Evidence of meeting #41 for Industry, Science and Technology in the 39th Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was crtc.

A recording is available from Parliament.

On the agenda

MPs speaking

Also speaking

Richard French  Vice-Chair, Telecommunications, Canadian Radio-television and Telecommunications Commission
Sheridan Scott  Commissioner of Competition, Competition Bureau, Department of Industry

4:20 p.m.

Conservative

The Chair Conservative James Rajotte

We'll go now to Monsieur Arthur.

4:20 p.m.

Independent

André Arthur Independent Portneuf—Jacques-Cartier, QC

Good day, Mr. French.

I want to talk about significant stakeholders. In Quebec, Bell and Videotron are major players, while Telus and Cogeco are much smaller. There is a duality between Bell and Videotron.

With regard to residential telephone service, Videotron has currently succeeded in tripling if not quadrupling its market share while you are holding Bell back and preventing it from running. By how much would Bell Canada have cut its rates if you had not stopped it?

4:20 p.m.

Vice-Chair, Telecommunications, Canadian Radio-television and Telecommunications Commission

Richard French

Bell is able to cut its rates, but it cannot do so selectively, meaning only in areas that it shares with its competitors Videotron and Cogeco. Your question is valid with regard to those areas. I couldn't say, but I can tell you that, according to Mr. McTeague, Bell may increase its prices. You mentioned the opposite possibility.

4:25 p.m.

Independent

André Arthur Independent Portneuf—Jacques-Cartier, QC

You told him that he was wrong, by the way.

4:25 p.m.

Vice-Chair, Telecommunications, Canadian Radio-television and Telecommunications Commission

Richard French

We do not have the same information he does. Clearly, Bell would like to cut its rates in the short term so as to better compete with Videotron and Cogeco.

4:25 p.m.

Independent

André Arthur Independent Portneuf—Jacques-Cartier, QC

And you prohibit it from doing so?

4:25 p.m.

Vice-Chair, Telecommunications, Canadian Radio-television and Telecommunications Commission

Richard French

Under our regulations, this company must cut its rates throughout Quebec, not just in areas where it has competitors.

4:25 p.m.

Independent

André Arthur Independent Portneuf—Jacques-Cartier, QC

You are acting as a mediator between two giants that have the means to play frequent, effective and seductive games. At the CRTC, you're constantly in contact with the people at Videotron. You know them well. We are also talking about Quebecor, a dominant television network in Quebec, and numerous newspapers. These people are extremely rich and their wealth depends on your decisions.

How long is the arm you use to keep Quebecor, Videotron and TVA at a distance and maintain the CRTC's integrity?

4:25 p.m.

Vice-Chair, Telecommunications, Canadian Radio-television and Telecommunications Commission

Richard French

But there are also Bell, Telus—

4:25 p.m.

Independent

André Arthur Independent Portneuf—Jacques-Cartier, QC

No, no. The question specifically referred to Videotron, Quebecor and TVA.

4:25 p.m.

Vice-Chair, Telecommunications, Canadian Radio-television and Telecommunications Commission

Richard French

I don't know whether you are aware of this, Mr. Arthur, but I worked at Bell for 10 years. So I am quite familiar with this company.

4:25 p.m.

Independent

André Arthur Independent Portneuf—Jacques-Cartier, QC

I'm not talking about Bell, but rather Videotron.

4:25 p.m.

Vice-Chair, Telecommunications, Canadian Radio-television and Telecommunications Commission

Richard French

Yes, I noted that.

4:25 p.m.

Independent

André Arthur Independent Portneuf—Jacques-Cartier, QC

Could you tell us the distance you maintain between you and Mr. Péladeau's interests?

4:25 p.m.

Vice-Chair, Telecommunications, Canadian Radio-television and Telecommunications Commission

Richard French

I can tell you that we're trying to maintain an optimal distance between the CRTC and everyone affected by its decisions, equally.

4:25 p.m.

Independent

André Arthur Independent Portneuf—Jacques-Cartier, QC

The CRTC as a whole was invited to the Star Académie gala in Montreal. You were red-handed and you rectified your expenditure accounts, one after another, to make it look like Mr. Péladeau had not paid the airfare, hotel, restaurant, the gala and all the other perks given to the CRTC members.

How far apart was the CRTC and Star Académie on that night?

4:25 p.m.

Vice-Chair, Telecommunications, Canadian Radio-television and Telecommunications Commission

Richard French

Mr. Arthur, given your ill health, I'm pleased to see that your legendary spirit has not deserted you.

With regard to this event, I was not on the board at that time. I have no idea what you're talking about.

4:25 p.m.

Independent

André Arthur Independent Portneuf—Jacques-Cartier, QC

You don't remember that the majority of your colleagues who were members of the CRTC at the time had been invited to the Star Académie gala?

4:25 p.m.

Conservative

The Chair Conservative James Rajotte

Monsieur Arthur, let's keep this to the deregulation issue of telecommunications.

4:25 p.m.

Independent

André Arthur Independent Portneuf—Jacques-Cartier, QC

It's quite important for the deregulation issue to know how close these guys are to some of the biggest interests in Quebec.

4:25 p.m.

Conservative

The Chair Conservative James Rajotte

I don't see what expense accounts have to do with deregulation.

4:25 p.m.

Vice-Chair, Telecommunications, Canadian Radio-television and Telecommunications Commission

Richard French

Mr. Arthur, what Star Académie gala are you talking about?

4:25 p.m.

Independent

André Arthur Independent Portneuf—Jacques-Cartier, QC

The one held three years ago.

4:25 p.m.

Vice-Chair, Telecommunications, Canadian Radio-television and Telecommunications Commission

Richard French

I wasn't there at that time. I apologize, but I cannot answer your question.

4:25 p.m.

Independent

André Arthur Independent Portneuf—Jacques-Cartier, QC

Has no one at the CRTC ever talked about this event?