Industry Committee on Feb. 8th, 2011

[Mike Lake, Conservative, Edmonton—Mill Woods—Beaumont, AB]

Thank you very much to the witnesses for coming today.

I want to use my five minutes, if I could, to kind of help Canadians who may not be as technically minded as many of the people who are following this issue really closely, as you are and as we try to sound to be, as members of Parliament, sometimes.

As a government, we've stated our commitment to making decisions that increase competition and increase the adoption of new technology and that decrease the cost for Canadian consumers, businesses, and innovators, which may not be consumers or businesses. It may be a hobby for them more than anything. But of course in this world some of the greatest advances have been made by people who were seemingly playing around, almost, in a sense. We want to see that innovation occur.

Keeping in mind that we are trying to explain it at a level that most Canadians who may not live in this world every day can understand, why is this decision important?

[Paul Andersen]

Which decision? Sorry.

[Mike Lake, Conservative, Edmonton—Mill Woods—Beaumont, AB]

Well, I mean the decision to review the decision, I guess, in a sense. It is the decision to give it a second look.

[Paul Andersen]

Well, again, I speak as a small-business owner. I can't speak to all the workings of government.

You have an incumbent that has a huge headstart in this market. It has access to a lot of the right-of-ways and facilities, which they control. They also happen to control a lot of other interests. There are obviously media interests they own.

I think, as a business owner, that I need access to effectively compete in this industry, and I can't do that very effectively with the framework there is right now. What we really need, whether it be from government or the CRTC, is access to inputs so that I can provide competitive services to the incumbents so that there isn't a concern that now--

[Mike Lake, Conservative, Edmonton—Mill Woods—Beaumont, AB]

Excuse me for one second. You're talking very technically again. You're kind of lapsing into that.

[Paul Andersen]

It's my nature. I apologize.

[Mike Lake, Conservative, Edmonton—Mill Woods—Beaumont, AB]

Exactly. Can you kind of clearly articulate what you're saying in a way that people who aren't technically minded might understand? We all watch TV and go on the Internet, but not everybody knows exactly how it works or how it gets there.

[Paul Andersen]

Well, everything is moving to the Internet, especially on the video side. Right now, as the decisions have come down, especially the usage-based-billing one, it's going to make it impossible for me, from a cost standpoint, to offer services at a competitive price.

[Mike Lake, Conservative, Edmonton—Mill Woods—Beaumont, AB]

So you couldn't compete.

[Paul Andersen]

Correct.

[Mike Lake, Conservative, Edmonton—Mill Woods—Beaumont, AB]

We'd be back to a world of two providers, basically.

[Paul Andersen]

Potentially we could be.

[Mike Lake, Conservative, Edmonton—Mill Woods—Beaumont, AB]

Mr. Bergeron.

[Alain Bergeron]

I agree. The incumbents may have interests that are not in line with the success of competing companies in the networks they have invested in. That is somewhat what I was saying before. So there is a major conflict between the interests of the one investing, the interests of the competition and the interests of the end user. The end user hopes to get very good services at a reasonable price. The existence of competition will be authorized on the absolute condition that the elements that cannot be shared—we're talking about the last mile here—be in the public domain, which is more or less the case at present. So I would say to the general public that they have to ask themselves whether the owners of the major networks in Canada are entitled to dictate how things work in Canada in exchange for their investments. That is the question that has to be asked at this point.

[John Lawford]

From a consumer point of view, it's very important that you make it clear to people, through your decision or your report, that you care how much they pay for Internet; you understand how much they rely on it; and when things get seriously out of whack, whether there's a regulator or not, you will respond in whatever way is appropriate so they have that access. They've said loud and clear that they want Internet, they want it at a good price, and they want to use it every day as much as they can. So I'm very pleased that you're having this hearing at all.

[The Chair, Conservative, David Sweet]

Thank you very much, Mr. Lawford and Mr. Lake.

I want to thank the witnesses for your time here today and your excellent testimony.

To the members, with the assistance of the clerk I will review the blues on the point of privilege that was given here and report back to you in due process on it.

We'll see you on Thursday.

The meeting is adjourned.