Search

Broadcasting Public Notice CRTC 2003-35

Ottawa, 10 July 2003

Exemption orders respecting certain classes of low-power and very low-power programming undertakings

Effective today, the Commission exempts from licensing requirements and associated regulations the following four classes of low-power and very low-power programming undertakings:

The four new exemption orders (the orders) are contained in the appendix to this notice. The orders set out the specific criteria that undertakings in each class must meet to qualify for exemption.

Background

1. At a public hearing on 15 July 2002, the Commission considered an application by World Audio-Visual Entertainment Systems (W.A.V.E.S.) Inc. (World Audio) for a broadcasting licence to carry on a low-power television programming undertaking. The applicant proposed to operate a television service described as providing an enhanced experience for spectators at cultural, sports, commercial and tourist events. The proposed service was to enable spectators to view the event from different angles and provide access to interactive content related to the event through a portable audio-visual receiver.

2. In Low power special event facilitating undertaking, Broadcasting Decision CRTC 2002-467, 20 December 2002, the Commission denied World Audio's application. The Commission based its denial on the notice it had received from the Department of Industry (the Department) that the Department would not issue a broadcasting certificate to the applicant. The Commission noted in its decision that, pursuant to section 22(1) of the Broadcasting Act (the Act), the Commission may not issue a broadcasting licence unless the Department "certifies to the Commission that the applicant has satisfied the requirements of the Radiocommunication Act and the regulations made under that Act, and has been or will be issued a broadcasting certificate".

3. In its decision, however, the Commission acknowledged the views of various interveners that there were similarities between the service proposed by World Audio and the services offered by radio undertakings that had been exempted by the Commission pursuant to Exemption order respecting low-power radio: Limited duration special event facilitating undertakings. That order was published in an appendix to Final revisions to certain exemption orders, Public Notice CRTC 2000-10, 24 January 2000. The Commission concurred with interveners that low-power radio and television services for limited duration special events should receive similar regulatory treatment. Accordingly, in Proposed exemption orders, Broadcasting Public Notice CRTC 2002-80, 20 December 2002 (Public Notice 2002-80), the Commission issued a call for public comment on proposed exemption orders respecting four new classes of programming undertakings, including a proposed exemption order respecting low-power encrypted television: limited duration special event facilitating programming undertakings.

4. The Commission received no comment on the proposed exemption orders respecting the three following classes of low- and very low-power radio programming undertakings:

5. A single comment addressed to the proposed exemption order respecting low-power encrypted television: limited duration special event facilitating programming undertakings was filed by World Audio. In its comment, World Audio brought to the Commission's attention its concerns about certain words and phrases used by the Commission in the Purpose and Description sections of the proposed exemption order. According to World Audio, the retention of these words and phrases in the final version of the exemption order would have potential negative implications with respect to the encrypted television service that World Audio planned to establish and operate. The points raised by World Audio are discussed below.

Commission's disposition

6. The Commission, in the absence of comments, and pursuant to section 9(4) of the Act, exempts from licensing requirements persons carrying on low- and very low-power radio programming undertakings of the three classes described above and defined in the first three exemption orders appended to this notice. Apart from certain minor modifications, the orders take essentially the same form as had been set out in Public Notice 2002-80.

7. In the following section of this notice, the Commission sets out its determinations regarding the various concerns raised by World Audio in connection with the proposed exemption order respecting low-power encrypted television: limited duration special event facilitating programming undertakings.

Proposed exemption order respecting low-power encrypted television: limited duration special event facilitating programming undertakings - the Commission's determinations regarding World Audio's concerns

The Purpose section of the exemption order

8. The Purpose section of the proposed exemption order stated that the order was "to allow those attending special, generally recognized events who rent a special receiver, to experience a fuller appreciation of those events through the provision of locally originated, encrypted programming related directly to these events."

9. World Audio was concerned that the above wording would only permit it to rent special receivers to its customers. It stated in its comment that, while it did plan to rent special receivers to customers, it may also wish to offer them for sale, and did not believe that it should be restricted from doing so. World Audio was further concerned that inclusion in the Purpose section of the phrases "locally originated" and "programming related directly to these events" could preclude it from complementing its live coverage of an event with pre-recorded or other programming that may be related to the event, but not derived directly from it. As an example, World Audio suggested that such programming might consist of interviews recorded at a previous event.

10. With regard to the special receivers, the Commission agrees that, for those attending more than one event, the ownership of such a receiver might be more cost effective than renting one each time. The Commission thus considers that persons operating under the exemption order should be permitted to sell special receivers to their customers. It has therefore deleted "rent" and replaced it by "acquire" in the Purpose section of the exemption order.

