ARCHIVED - Decision CRTC 2001-585

Decision CRTC 2001-585

Ottawa, 14 September 2001

Ms. Pamela Dinsmore
Vice President, Regulatory
Rogers Cable Inc.
9^th Floor, 333 Bloor Street East
Toronto, Ontario
M4W 1G9

Re: Application # 2001-0717-9: Approval of the Application by Rogers Cable Atlantic Inc. for the Authority to Distribute both a second set of U.S. 4+1 signals and Distant Canadian Signals (CRTC List of Part 3 Eligible Services) on a Digital Discretionary Basis for its cablesystems located in Corner Brook, Gander, Grand Falls and St. John's, Newfoundland

Dear Ms. Dinsmore:

1. The Commission approves the application by Rogers Cable Atlantic Inc. ("Rogers") to distribute on its Class 1 and Class 2 cable distribution undertakings serving the communities noted above, the following services on a discretionary digital basis:

• any of the Canadian signals listed on the Commission's List of Part 3 eligible satellite services. This list includes a wide range of Canadian television stations that can presently be distributed by Class 3 cable systems;
  
• a second set of signals that provides the programming of the four U.S. commercial networks (CBS, NBC, ABC, FOX) and the non-commercial PBS network. These signals are generally referred to as the "U.S. 4 + 1 signals." Rogers already distributes a first set of U.S. 4+1 signals on an analog basis.

2. Approval of this application is subject to a provision, set out later in this decision, that is designed to protect the program rights acquired by local broadcasters.

3. The Commission notes that, in its application, Rogers indicated that it would accept a provision of approval similar to the one imposed in Decision CRTC 2000-437.

The Commission's determination

4. The Commission considers that discretionary carriage in a digital format of Canadian signals included on the List of Part 3 eligible satellite services and an additional set of U.S. 4+1 signals, coupled with other initiatives such as the carriage of new licensed Canadian digital services, may serve as an incentive for cable customers to subscribe

to the digital service offered by cable systems. It also provides an opportunity to increase the choice of signals available to cable subscribers.

5. The Commission, however, recognizes the need to protect the program rights that local broadcasters purchase. Carriage of a second set of U.S. 4+1 signals in addition to the first set carried on an analog basis, as well as a wide range of Canadian distant signals has the potential to erode these rights and impinge on the ability of local broadcasters to fulfil their programming obligations and responsibilities.

6. The Commission has therefore approved the application subject to the following provision of approval:

Provision of approval

7. The distribution on a discretionary basis on the licensee's digital service of a second set of U.S. 4+1 signals (that is, a set of U.S. 4+1 signals in addition to the set of such signals already carried by the system) and Canadian distant signals is subject to the provision that, with respect to such signals, the licensee adhere to the requirements regarding non-simultaneous program deletion set out in section 43 of the Broadcasting Distribution Regulations. The Commission may suspend the application of this provision upon its approval of an executed agreement between the licensee and broadcasters. Such an agreement must deal with issues related to the protection of program rights arising in connection with the discretionary carriage of a second set of U.S. 4+1 signals and Canadian distant signals solely on the applicant's digital service, as approved in this decision.

8. As indicated above, the Commission notes that Rogers has committed to abide by this provision which is the same as in paragraph 22 of Decision CRTC 2000-437.

9. Rogers is reminded that the rules on simultaneous substitution for the services that it distributes, as set out in section 30 of the Broadcasting Distribution Regulations, continue to apply.

10. Rogers is reminded that the carriage of minority official language services as outlined in Public Notices CRTC 2001-25 and 2001-26 as well as the new specialty, pay-per-view and video-on-demand services licensed in November 2000 would also require the use of digital capacity.

11. The Commission notes that Rogers indicated that it would carry the requisite number of minority official language services.

12. In Public Notice CRTC 2000-155, the Commission announced revisions to the distribution and linkage rules. These revisions permit any Canadian television service that is included on the List of Part 3 eligible satellite services to be linked with a second set of U.S. 4+1 network signals that the licensee is authorized to distribute provided that these signals are distributed only on a discretionary digital basis.

Please note that this decision letter is to be appended to the licences and that all correspondence on this matter will be placed on the public file.

Yours sincerely,

Ursula Menke
Secretary General

Date Modified: 2001-09-14