Cable / Telecom News

Commission warns Shaw on license renewals


GATINEAU – The CRTC has told Shaw Communications it may require the communications giant to file monthly reports on how its community channels are not violating the regs.

Twice in the past two years, Shaw Cablesystems community channels have been rebuked by the Commission for showing advertisements on its cable community channels.

In the Broadcast Distribution Regulations [Section 27(1)(h)], cable companies are not allowed to air traditional ad spots and there are limitations on the types of sponsorship messages, or advertising, community channels can air. The regs also say sponsorship messages can contain only 15 seconds of full motion video, but can be longer – as long as there’s no full motion video beyond that quarter-minute.

The Canadian Association of Broadcasters complained to the Commission on separate occasions in 2005 and in 2007 that Shaw was selling traditional advertising to local companies which aired during the community channel’s coverage of Western Hockey League games.

After finding against Shaw in both of those occasions, the Commission has required that the company submit monthly compliance reports through to the end of its license term, August 31, 2008 that the community channels were complying with the regs.

Shaw has applied for 43 license renewals in its cable territories in Western Canada and in correspondence with the company, the CRTC has asked Shaw to comment on the possibility of making those reports an ongoing condition of licence throughout the next licence term.

“There is no basis upon which to extend the filing of compliance reports… Shaw has already taken steps to implement new compliance measures, and we expect to be fully in compliance very quickly,” reads Shaw’s reply.

Nevertheless, the Commission made sure to say in its PN issued last week: “The Commission notes that on two separate occasions during the current licence term, it found the licensee in non-compliance with section 27(1) of the Broadcasting Distribution Regulations as a result of its distribution of disallowed sponsorship messages on its community channel. The Commission will take this into consideration during the licence renewal process.”

– Greg O’Brien