11. With regard to other wording in the Purpose section, World Audio's interpretation of the phrase "locally originated" appeared to be that all programming would have to be produced on site. From the Commission's perspective, a requirement that programming be locally originated, in this or any other context, means only that the programming must be assembled and transmitted locally. The programming need not be created locally. Thus, programming may be acquired for broadcast from a variety of sources, provided it is assembled locally and transmitted via an on-site transmitter. Accordingly, the Commission has retained the phrase locally originated in the Purpose section of the exemption order. 

12. The phrase "programming related directly to these events" also appears in the Exemption order respecting low-power radio: Limited duration special event facilitating undertakings. Its inclusion in that order was intended to ensure that the programming of exempt undertakings did not affect unduly the operations of licensed over-the-air broadcasters. In the case of a low-power encrypted television: limited duration special event facilitating programming undertaking, however, there would be no negative impact because the programming would be encrypted. Accordingly, the Commission has removed the word "directly" from the Purpose section of the exemption order. The section, however, continues to stipulate that programming be "related to these events".

The Description section of the exemption order

13. The French-language text of the Description section's paragraph 5 was as follows:

L'exploitant de l'entreprise exerce toutes les précautions nécessaires pour s'assurer que les personnes n'assistant pas ŕ l'événement n'ont pas accčs ŕ la programmation.

14. The English-language text read:

The operator of the undertaking takes all reasonable steps to ensure that people not attending the event do not receive the programming.

15. World Audio suggested that the French-language text of paragraph 5 should be amended to include the words "précautions raisonnables" instead of "précautions nécessaires". The Commission agrees, and has substituted the phrase "précautions nécessaires" with "précautions raisonnables".

16. Paragraph 6 of the proposed exemption order's Description section read:

The undertaking restricts its programming to the coverage of a specific recognized event and does not rebroadcast the programming service of any licensed or exempt television undertaking.

17. World Audio had concerns about this language that were similar to those that it raised, and that are examined above, regarding the language of the Purpose section. Specifically, it submitted that the two phrases "restricts its programming to the coverage of a specific recognized event," and "does not rebroadcast" would unnecessarily limit the programming of its proposed service, and lessen its innovative value and potential to offer multimedia diversity. World Audio also requested that the Commission qualify the prohibition against the rebroadcast of another programming service in order to permit such rebroadcasts so long as the relevant rights have been obtained.

18. With regard to World Audio's concerns about restrictions on its proposed programming, the Commission reiterates that programming may be acquired from a variety of sources, but must be assembled locally and transmitted via an on-site transmitter. The Commission has clarified this through the addition of the phrase "including supplementary material relevant to the event" in paragraph 6 of the Description section. Further, the Commission agrees that the prohibition against the rebroadcast of another programming service should be qualified, as proposed by World Audio, to allow for the rebroadcast of programming provided the appropriate rights have been obtained. The new wording of paragraph 6 is as follows:  

The undertaking restricts its programming to the coverage of a specific recognized event, including supplementary material relevant to the event, and does not rebroadcast the programming service of any licensed or exempt television undertaking, unless the undertaking is able to obtain the relevant rights from such licensed or exempt television undertakings.

19. Paragraph 7 of the proposed exemption order read:

The undertaking provides encrypted informational programming related directly to the event and may contain local commercial messages from advertisers within the community being served.

20. In its comments, World Audio had a concern that the phrase "informational programming related directly to the event" would unnecessarily limit the programming it could broadcast.  World Audio requested the flexibility to broadcast more than just informational programming, including material from all television categories except category 4 religion, 5(a) formal education, or any of the category 7 drama and comedy, category 8(a) music and dance other than music video programs or clips, 8(c) music video programs, and category 9 variety.  

21. World Audio also submitted that exempted undertakings should not be restricted to the broadcast of "local" commercial messages only.  World Audio contended that all types of advertising revenues (including those obtained through local advertising, national advertising and sponsorship messages) would be required to ensure the successful operation of its proposed service. According to World Audio, a prohibition against the broadcast of other than local advertising would prohibit World Audio from obtaining advertising or sponsorship from major companies associated with producing events of the type that its proposed programming service would cover.

22. With regard to World Audio's concern about being restricted to the broadcast of informational programming, the Commission has determined that providing this class of exempt undertaking with the flexibility proposed by World Audio would be reasonable. Specifically, the Commission considers that programming restrictions would be unnecessary, given that the programming provided by exempted undertaking of this class would be encrypted and accessible only by those equipped with a special receiver, and that there would thus be no undue impact on existing over-the-air licensees. For the same reasons, the Commission has decided not to impose any restriction on the type of commercial messages or other advertising material that such undertakings may broadcast. The new wording of paragraph 7 of the Description section therefore reads:

All of the undertaking's programming is encrypted and may contain advertising material.

23. One further concern of World Audio was with respect to paragraph 10 of the proposed exemption order which stipulated:

The undertaking is operated for a single period consisting of no more than 14 consecutive days in any calendar year or during the duration of the event, whichever is shorter.

24. World Audio stated that the proposed 14 day limit would prevent it from offering coverage of events of longer duration, such as the Olympics. World Audio submitted that, provided the service were to operate only for the duration of a recognized event, there should be no need for the Commission to stipulate a maximum time period. 

25. The Commission has considered World Audio's views on this matter, and has determined that there is a need for a time limit, albeit one that would permit coverage of events having a duration of more than 14 days. Specifically, the Commission considers that a limit of 28 consecutive days would be appropriate. The Commission notes in this regard that few recognized events would be more than 28 consecutive days in duration, and that such a limit would therefore allow an exempt undertaking to provide coverage of the majority of events in their entirety. In the Commission's view, a time limit is necessary to prevent an exempt undertaking from providing coverage of any event of a continuous or ongoing nature, and becoming thereby, the provider of what would effectively constitute a full-time or permanent programming service. In addition, the Commission notes that a 28 day limit would be congruent with the limit stipulated for event coverage in Exemption order respecting low-power radio: Limited duration special event facilitating undertakings. Accordingly, the new wording of paragraph 10 prohibits an exempt undertaking from operating for a single period any longer than 28 consecutive days in any calendar year or the duration of the event, whichever is shorter.

26. The Commission, in light of the above, and pursuant to section 9(4) of the Act, exempts from licensing requirements persons carrying on low-power encrypted television: limited duration special event facilitating programming undertakings of the class defined in the fourth exemption order appended to this notice.

Secretary General

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

Appendix to Broadcasting Public Notice CRTC 2003-35

Exemption order respecting low-power radio programming undertakings providing tourist and traffic information in national and provincial parks and on historic trails

The Commission pursuant to subsection 9(4) of the Broadcasting Act (the Act), by this order, exempts from the requirement of Part II of the Act and any regulations, those persons carrying on broadcasting undertakings of the class defined by the following criteria:

Purpose

The purpose of these radio programming undertakings is to inform tourists in national or provincial parks and on historic trails about the features of the parks and trails, and to provide traffic control information.

Description

  1. The undertaking meets all technical requirements of the Department of Industry (the Department) and has acquired all authorizations or certificates prescribed by that Department.
  2. The undertaking operates between 525 and 1705 kHz in the AM frequency band or between 88 and 107.5 MHz in the FM frequency band.
  3. The undertaking broadcasts with a transmitter power of less than 100 watts in the AM band, and with a maximum effective radiated power of 50 watts with a maximum transmitting antenna height of 60 metres in the FM band.
  4. The Commission would not be prohibited from licensing the undertaking by virtue of any Act of Parliament, of the Direction to the CRTC (Eligible Canadian Corporations) or of any direction to the Commission by the Governor in Council.
  5. The programming consists of recorded messages that provide tourists with information about the features of the national and provincial parks and historic trails, and with traffic control information only.
  6. The undertaking's transmitter is located in, or is immediately adjacent to, the park or trail served by it.
  7. The undertaking does not rebroadcast the programming of any other undertaking.
  8. The programming provided by the undertaking contains no advertising material.
  9. The undertaking does not broadcast programming that is religious or political in nature.
  10. The undertaking's programming complies with the guidelines on gender portrayal set out in the Canadian Association of Broadcasters' Sex-role Portrayal Code for Television and Radio Programming, as may be amended from time to time and approved by the Commission.

Exemption order respecting low-power radio programming undertakings providing atmospheric environment services from Environment Canada, and information concerning local and marine weather, road and boating conditions, ferry schedules and traffic control

The Commission pursuant to subsection 9(4) of the Broadcasting Act (the Act), by this order, exempts from the requirement of Part II of the Act and any regulations, those persons carrying on broadcasting undertakings of the class defined by the following criteria:

Purpose

The purpose of these radio programming undertakings is to provide recorded messages relating to local and marine weather, atmospheric conditions, road and boating conditions, ferry schedules and marine traffic information to the travelling public.

Description

  1. The undertaking meets all technical requirements of the Department of Industry (the Department) and has acquired all authorizations or certificates prescribed by that Department.
  2. The undertaking operates between 525 and 1705 kHz in the AM frequency band or between 88 and 107.5 MHz in the FM frequency band.
  3. The undertaking broadcasts with a transmitter power of less than 100 watts in the AM band, and with a maximum effective radiated power of 50 watts with a maximum transmitting antenna height of 60 metres in the FM band.
  4. The Commission would not be prohibited from licensing the undertaking by virtue of any Act of Parliament, of the Direction to the CRTC (Eligible Canadian Corporations) or of any direction to the Commission by the Governor in Council.
  5. The programming provided by the undertaking consists of recorded messages providing information on local marine weather, atmospheric conditions, road and boating conditions, ferry schedules and marine traffic information only.
  6. The undertaking does not rebroadcast the programming service of any licensed or exempted radio or television undertaking.
  7. The programming provided by the undertaking contains no music or advertising material.
  8. The undertaking does not broadcast programming that is religious or political in nature.
  9. The undertaking's programming complies with the guidelines on gender portrayal set out in the Canadian Association of Broadcasters' Sex-role Portrayal Code for Television and Radio Programming, as may be amended from time to time and approved by the Commission.

Exemption order respecting very low-power FM radio programming undertakings providing traffic advisories in remote areas concerning approaching logging, construction, road maintenance and other large vehicles

The Commission pursuant to subsection 9(4) of the Broadcasting Act (the Act), by this order, exempts from the requirement of Part II of the Act and any regulations, those persons carrying on broadcasting undertakings of the class defined by the following criteria:

Purpose

The purpose of these very low-power, FM radio programming undertakings is to provide over-the-air warnings about the approach of logging trucks and large construction and road maintenance vehicles to drivers who use forestry roads in remote areas.

Description

  1. The undertaking meets all technical requirements of the Department of Industry (the Department) and has acquired all authorizations or certificates prescribed by that Department.
  2. The undertaking operates between 88 and 107.5 MHz in the FM frequency band.
  3. The undertaking operates with a maximum effective radiated power of 0.5 watts, and with a maximum transmitting antenna height of 30 metres.
  4. The Commission would not be prohibited from licensing the undertaking by virtue of any Act of Parliament, of the Direction to the CRTC (Eligible Canadian Corporations) or of any direction to the Commission by the Governor in Council.
  5. The undertaking's transmitting antenna is located on or by forestry roads in remote areas.
  6. The undertaking broadcasts solely in remote forestry areas.
  7. The programming provided by the undertaking consists solely of a brief pre-recorded message warning motorists that a large vehicle is approaching.
  8. The programming provided by the undertaking contains no music or advertising material.
  9. The undertaking does not broadcast programming that is religious or political in nature.

Exemption order respecting low-power encrypted television: limited duration special event facilitating programming undertakings

The Commission pursuant to subsection 9(4) of the Broadcasting Act (the Act), by this order, exempts from the requirement of Part II of the Act and any regulations, those persons carrying on broadcasting undertakings of the class defined by the following criteria:

Purpose

The purpose of these television programming undertakings is to allow those attending special, generally recognized events who acquire a special receiver, to experience a fuller appreciation of those events through the provision of locally originated, encrypted programming related to these events.

Description

  1. The undertaking meets all technical requirements of the Department of Industry (the Department) and has acquired all authorizations or certificates prescribed by the Department, and satisfies the Department's technical requirements for the establishment of low power television stations on unprotected channels as described in BPR (Broadcasting Procedures and Rules) Part IV, Section E.
  2. The undertaking operates between 470 MHz (channel 14) and 746 MHz (channel 59) in the UHF TV frequency band with a transmitter power not exceeding a maximum peak visual output power of 500 watts.
  3. The Commission would not be prohibited from licensing the undertaking by virtue of any Act of Parliament, of the Direction to the CRTC (Eligible Canadian Corporations) or of any direction to the Commission by the Governor in Council.
  4. The undertaking operates as ancillary to, and for the purpose of facilitating, a special event.
  5. The operator of the undertaking takes all reasonable steps to ensure that people not attending the event do not receive the programming.
  6. The undertaking restricts its programming to the coverage of a specific recognized event, including supplementary material relevant to the event, and does not rebroadcast the programming service of any licensed or exempt television undertaking, unless the undertaking is able to obtain the relevant rights from such licensed or exempt television undertaking.
  7. All of the undertaking's programming is encrypted and may contain advertising material.
  8. The undertaking originates all of its programming from the property upon which the event takes place.
  9. The undertaking does not broadcast programming that is religious or political in nature.
  10. The undertaking is operated for a single period consisting of no more than 28 consecutive days in any calendar year or the duration of the event, whichever is shorter.
  11. The undertaking's programming complies with the guidelines on gender portrayal set out in the Canadian Association of Broadcasters' (CAB) Sex-role Portrayal Code for Television and Radio Programming and the provisions of the CAB's Broadcast Code for Advertising to Children, and the CAB's Voluntary Code Regarding Violence in Television Programming, as may be amended from time to time and approved by the Commission.
Date modified: