class 2 distribution system.

 

Related Category 2 services

9.

As outlined in PN 2000-6, when a licensee and/or an affiliate of that licensee controls more than 10% of the total shares of the licensee of a category 2 service, the two are considered to be "related." To address concerns regarding the potential for preferential treatment of related services, cable and DTH distribution undertakings would be required, pursuant to section 18(12) and (13) and sections 31 and 36 of the regulations, to distribute five non-related Category 2 services for each related Category 2 service they distribute. The obligation to distribute five unrelated services will also be triggered when a related pay-per-view or DTH pay-per-view service licensed after 1 January 2000, or a related video-on-demand service is distributed.

10.

The remaining proposed amendments to the regulations are required to effect and clarify the amendments noted above.

 

Undue preference provisions

11.

The proposed amendments to the Pay Television Regulations, 1990and the Specialty Services Regulations, 1990 address the concern that a licensee of multiple programming services could confer upon itself an undue preference in negotiating the terms of carriage for all its services. The proposed amendments also address the concern that licensees of distributor-affiliated programming services could potentially confer an undue preference on the distributor to which they are affiliated. The proposed amendments therefore introduce a prohibition against pay and specialty services, respectively, granting an undue preference or advantage similar to the provision applicable to distributors by virtue of the Broadcasting Distribution Regulations.

 

Call for comments

12.

Interested parties are invited to present their comments as to whether the proposed amendments accurately reflect the Commission's policy set out in PN 2000-6.

13.

The Commission will accept comments that it receives on or before 8 December 2000.

14.

The Commission will not formally acknowledge comments. It will, however, fully consider all comments and they will form part of the public record of the proceeding, provided that the procedures for filing set out below have been followed.

 

Procedures for filing comments

15.

Interested parties can file their comments on paper or electronically. Submissions longer than five pages should include a summary.

16.

Parties wishing to file their comments on paper should send them to the Secretary General, CRTC, Ottawa, K1A 0N2.

17.

Parties wishing to file electronic versions of their comments can do so by email or on diskette. The Commission email address is procedure@crtc.gc.ca 

18.

Electronic submissions should be in the HTML format. As an alternative, those making submissions may use "Microsoft Word" for text and "Microsoft Excel" for spreadsheets.

19.

Please number each paragraph of your submission. In addition, please enter the line ***End of document*** following the last paragraph. This will help the Commission verify that the document has not been damaged during transmission.

20.

The Commission will make comments filed in electronic form available on its web site at www.crtc.gc.ca  in the official language and format in which they are submitted. This will make it easier for members of the public to consult the documents.

21.

The Commission also encourages interested parties to monitor the public examination file (and/or the Commission's web site) for additional information that they may find useful when preparing their comments.

 

Examination of public comments and related documents at the following Commission offices during normal business hours

 

Central Building
Les Terrasses de la Chaudière
1 Promenade du Portage, Room G-5
Hull, Quebec K1A 0N2
Tel: (819) 997-2429 - TDD: 994-0423
Fax: (819) 994-0218

 

Bank of Commerce Building
1809 Barrington Street
Suite 1007
Halifax, Nova Scotia B3J 3K8
Tel: (902) 426-7997 - TDD: 426-6997
Fax: (902) 426-2721

 

405 de Maisonneuve Blvd. East
2nd Floor, Suite B2300
Montréal, Quebec H2L 4J5
Tel: (514) 283-6607 - TDD: 283-8316
Fax: (514) 283-3689

 

55 St. Clair Avenue East
Suite 624
Toronto, Ontario M4T 1M2
Tel: (416) 952-9096
Fax: (416) 954-6343

 

Kensington Building
275 Portage Avenue
Suite 1810
Winnipeg, Manitoba R3B 2B3
Tel: (204) 983-6306 - TDD: 983-8274
Fax: (204) 983-6317

 

Cornwall Professional Building
2125 - 11th Avenue
Room 103
Regina, Saskatchewan S4P 3X3
Tel: (306) 780-3422
Fax: (306) 780-3319

 

10405 Jasper Avenue
Suite 520
Edmonton, Alberta T5J 3N4
Tel: (780) 495-3224
Fax: (780) 495-3214

 

530-580 Hornby Street
Vancouver, British Columbia V6C 3B6
Tel: (604) 666-2111 - TDD: 666-0778
Fax: (604) 666-8322

 

Secretary General

 


This document is available in alternate format upon request and may also be examined at the following Internet site: http://www.crtc.gc.ca 

 

JUS-602107
(
CG-1/GC-1)

 

REGULATIONS AMENDING CERTAIN REGULATIONS MADE UNDER THE BROADCASTING ACT

 

pay television regulations, 1990

 

1. Section 6.11 of the Pay Television Regulations, 19902 and the heading before it are replaced by the following:

 

Undue Preference or Disadvantage

 

6.1 (1) No licensee shall give an undue preference to any person, including itself, or subject any person to an undue disadvantage.

 

(2) For the purposes of subsection (1), a licensee shall be considered to have given itself an undue preference if the licensee distributes a pay-per-view program for which the licensee has acquired exclusive or other preferential rights.

 

specialty services regulations, 1990

 

2. The Specialty Services Regulations, 19903 are amended by adding the following after section 10:

 

Undue Preference or Disadvantage

 

10.1 No licensee shall give an undue preference to any person, including itself, or subject any person to an undue disadvantage.

