Bill C-10 (Historical)

An Act to amend the Broadcasting Act and to make related and consequential amendments to other Acts

This enactment amends the Broadcasting Act to, among other things,
(a) add online undertakings — undertakings for the transmission or retransmission of programs over the Internet — as a distinct class of broadcasting undertakings;
(b) update the broadcasting policy for Canada set out in section 3 of that Act by, among other things, providing that the Canadian broadcasting system should serve the needs and interests of all Canadians — including Canadians from racialized communities and Canadians of diverse ethnocultural backgrounds — and should provide opportunities for Indigenous persons, programming that reflects Indigenous cultures and that is in Indigenous languages, and programming that is accessible without barriers to persons with disabilities;
(c) specify that the Canadian Radio-television and Telecommunications Commission (the “Commission”) must regulate and supervise the Canadian broadcasting system in a manner that
(i) takes into account the different characteristics of Indigenous language broadcasting and the different conditions under which broadcasting undertakings that provide Indigenous language programming operate,
(ii) is fair and equitable as between broadcasting undertakings providing similar services,
(iii) facilitates the provision of programs that are accessible without barriers to persons with disabilities, and
(iv) takes into account the variety of broadcasting undertakings to which that Act applies and avoids imposing obligations on a class of broadcasting undertakings if doing so will not contribute in a material manner to the implementation of the broadcasting policy;
(d) amend the procedure relating to the issuance by the Governor in Council of policy directions to the Commission;
(e) replace the Commission’s power to impose conditions on a licence with a power to make orders imposing conditions on the carrying on of broadcasting undertakings;
(f) provide the Commission with the power to require that persons carrying on broadcasting undertakings make expenditures to support the Canadian broadcasting system;
(g) authorize the Commission to provide information to the Minister responsible for that Act, the Chief Statistician of Canada and the Commissioner of Competition, and set out in that Act a process by which a person who submits certain types of information to the Commission may designate the information as confidential;
(h) amend the procedure by which the Governor in Council may, under section 28 of that Act, set aside a decision of the Commission to issue, amend or renew a licence or refer such a decision back to the Commission for reconsideration and hearing;
(i) specify that a person shall not carry on a broadcasting undertaking, other than an online undertaking, unless they do so in accordance with a licence or they are exempt from the requirement to hold a licence;
(j) harmonize the punishments for offences under Part II of that Act and clarify that a due diligence defence applies to the existing offences set out in that Act; and
(k) allow for the imposition of administrative monetary penalties for violations of certain provisions of that Act or of the Accessible Canada Act.
The enactment also makes related and consequential amendments to other Acts.

Broadcasting Act

[Louise Charbonneau, Bloc, Trois-Rivières, QC]

Mr. Speaker, I thank my colleague for his excellent speech.

He clearly pointed out that Canadians and communities that are racialized or diverse, have a certain economic status or have disabilities should also be included in Bill C-10.

Why does this bill not make more reference to the linguistic minority, in this case the francophones who live all across the country, especially in Quebec, of course, but also in other parts of Canada? Does he believe that these groups should have greater prominence in this bill?

[Arif Virani, Liberal, Parliamentary Secretary to the Minister of Justice and Attorney General of Canada]

Mr Speaker, it is my pleasure to address the House today from my riding in Toronto on this important piece of legislation. Bill C-10 is a crucial initiative that will bring the radio, television and telecommunications sector into the 21st century.

As we have previously heard in the speeches from many of my colleagues, the last major reform of the Broadcasting Act occurred in 1991. All of us have witnessed an incredible shift in the radio, television and telecommunications sector since that time. Back then the Internet was not even in its infancy: It was the purview exclusively of the U.S. military. I did not even obtain my first email address until about 1994, if memory serves correctly, when I was in my last year at McGill. It is incredible to think that an act drafted around basic radio and television technology, circa 1991, is still regulating the sector today.

Today, as parliamentarians, we are taking an important step forward in modernizing broadcasting regulation in Canada. Nowadays, we know that this sector has remarkably flourished and represents a unique opportunity to access culture. Many platforms have emerged, including Netflix, Disney+, YouTube and Spotify. These provide opportunities to share Canadian culture and content all around the world, also while consuming cultural content here at home that comes from several different countries.

However, online broadcasting services are currently not subjected to the same regulations as traditional broadcasting services. This bill would fix that basic inequality. Canadians greatly benefit from accessing foreign productions, but it is also essential to support our Canadian producers and creators, especially now during a pandemic, when showcasing Canadian content and telling Canadian stories is so critical to the well-being of all of us. This is something that we as a government have always sought to do since coming to power in 2015, by funding our national broadcaster the CBC, and by increasing funding to the Canada Council for the Arts as well as to Telefilm Canada.

However, one issue has remained a stubborn obstacle. How do we support Canadian content in an era when the methods for broadcasting are shifting massively, from radio and TV to online? Bill C-10 would fill this void by providing the CRTC with modern regulatory tools.

Canadians are increasingly using online platforms to access cultural content. For instance, it is estimated that 62% of Canadian households currently use Netflix. This dramatic shift has resulted in an increase of approximately 90% in online video revenues per year for the past two years. Meanwhile, conventional broadcasters have experienced a steady revenue loss of 1.8% per year for the past five years. These alarming statistics clearly demonstrate that the CRTC's regulatory framework needs to be adapted immediately to better support Canadian content producers in order to level the playing field.

Implementing the changes in Bill C-10 would quickly produce clear and concrete impacts. Let me give an example. By creating a new category of broadcasting under the online broadcasting category, Bill C-10 could lead to increasing contributions to Canadian music and stories by as much as $830 million by 2023. This is excellent news for our Canadian cultural sector.

Let me speak about diversity. In addition to levelling the playing field between the traditional broadcasting services and the web giants, by ensuring that web giants contribute to the creation, production and distribution of Canadian stories and music, this bill would also reflect where Canadian society is in 2020. The new regulatory framework outlined in Bill C-10 is focused on building a more inclusive cultural sector as part of the larger goal of building a more inclusive Canada.

Supporting diversity and inclusion is essential, and that it is exactly what Bill C-10 would do. Anglophones, francophones, racialized Canadians and Canadians of diverse ethnicities, socio-economic statuses, abilities, sexual orientations, gender identities and expressions all deserve to be represented in our cultural sector. I cannot stop myself from thinking about all the kids out there, including my own brown-skinned South Asian children, who are watching shows and dreaming of their future. They have to know that their dreams can come true and they can achieve everything that they want. Seeing people who look like them in the shows that they watch is undoubtedly important. I know this as a parent. I know this as a racialized parliamentarian.

We know that representation is a key step to reaching better inclusion of marginalized groups. The logic that applied when we decided to put Viola Desmond on the $10 bill to ensure that all Canadians, including Black Canadians, could see themselves represented in our institutions, also applies here in the cultural sector. The more Canadians who can see themselves reflected in our cultural sector, be they religious or racial minorities or others, the better we are as a nation.

I want to also highlight the importance of improved support for indigenous cultures in our broadcasting sector. During the last Parliament, I was privileged to be asked by the Prime Minister to serve as the parliamentary secretary to the then minister of heritage. In that role at that time, I had the chance to work on co-developing with first nations, Inuit and Métis leaders Canada's first ever Indigenous Languages Act. The work I did on Bill C-91 in the last Parliament deeply shaped my own understanding of the need to protect indigenous cultures and languages in order to empower first nations, Inuit and Métis people on Turtle Island.

By including concrete measures in this bill to better reflect indigenous cultures in Canada, Bill C-10 will contribute to that work of the revitalization of indigenous languages by ensuring that indigenous children have access to cultural content in their languages. Let me emphasize that Bill C-10 would have a real impact on the preservation and revitalization of indigenous languages and cultures, which is fundamental to reconciliation.

I am also pleased to see that the broadcasting system will be adapted to the needs of persons with disabilities. There is a lot of work ahead of us in order to build a more inclusive Canada for people living with disabilities. Ensuring that programming on TV, radio and online is accessible without barriers to persons with disabilities is a step in the right direction.

When I speak about my riding of Parkdale—High Park, I know that promoting arts and culture is a very important issue not only for my riding, but indeed for all Canadians. I want to highlight, for example, that just last week Warren P. Sonoda was elected president of the Director's Guild of Canada. I had the opportunity to work with Warren on important roles when I was the parliamentary secretary to the minister of heritage. I am thrilled to see what he will accomplish while holding that position. I want to credit the work by outgoing former DGC president, Tim Southam.

My riding of Parkdale—High Park is known for many people like Warren and Tim. It is known for great artists, wonderful creators and important film and TV producers. I am speaking for example of Dave Forget, currently on the national executive team for the Director's Guild, having previously worked for 14 years at Telefilm. He has spent most of his life working in the film industry, and I am proud to call him a constituent.

Additionally, professor Chris Romeike in my riding did the cinematography on the recent movie The Inconvenient Indian, which was based on Thomas King's bestseller. It explores the cultural colonization of indigenous peoples in North America and was deemed by the producers of TIFF as the one must-see film at TIFF this year.

I want to congratulate so many people: Paul Barkin, Mary Young Leckie, John Turner, David Makin, Alain Zweig, Jasmin Mozaffari and Ali Kazimi, for all of their important and award-winning work and contributions to the film and TV sectors. Ferne Downey, who was mentioned in the context of the previous speech, is my constituent. She was previously the head of ACTRA and is now the head of the International Federation of Actors.

I could keep going much longer, but I will mention one last person: Jeff Churchill, of Jitterbug Boy, an original footwear company in my riding whose shoes are being made for a variety of shows such as the upcoming Batman film. What is important about that last reference is that when we support the Canadian cultural centre, we are also supporting all of the derivative economic benefits that come from supporting film, TV and our content creators. That is what Bill C-10 will enable us to do by better funding the sector and levelling that playing field. This is a critical piece of legislation.

We know that financial support for Canadian content will decline as the revenues of traditional radio and television broadcasters continue to decrease. Bill C-10 is the first step in aiming to fully modernize the broadcasting system in Canada to ensure that both traditional and online broadcasting contribute to the Canadian broadcasting system. Our Canadian producers deserve to be operating in a fair situation where the rules are equal for everyone. Allowing the CRTC more powers to modernize the regulatory framework is important, by imposing more regulations on online broadcasters, as is simultaneously ensuring the regulatory independence of the CRTC.

In conclusion, as I have outlined, Bill C-10 is about ensuring fair and equitable treatment between traditional and online broadcasters. It is about better representation of Canadian society in our cultural sector. I am incredibly proud of our Canadian cultural sector, and in particular the role it is playing in buoying Canadian spirits and easing Canadian anxieties during the COVID-19 pandemic. I know that with the right tools, our Canadian creators will continue to keep producing terrific Canadian content for years to come. Bill C-10 is one of the tools we need to maintain our support for Canadian creators. The work of passing it should not be a partisan issue, nor should it be delayed. We cannot afford to wait 30 more years before modernizing the act. The time to act is now.

[Lenore Zann, Liberal, Cumberland—Colchester, NS]

Mr. Speaker, as a professional artist myself for 40 years, I am also a member of the Canadian actors' union, ACTRA, and colleagues like Ferne Downey, Theresa Tova and David Sparrow have been lobbying governments for the modernization of Canada's Broadcasting Act, which is now Bill C-10, for years. They say that these proposed changes will help strengthen the industry and lead to increased investment in Canadian content production and, by extension, increased work opportunities for Canadian performers.

My question for the member, therefore, is this. Will she and the NDP be supporting this important legislation? It is a first step in doing the right thing for Canadian performers.

[Rachel Blaney, NDP, North Island—Powell River, BC]

Mr. Speaker, I am very happy to be here today to talk about Bill C-10, and more importantly, talk about the reality that we need to continue to protect Canadian content in our broadcasting systems, in all of our media. The other part of this conversation is about fairness and acknowledging web giants in this country have been getting off very easy. As they have been getting off very easy with very little content taxes, our people who fight for local Canadian content have been left behind.

I represent the beautiful riding of North Island—Powell River. It is the third-largest riding in British Columbia and it is part of Vancouver Island and is also on the Mainland. I am incredibly proud to represent these voices.

Recently, there was a huge storm in our riding. It was a mix of wind, thunder, lightning and snow, of all things. Snow is very rare in our part of the world. During that time, there were huge power outages and people were not sure what was going on. It was our local newspapers and radio stations that let people know what was happening, and if it was not for them, folks would have been isolated and alone. I can promise the House that none of the big web giants were concerned about what was happening in our riding.

I want to give a special shout-out to the local Port McNeill IGA. When people went without power for a long period of time, it had a beautiful BBQ to feed people. It said that if people had any money to give to please give and it would donate it, but if people could not, to just go there and they could get fed. Those are the people I am so incredibly proud to represent and those are the stories we as Canadians need to hear.

There are local papers in my riding: the Campbell River Mirror, the Comox Valley Record, the Powell River Peak and the North Island Gazette. They are always making sure we know what is happening in our riding. I respect them immensely. They are very small, and they get out there and make sure we record what is happening and let other people within our communities and region know what is happening locally in our community. They remember all of those communities, the little ones like Sointula, Woss, Whaletown, Van Anda, Alert Bay and many more.

Something particularly unique and special about Canada is that we have a huge land base and a small population, and people are living all over the place living important lives. These papers connect us. They work hard to keep us informed on what is going on nationally, internationally, and most importantly, locally. They tell us what is happening.

I think about Remembrance Day this year. It was very different than the Remembrance Day we are used to. Usually people are out together across all the communities. This time, people were waiting for the newspapers to share their recordings on social media. They were waiting to see the pictures. These are important roles, and if they were not there watching, it would not be happening.

The reality is they are facing a huge challenge. They are having to fight every day for their survival. Their huge competition are significantly bigger corporations like Facebook and Google. They are fighting them and trying to survive. All of those local papers use Facebook, which is an important tool. However, more and more people are using things like Facebook and Google to advertise, which means they are not getting the same amount of money that really helped them build their businesses.

I want to say it again, Facebook is not dedicated to our region. It does not show up at all the local events and it does not make sure to keep the history of our community. If people want to know what happened in their community in the past, where do they go? They look at old newspapers. That is where we learn about what happened and get those pictures of our ancestors who did things in the communities. That is an important part of carrying on our history.

We know when COVID came the challenges for our local newspapers only increased. In the middle of a pandemic, our local culture and media folks were worried about keeping their jobs. According to the Yale report, Google and Facebook have received nearly 75% of online advertising revenue in Canada. That leaves our local TV and newspapers only gaining 8.5% of all Internet advertising.

The CBC did a compilation that showed that in 2018-19, Ottawa spent $52 million advertising on web giants. That was five times more than the local Canadian platforms. That is devastating, and it tells us something very important, that we are seeing a decrease of support for local content.

I said earlier that I represent a rural and remote riding, with lots of communities that really need these meaningful jobs. When we see that unfair competition, we see that they are not getting to keep those jobs. This is another thing that we have to start addressing in this country, that rural and remote communities are challenged. We need to have a better strategy so that those economies can grow and blossom. The more we centralize, the less those communities flourish. We have to take some leadership on that. I am waiting to see the government do that.

This bill really punts it down the line. I know the last member who spoke disagrees with that, but we are giving it to the CRTC and saying, “Figure something out.” It has happened in other places. For example, in France, the cultural minister actually stood up and said that if they were going to go there and create content, they would have to pay taxes so that there could be local content.

If all of these web giants are going to be making money, they are going to have to pay their fair share so that our Canadian folks do not lose their jobs and we do not lose the history of our precious country.

Here we are again, discussing, and I did this in the last Parliament, the Liberal promise to make sure that web giants pay their fair share. However, again, this legislation has nothing around fair tax rules. That is what we need. Most people would remember when the Liberals made a big announcement that we were going to get money from Netflix, it would be great, it would be taxed a bit more. What did we all see across the country? Canadian rates for Netflix were raised to cover that cost.

We are talking about actually taking these guys on and making sure that they pay their fair share so that Canadians can remember their own content. We need to protect Canada's unique voice.

In my riding, I am so impressed with the Vancouver Island North Film Commission. Its leadership has been immense and has brought opportunities into our riding. It has really worked hard. I just want to say how much I respect the commission and how important that is. In fact, it locally connected with the North Island College not too long ago. It began training people.

What we are seeing is local people being trained in our local communities, and then working in the film industry in our region. This is so important.

In this country, we need to take leadership and say, “We have this immense country. We have rural and remote communities, and their economies are based largely on the resources. We do not want that to end, but we want to diversify so there is more stability.”

This is a place where resources could go from these big web giants, and make sure that these folks get the support they need to build important content that is Canadian, but also to maintain a diversity of employment, of good-paying jobs, in our regions.

When we talk about addressing these big web giants and their paying their fair share, we know that organizations like Amazon, Apple and Netflix can pay. While the reality in this country is that they are not paying, and are in fact undercutting our local content providers, we are not doing the right thing.

When we work on this bill, and I see some good things and I hear from the government that we should get into committee and make it work, I wish the government would be a little more ambitious. I wish the government would not wait for the opposition parties to tell them what to do.

When we get down to it, we have to protect local content. We have to look at our systems and make sure there is a diversity, so that when we look at our economy, we see that diversification happening across the board so that everybody benefits from it.

In closing I will simply say this, I come from a riding that has built this country. That is what rural and remote communities do. They have their economies that are largely resource-based, and they have built Canada. I want to thank them. We want to see some accountability in this House to make sure that those communities stop suffering and start having a more diverse and stable economy. It is simply time. It is definitely time to make sure those web giants pay their fair share.

[Elizabeth May, Green, Saanich—Gulf Islands, BC]

Mr. Speaker, I listened to my hon. colleague from Newmarket—Aurora's speech and I am very interested in Bill C-10 and seeing it get to committee.

The member made the point that this treats the live-streaming digital giants in the same way that we would treat other parts of our economy. I want to ask him if we do not need an amendment to direct that, in the case of outfits like Twitter and Facebook that are actually gutting our Canadian journalism, they be treated as publishers and not this fiction that they are platforms. Then, all the rules of libel and slander, etc. would apply to them.

[Tony Van Bynen, Liberal, Newmarket—Aurora, ON]

Mr. Speaker, I want to begin by acknowledging this House sits on the ancestral lands of the Algonquin Anishinabe.

Canadians are enthusiastic early adopters of technology. Time and time again they have readily embraced the wide variety of broadcasting services available to them, foreign and domestic. These broadcasting services empower consumers with the ability to watch what they want whenever they want it and however they want it. The same goes for listening to music and hearing the news. Bill C-10 will not limit the ability of Canadians to access the programming platforms of their preference; rather, it will ensure the Canadian broadcasting system continues to meet the needs of Canadian consumers.

The Canadian Radio-television and Telecommunications Commission is the independent regulator of Canada's broadcasting systems. It requires television and radio stations and cable and satellite distributors to support the creation and display of Canadian stories and Canadian music. These are requirements that have been in place for decades and have resulted in greater investment and promotion of Canadian content and talent, including high-quality journalism, groundbreaking musical artists and compelling and acclaimed programming.

However, in the current regulatory framework, online broadcasters are exempt from most broadcasting regulations. In other words, they are not required to contribute to the Canadian broadcasting system as is required of the traditional broadcasters. This is because the last time major changes were made to our Broadcasting Act was in 1991, before we experienced the new digital age and its challenges. We are well into the digital age now and it is time for our legislation to join us. It is time for online broadcasters to be treated the same as traditional broadcasters.

Bill C-10 would create a level playing field where all broadcasters have a fair chance to compete by ensuring that online broadcasters are subject to the same regulatory framework. Most importantly, it ensures that both traditional and online broadcasters contribute to a healthy and vibrant Canadian broadcasting system. For Canadian artists, this means securing sustainable funding that will allow them to continue telling stories and making music from a uniquely Canadian perspective. For most consumers this means the ability to access more content that will allow Canadians to see themselves, their communities and their stories reflected through different points of view. For Canada it means a stronger cultural unity, a shared national identity and a more inclusive society.

By presenting the content that is representative of different cultures, communities and languages from across Canada, broadcasting provides a window into the diverse experiences of Canadians. Made in Canada content is considered personally important to 78% of Canadians. It is clear that Canadians see value in seeing their stories on the screen and in hearing Canadian artists on the radio.

I am proud to say that the interest in Canadian content exists far beyond our borders. The hit show Schitt's Creek recently brought home nine Emmys, the film Indian Horse won an award at the 2018 San Diego International Film Festival and Quebec native Céline Dion is one of the best worldwide selling artists of all time. The list goes on. Including online broadcasters in the broadcasting regulatory framework could result in online broadcasters being requested to invest more than $800 million in our creators, music and stories by 2023. It could result in more Canadian successes being enjoyed and recognized abroad.

Whether getting traffic and weather updates or learning about the day's events from prime-time broadcasts, the broadcasting system is an important source of news for Canadians. Traditional broadcasters have long supported journalism and the delivery of local, regional and national news. By including a new policy objective that promotes the provision of news, including that produced by Canadians and reflecting Canadian perspectives from a variety of sources, we are strengthening the role of news in the broadcasting system.

Recognizing that a free and independent press is the cornerstone of our democracy, the bill would not contemplate the licensing of news organizations. However, the bill does create an equitable framework for broadcasting that will help safeguard news production. This way, traditional broadcasters who are important sources of news, and particularly local news, would be better able to compete with online broadcasting services.

The bill was also crafted to keep both online and traditional broadcasting services affordable for Canadians. We understand that, every day, Canadians are making difficult choices on how to spend their hard-earned dollars. This is especially true during these trying times.

Bill C-10 provides the CRTC with the ability to tailor regulatory requirements to specific business models. For example, the CRTC could impose mandatory Canadian programming expenditures on services that are already in the business of commissioning and producing content. Requiring services, such as Netflix and Crave, to spend a certain amount of money each year on Canadian content will help us move the needle on directing investments toward programming that is created and produced by Canadians, for Canadians. This will help the CRTC avoid imposing undue regulatory burdens on a particular service that would then result in raised prices for consumers.

These are just some of the ways that Bill C-10 would benefit Canadian consumers, creators and artists. The exemption for digital services was originally put in place to allow for the innovation and development of new online media services. In 2020, when Canadians mostly access programming online, these exemptions no longer make sense.

The inclusion of online broadcasters in the Canadian broadcasting system with regulatory clarity would promote the entrance of new players into the Canadian market. It supports a vibrant and healthy competition in the sector, creating additional pressures to keep costs down. For Canadian consumers, it leads to a wider variety of high-quality content, with a greater diversity of views in which Canadians proudly see themselves and their stories. After nearly 30 years, it is time to modernize our broadcasting system and to safeguard it for the future.

[Kevin Waugh, Conservative, Saskatoon—Grasswood, SK]

Mr. Speaker, I have talked to stakeholders and industry people about this, and YouTube is completely unregulated in Bill C-10. It has been 28 years since we last updated the Broadcasting Act. Where do members think YouTube is going to be in the next 28 years? Should we be regulating YouTube? Sure we should be regulating it. That is my personal opinion. It is one thing we have talked to industry and stakeholders about. They are concerned that YouTube is not involved in this.

Only two provinces in Canada have a tax on Netflix. One is Saskatchewan and the other is Quebec. It is being taxed in only two jurisdictions, and I would say that it is getting away with murder in the rest of the provinces and territories.

[Kevin Waugh, Conservative, Saskatoon—Grasswood, SK]

Mr. Speaker, it is an honour to have the opportunity this afternoon to speak to Bill C-10. It is an act to amend the Broadcasting Act. Updating this Broadcasting Act is crucially important. The statutes in the act provide the guidelines for everything in our media industry, from how our Canadian broadcasters operate to how we support Canadian content and production.

Updating it right now is particularly important because, as we know, the Broadcasting Act has not really been updated at all since 1991, a long time before Internet companies and online streaming services were competing with Canadian broadcasters.

It is deeply disappointing that the government’s proposals are so incredibly lacking. I am going to focus in on four points today. First, the legislation does nothing to address social media companies, such as Facebook and Google, and their various properties, such as YouTube, to pay its fair share. Second, it does not bring digital platforms, such as Netflix and Spotify, into a system in which they are on a level playing field with the conventional Canadian broadcasters.

Third, it does not provide any details on Canadian content production and media fund contributions by digital broadcasters. Finally, it gives all of the power to the Canadian Radio-television and Telecommunications Commission, commonly known as the CRTC, which is a body that is not only ineffective at regulating in its area, but that also often struggles to even enforce its own regulations.

Before I dive into the details of this bill, I want to give some background. A lot of people in the House know that prior to my election, I spent over 40 years as a radio and television broadcaster here in the province of Saskatchewan.

During my broadcasting career, I experienced first-hand the dramatic evolution of those industries and how Canadians interact with their media. When I first entered the industry back in the 1970s, radio and television were the dominant forces of entertainment here in this country.

Over time, as television became more and more accessible and mainstream, demand for radio really declined. More recently, we can look at music streaming services such as Spotify, Google Play Music and Apple Music, which have attracted many Canadians away from radio. This has resulted in many stations across the country being forced to either greatly downsize or shut down entirely. We have seen that here in Saskatchewan.

I will give some details on the radio industry. Right now, a lot of stations in Saskatchewan run for only 12 hours. They will come on at six in the morning and broadcast until six at night. They will then have repeat programming for the next 12 hours. This is disturbing. It is hard to find a live disk jockey or newscast at night because these stations only run 12 out of 24 hours.

It is disturbing because, as a young broadcaster back in the 1970s, that was how one learned the business, by working nights and late nights. That has been taken away from people in this province. It is hard to find a live announcer after 7 p.m. on any Saskatchewan radio station.

Major conglomerates have gobbled up some of the radio industries in Saskatchewan. Stations in places such as Prince Albert, North Battleford, and even the satellite feeder in Meadow Lake, are now part of the Pattison Group.

We have seen a sort of renaissance in the province with smaller radio stations trying to make it on the FM dial, such as Humboldt and recently Assiniboia. This past January, Nipawin got its licence for the first time in the north-east area of Saskatchewan. There was an intervention by one of the big players in the country, but today Nipawin has its own FM radio station. It got approval from the CRTC in January.

I would be remiss to not mention MBC radio, of the Missinipi Broadcasting Corporation. It is Saskatchewan's only indigenous radio station, and it is located in La Ronge. For some 10 hours a week, it broadcasts in Dene, and for another 10 hours a week, it broadcasts in Cree.

With this bill, Bill C-10, this is where I would really like the CRTC to concentrate. We have seen that this station uses Cree along with Dene up in northern Saskatchewan. It is needed. In fact, during the election I caught a 30-second advertising spot by a candidate done in Dene, telling the people up there to vote for him or her. It was kind of interesting. It was really good.

I also had the fortunate opportunity to go to Nunavut just two years ago. I went to eight communities up there. They speak a lot of English. Inuit and Inuktitut are spoken as well. I went up there and saw the people up in Nunavut, including Chesterfield Inlet, Arviat, and so on. That is their way of communicating.

This is my concern today with the CRTC. How is it going to look after this whole Bill C-10, and the Broadcasting Act? It is big. We have a big country. I have just pointed out the needs in Nunavut and northern Saskatchewan. There are many other places in this country. This is a very, very big bill.

Similarly, streaming services such as Netflix, YouTube, and even Disney+, are increasingly becoming the default source of entertainment for many across the country. Many television studios are struggling and beginning to downsize and cut costs. We saw that today with the announcement from Rogers.

Much like their radio counterparts, television stations here in Saskatchewan have been forced to make cuts. Many local stations have either been shut down or have really reduced staff. I can tell the House that, as a former broadcaster in that province, I remember when Swift Current had its own television station.

Yorkton and Prince Albert are repeater stations now. Prince Albert rebroadcasts Saskatoon, and Yorkton rebroadcasts Regina. I remember at one time that CKBI, Prince Albert television, had over 80 staff. We do not have that any more, so we can see that the industry is coming down. Swift Current no longer has a TV station. Yorkton basically has two or three people, and the same thing at CKBI Prince Albert.

For a long time, I think that sports was considered the bedrock of television. While television series could always be recorded, watching sports live had a particular importance. No one wanted to miss that big game or have the results spoiled.

However, today even sports, a sector that has long thrived based on live television, is moving away from the traditional broadcasts. Services such as NHL GameCenter, Dazn, Sportsnet NOW, and TSN Direct allow sports fans to watch their favourite teams from wherever they would like. They can flip between games and even watch multiple games at once.

I will make this point. I remember the 2010 Olympics in Vancouver. The president of Bell Media was in line for the gold medal game, the women's hockey gold medal game. There was a big crowd in Vancouver. No one could get into the game on time, but at that time the game was streamed.

The president of Bell Canada went on his phone and watched the game. He turned to his assistant while he was in line and said that this was the future of broadcasting, and that Bell Canada had to buy it. That was in 2010. Lo and behold, a short time after, Bell reacquired the CTV television network.

The reality today is that the way most of us here in the House of Commons consumed entertainment growing up is no longer the norm. Many growing up today would consider it simply out of date or even obsolete.

Certainly, even though many of these changes have been revolutionary and have benefited consumers, they have created many problems for the Canadian broadcasting sector. Our laws and regulations need to be updated to match the changes of the last 30 years. That raises this question: What exactly needs to be fixed in a modernized broadcasting act?

The Internet giants such as Netflix and Spotify are simply not paying their fair share. These companies do not pay taxes. They are not required to pay into the Canada Media Fund, as conventional broadcasters are today. They are not required to meet the Canadian content requirements that conventional broadcasters are bound by.

As more and more attention is paid to major streaming giants, and they are taking up more and more of the market share, conventional Canadian broadcasters, both at the local and the national level, are being pinched out, and they know that.

The current circumstances not only create an uneven playing field, they also put Canadian broadcasters at a significant disadvantage in having to allocate their resources, when Internet giants simply do not have to do that. The Broadcasting Act clearly needs to be updated for the world that is dominated today by the Internet.

Unfortunately, the legislation that the government has put forward to us today is wholly inadequate in addressing the issues that I just laid out. Let us begin taking a look at what the government's main solution seems to be in Bill C-10. I think they are passing the buck solely to the CRTC. It is unfortunate the government is simply passing off the responsibility to the unelected body that has historically had many issues fulfilling its own mandate, particularly on this issue.

At the beginning of this year, the Canadian Broadcasting and Telecommunications Legislative Review panel tabled its report, known as the “Yale report”. In fact, I attended that news conference in Ottawa in January when the panel released its 94 recommendations. That news conference lasted almost two hours. There were plenty of questions directed at the panel, and it was directed by conventional broadcasters.

Many of them expressed concerns about some of the 94 recommendations that were made that day. The objective of the panel was to review the current broadcasting and telecommunications framework and present possible paths forward for Canadian broadcasting.

While I have my own issues with some of the recommendations in this report, one thing that has been raised as a major concern in my meetings with industry stakeholders is that the Yale report makes it clear that the CRTC already has the power to regulate Internet giants like Netflix. That surprised a lot of people.

If the CRTC can already regulate Netflix and its online counterparts, why has it not done so? Let us be clear here. The CRTC, the Canadian broadcasters and the government have all known for years what the impact of the unregulated online market is. It is crushing Canadian broadcasters. The CRTC done absolutely nothing with the power that it has to regulate, despite having had years to act.

One cannot help but wonder if the Canadian media today would be in a much better state if it were not for the CRTC's lack of desire to actually take some action. This bill would not change that. It simply reiterates it. It restates a power that the CRTC already has and has opted not to use, so why would it use it now? There is absolutely no reason to believe that the CRTC is going to change now, when there is no compulsion to do so.

Even if the CRTC decided to finally take the steps that it has had the power to do for years and regulate the web giants, I am highly skeptical that they would bother to enforce them. Sure, the government claims that this legislation before us today would modernize the CRTC's enforcement powers to ensure compliance with hypothetical regulations that the CRTC is not bound to actually make, but we already know that the CRTC does not necessarily use the powers that it is given.

On the specific issue of enforcement, I remember during my time as a broadcaster that when the licence renewal would come up every five years, everyone would be on their best behaviour in the station. Station management would make sure that everything was perfect for its hearings with the CRTC. Once it gave us the licence renewal, we would not hear from the CRTC again until five years later. The CRTC did not follow up to make sure we were abiding by the terms of our licence at all.

I also think about a more recent example of the CRTC simply failing Canadians. Earlier this year, at the outbreak of the COVID-19 pandemic, the CBC decided to pull Compass, its 30-minute local news program in Prince Edward Island. It is the only local news for P.E.I., and CBC took it off the air.

At a time when islanders needed their local news the most, the CBC abandoned them. What did the CRTC do? Absolutely nothing. It was only through the outrage of viewers in that area that the CBC brought Compass and the newscasts back to the people of Prince Edward Island.

If the CRTC is not going to act when Canadians need it the most, how can we expect it to actually act in the best interests of Canadians when it comes to Internet giants?

I remember an instance when Global doing something similar here in the city. In Saskatoon we had a newscast that actually came out of Toronto. The CRTC was unaware of that, but it has since been rectified in the city.

I think everyone here can understand my skepticism today of putting all of our eggs into one basket by dumping this onto the CRTC. However, for the sake of argument, let us pretend it is not an issue. Let us pretend that the regulator has absolutely no issues with fulfilling its mandate. Are there are any other problems with the bill?

Let us start with social media. The legislation does nothing to ensure that online platforms, such as Facebook and Google, that have built their businesses by sharing other people's content are paying their fair share. In fact, the bill absolves those companies from responsibility for content posted on their platforms.

Then we need to consider what measures are being proposed to make sure that conventional broadcasters are on a level playing field with digital platforms. The reality is there is nothing. It gives no guidance or explanation of how the regulations or guidelines should be created or drawn.

Finally, this legislation provides no guidelines at all as to whether or not digital platforms will be forced to meet the same Canadian content production rules or be required to make payments into the Canada Media Fund. All of our conventional broadcasters must still meet these requirements. This sounds nothing like levelling the playing field.

However, we should not worry if this does not go well, because the government is here to save the day. It can settle issues with an order in council afterwards. Instead of being clear with broadcasters and Canadians, the government is going to wait a little longer and potentially implement policy later. That is simply not a plan. Broadcasters cannot prepare for the future while these discussions and regulations are created behind closed doors.

Who could blame Canadians if they begin to wonder what the government is planning to implement that it is not willing to put in today's legislation. What is it hiding? The government has not told us.

Let us review. There is no guarantee that the CRTC will actually fulfill its obligations and produce regulations. It could have before, and it did not. If it does, will it enforce them?

What about the rules for platforms and conventional broadcasters? What are they going to look like? The bill does not tell us. We do not know what the rules around the Canada Media Fund or even Canadian content will be. There is nothing new for dealing with social media platforms.

What do we know? Well, not a lot, actually. What we do have is a lot of uncertainty.

The government is leaving the whole process up in the air with regard to the CRTC. Industry cannot be sure what the government is going to do to regulate in this area because it has totally neglected this in the past. Even if it does, it is going to take months for Canadians to hear anything from the CRTC, and that means months of more uncertainty at a time when our media industry is already greatly struggling.

I want to reiterate my serious concern about the legislation before us today. Canadian broadcasters and creators are struggling mightily. We know that. The government needs to do something to remedy the situation.

The power to regulate companies like Netflix already exists under the CRTC, but it has chosen not to act and this legislation does not compel it to. What reason do Canadians have to believe that the CRTC will bring in new regulations or that they will be enforced?

The House resumed consideration of the motion that Bill C-10, An Act to amend the Broadcasting Act and to make related and consequential amendments to other Acts, be read the second time and referred to a committee.

[Simon-Pierre Savard-Tremblay, Bloc, Saint-Hyacinthe—Bagot, QC]

Mr. Speaker, I want to emphasize the importance of local radio.

Local broadcasting is essential because local information cannot be covered in national news reports. Local radio stations are needed to cover municipal and school news. They also mean local journalists, local artists who can send in their productions, and local jobs.

These radio stations could be decimated over the next few months if we do not take action. In my riding, there are two radio stations that I love to listen to. They are Radio Acton and Boom FM. What will I tell those stations about targeted support and the more flexible regulations that they need in this time of crisis?

Why is there nothing about that in Bill C-10?

[Sukh Dhaliwal, Liberal, Surrey—Newton, BC]

Mr. Speaker, I would like to thank the hon. member for Vaughan—Woodbridge for sharing his time and for his willingness to work with other members of Parliament across the nation.

I am pleased to speak today in support of Bill C-10, an act to amend the Broadcasting Act. It is sad that in the digital age in which we are living, the law is rarely able to keep up with technological advancements. This digital revolution, referred to as the fourth industrial revolution, is characterized by a pace of breakthroughs that we have never seen before. Every industry in every country around the world is being disrupted. As a result, it is impacting production, management and governance.

A 2016 paper from the World Economic Forum on the fourth industrial revolution makes one point very clear. The only way for governance and regulation to work in such a complicated environment is to operate with a clear foundation of values rather than playing regulatory catch-up. This is the essence of the bill.

With audio and audiovisual content being offered for mass consumption online over the past two decades, Canada has been exposed when it comes to fostering Canadian content, as has been done for decades through the CRTC. Supporting the telling of Canadian stories, giving a platform to Canadian voices and sharing Canadian perspectives for our population from coast to coast to coast has always been a challenging issue with Canada being located next to the largest producer of content in the world; that being the United States.

The CRTC is unique in that it is not only a regulatory agency but, rather, a key component of our Canadian cultural landscape. It serves as the primary actor in facilitating Canadian content production to the broadcasting sector. It is our path toward preserving local culture as well as our national identity.

Since the Broadcasting Act was last updated in 1991, Canadians' consumption of content has changed dramatically. Millions of Canadians have cut the cable, so to speak, and are receiving their news and entertainment through online platforms. As an example, as of 2019, Netflix is present in 62% of Canadian households, with other streaming services continuing to grow year after year.

To give some context on how large digital content consumption has become in Canada, it is estimated that revenues for Canada's digital media market will hit over $4.7 billion in 2020. This number is skyrocketing when compared to other forms of media consumption, such as television and radio. In other words, updating our Broadcasting Act is long overdue.

The streaming that we now consume in the comfort of our homes carries stories from across the globe as consumers have never had more choices and access to such a diversity of content. However, that also means that Canada's history of promoting and supporting Canadian content must be extended into the realm that so many of us rely upon daily.

We are lawmakers, and we have an obligation to not unduly disadvantage Canadian content creators in the digital era. We have an obligation to do everything in our power to ensure the diverse voices that make up our country, including indigenous peoples, racialized communities and persons with disabilities, have the same ability to share their stories as the international content producers that are so readily available to us now.

This is where the intent of the Broadcasting Act becomes so apparent. As mentioned, our lives are filled with receiving and consuming online content. We might wake up in the morning and check the news headlines on our phones or other digital devices, which of course was a role filled in the past by news publications: independent media.

We might now stream music on our commute to work, as opposed to traditional radio that might have filled our vehicles or headphones. In the evening when we get home from work, we might then search through our favourite streaming service to find a show or movie we can relax to. This is just a very general snapshot of the types of activities and choices of content in 2020.

Of course, this is particularly heightened during the COVID-19 pandemic, where social interaction is now regularly replaced by consumption of this content.

Ultimately, Bill C-10 is defined by the principles of equality, inclusivity and, most importantly, by Canadian content creators and sustainability. While this legislation would modernize the CRTC's enforcement powers and update the oversight and information-sharing provisions it has available, ultimately it is about creating opportunity through collaboration. It is about mandating the streaming services that want access to the Canadian marketplace to meet certain broadcasting obligations that provide financial support to allow for more Canadian content to be produced and consumed.

While members across the House might attempt to characterize this bill as an example of over-regulation or limiting free speech, the reality is far different. Simply put, this is an update to our Broadcasting Act that would allow Canadian stories to be produced. It would allow Canadian consumers to have ample access to such stories and, most importantly, it would allow our unique cultural identities to have ongoing security and opportunity in the rapidly evolving digital world.

In conclusion, I hope this bill is widely supported by all parties in the House as it is an update that goes beyond politics or ideology. For the most part, technology moves far faster than we do as legislators. This legislation is a tool that would ensure we are always ahead of the curve in preserving our diverse voices in the age of digitization. This is about ensuring Canadian content can thrive for generations to come, and ultimately, there should be no party or member in the House who can argue with this fundamental principle.

I am thankful for the opportunity to speak on this important piece of legislation today.

[Francesco Sorbara, Liberal, Vaughan—Woodbridge, ON]

Mr. Speaker, we see the trends for content consumption and the platforms that are utilized. Currently, online undertakings that deliver audio and audiovisual content are exempt from licensing. We want to ensure the regulatory requirements that the traditional broadcasters and platforms have are extended to those online undertakings. We need to ensure a vigorous framework for broadcasters, which is what we are doing with Bill C-10.

I again encourage all my hon. colleagues to get the bill to committee stage so the learned committee members can have a vigorous debate and put forth even more ideas that could potentially improve the bill, and have the process to continue.

[Francesco Sorbara, Liberal, Vaughan—Woodbridge, ON]

Mr. Speaker, we all need to support our local newspapers.

When I was a young individual, I delivered the Prince Rupert Daily News door to door. That was great content for households in the hometown in which I grew up.

Today we need to modernize many aspects of our legislative framework in telecommunications and broadcasting. Bill C-10 is one part of that.

Let us get the bill to committee stage where there can be a vigorous debate. We know that with the world evolving as it is and with technological change, it is very important our legislative frameworks and structures correspond to that and that we continue to update them.

Canadian content is very important for me, for our government and for all Canadians from coast to coast to coast.

[Francesco Sorbara, Liberal, Parliamentary Secretary to the Minister of National Revenue]

Mr. Speaker, it is great to be here in the chamber this afternoon. I will be splitting my time with my friend and colleague, the hon. member for Surrey—Newton.

It is an honour to rise to debate Bill C-10. I want to take this opportunity to discuss an important issue that was raised by several members, namely, the best way to support our creators, including francophone creators.

I want to first remind the House why the legislation is so important. Historically, under the Canadian broadcasting system, traditional broadcasting services, such as radio, TV and cable, were required to fund Canadian content, our stories and our songs. However, the emergence of online broadcasting services, such as Netflix, Crave, Spotify and QUB Musique, which are not subject to the same types of regulatory requirements as traditional services, has resulted in a regulatory imbalance that jeopardizes the future of Canadian content funding.

The bill seeks to ensure that traditional and online broadcasting services are appropriate for Canada's creative sector. Of course these contributions must benefit a wide range of Canadian creators and consumers, including francophones across the country, as I heard from my colleagues in the opposition.

I now want to speak about the issue of support for francophone creators and French-language content produced by francophone minority communities.

First, it is important to recognize that this is a key issue and that the concerns expressed by stakeholders are entirely legitimate. We must not forget about the minority status of francophones in North America, which is dominated by the English world.

Online broadcasting giants like Netflix and Spotify will not necessarily consider the needs of francophones in Canada, whether they live in Quebec or in a minority community in Canada. However, we know that television and radio are vitally important to language, culture and the identity of the francophone minority in North America.

It goes without saying that measures are needed to support and promote francophone history and music. We agree on that, especially now that online broadcasters have turned Canada's broadcasting sector upside down, and the French-language market is no exception.

Online broadcasters present unique challenges regarding the availability and promotion of online content in French, and especially content produced by our francophone minority communities. I want to point out that 47% of francophones watch primarily English content on Netflix. That is a departure from traditional television, where 92% of the francophone market tunes in to French-language programming.

Similarly, the appetite for English-language films and audiovisual productions has been increasing for years, as has funding from foreign investors, but the average budget of French-language productions has decreased, and these productions receive little funding from foreign investors.

On the music and digital platforms front, in 2017 there were just six French Canadians in the top 1,000 most popular streaming artists in Canada.

Obviously we must act, but how? Some have proposed to include quotas or mandatory investment thresholds for French-language content in the Broadcasting Act.

At first glance, this may seem like the best way to remedy the problem, but what is it really? The fact of including a mandatory investment threshold in the act fixes it permanently and, as the Minister of Canadian Heritage rightly pointed out, the minimum is likely to become the maximum.

There is no reason to cut funding for French-language content in this way. A better way to do this is to give instructions to the CRTC, telling it to ensure that an appropriate portion of the funding is devoted to the creation of French-language programming and to take into account the difficulties inherent in the creation and broadcasting of French-language programming, particularly in minority communities.

This is how our government suggests we proceed. Regulation is a flexible tool that allows action to be taken that is in tune with technological advances, the development of industry and the values of Canadian society. It should be noted that the CRTC has long overseen the application of a rigorous regulatory framework of traditional services to support and promote French-language content. The CRTC's record is unambiguous. It has demonstrated a firm commitment to the imposition of regulations that ensure support for francophone creators.

Thanks to the CRTC's efforts, for the past 10 years the volume of French-language television production has been stable and represents 25% of the total volume of Canadian television production. The efforts of the CRTC have also served to promote French-language music. French-language radio stations must devote at least 65% of their weekly programming to this purpose, from popular music to French-language music. The CRTC can be expected to put in place an equally stringent regulatory framework for online broadcasters. It will ensure that it provides fair and equitable support for Canadian content in both official languages and that it takes into account the specific needs of francophone creators across Canada.

We all agree that action must be taken to support francophone creators and French-language content across Canada, its primordial, and also all creators and content creators in Canada. Our bill and the instructions it gives will give the CRTC all the tools it needs to ensure that funding and regulations support Canadian content in both official languages, but also indigenous, multicultural, real Canadian content and just a window into Hollywood.

This is the best approach to ensure that Canada's creators can continue to create audio and audiovisual works that reflect who we are as a country. The creation of content in both official languages is an essential cultural objective. Regardless of technological or other advances in the broadcasting sector, this modern and equitable legislative and regulatory framework will provide unequivocal support to broadcasters, producers and creators across Canada.

I encourage all members of this honourable House to hastily send the bill to committee to be improved and to deliver real changes to the broadcasting sector, which it has been requesting for so long.

The House resumed consideration of the motion that Bill C-10, An Act to amend the Broadcasting Act and to make related and consequential amendments to other Acts, be read the second time and referred to a committee.