 

broadcasting distribution regulations

 

3. Section 1 of the Broadcasting Distribution Regulations4 is amended by adding the following in alphabetical order:

 

"Category 1 service" means a programming service designated as such by the Commission. (service de catégorie 1)

 

"Category 2 service" means a programming service designated as such by the Commission. (service de catégorie 2)

 

4. Section 9 of the French version of the Regulations is replaced by the following:

 

9. Il est interdit au titulaire d'accorder à quiconque, y compris lui-même, une préférence indue ou d'assujettir quiconque à un désavantage indu.

 

5. (1) Subsection 18(1) of the Regulations is replaced by the following:

 

18. (1) Except as otherwise provided under a licensee's condition of licence, this section applies to Class 1 licensees.

 

(1.1) Except as otherwise provided under a licensee's condition of licence, subsections (4), (4.1) and (11) to (13) apply also to Class 2 licensees.

 

(2) Subsection 18(3) of the Regulations is replaced by the following:

 

(3) For the purposes of this section, other than subsection (11), a licensee makes use of digital technology for the delivery of programming to subscribers when at least 15% of its subscribers receive one or more programming services on a digital basis.

 

(3) Section 18 of the Regulations is amended by adding the following after subsection 4:

 

(4.1) For the purposes of subsection (5)

 

(a) a specialty service does not include a Category 1 or Category 2 service; and

 

(b) a pay television service does not include a Category 2 service.

 

(4) Section 18 of the Regulations is amended by adding the following after subsection (10):

 

(11) Except as otherwise provided under a condition of its licence, a licensee that delivers any programming service to any subscriber on a digital basis shall distribute, on a digital basis,

 

(a) if the licensee is operating in an anglophone market, each English-language Category 1 service, the operator of which is authorized to provide to all or part of the licensed area of the undertaking; and

 

(b) if the licensee is operating in a francophone market, each French-language Category 1 service, the operator of which is authorized to provide to all or part of the licensed area of the undertaking.

 

(12) The definitions in this subsection apply in this subsection and subsection (13).

 

"affiliate" has the same meaning as in subsection 21(2). (affiliée)

 

"control" has the same meaning as in subsection 21(2). (contrôle)

 

"other programming service" means

 

(a) a video-on-demand service;

 

(b) a pay-per-view service licensed after January 1, 2000; and

 

(c) a DTH pay-per-view service licensed after January 1, 2000. (autre service de programmation)

 

"related programming undertaking" means a programming undertaking of which the licensee or an affiliate, or both, controls more than 10% of the total shares issued and outstanding. (entreprise de programmation liée)

 

"share" has the same meaning as in subsection 21(2). (action)

 

(13) Except as otherwise provided under a condition of its licence, a licensee shall, for each Category 2 service of a related programming undertaking or other programming service of a related programming undertaking distributed by the licensee, distribute five Category 2 services of any programming undertakings other than related programming undertakings.

 

6. The Regulations are amended by adding the following after the heading before section 19:

 

18.1 For the purposes of section 19

 

(a) a pay television service does not include a Category 2 service; and

 

(b) a specialty service does not include a Category 1 or Category 2 service.

 

7. The Regulations are amended by adding the following after section 19:

 

19.1 Except as otherwise provided under a condition of its licence, a licensee that delivers any programming service to any subscriber on a digital basis and satisfies the requirements of section 18 may distribute, but only on a digital basis, any Category 1 service not distributed by the licensee under that section, and any Category 2 service.

 

8. Section 31 of the Regulations is replaced by the following:

 

31. Except as otherwise provided under a licensee's condition of licence, this Part and subsections 18(12) and (13) apply to Class 3 licensees.

 

9. The Regulations are amended by adding the following after the heading before section 33:

 

32.1 For the purposes of section 33

 

(a) a pay television service does not include a Category 2 service; and

 

(b) a specialty service does not include a Category 1 or Category 2 service.

 

10. The Regulations are amended by adding the following after section 33:

 

33.1 Except as otherwise provided under a condition of its licence, a licensee that delivers any programming service to any subscriber on a digital basis may distribute, but only on a digital basis, any Category 1 or Category 2 service.

 

33.2 (1) For the purpose of subsection (2), an independent licensee is a Class 3 licensee whose distribution system is not interconnected with a distribution system of either a Class 1 or Class 2 licensee.

 

(2) An independent licensee that does not deliver any programming service to any subscriber on a digital basis may distribute any Category 1 service on an analog basis.

 

11. Section 36 of the Regulations is replaced by the following:

 

36. This Part and, except as otherwise provided under a licensee's condition of licence, subsections 18(12) and (13), apply to licensees that hold a licence to operate a DTH distribution undertaking.

 

12. Paragraphs 38(2)(a) and (b) of the Regulations are replaced by the following:

 

(a) each specialty service, not including a Category 2 service or a single or limited point-of-view religious specialty service;

 

(b) each pay television service, not including a Category 2 service or a single or limited point-of-view religious pay television service;

 

coming into force

 

13. These Regulations come into force on February 1, 2001.

 

_____________________________

1 SOR/99-455
2 SOR/90-105
3 SOR/90-106
4 SOR/97-555

 

Date modified: