ABOUT YOUR EDITORS’ NOTE on negotiating a fee rather than imposing a tax (in the story "Heritage Committee: Von Finckenstein wants to let broadcasters and distributors negotiate a fee"). It’s the same thing.
First, there is no retransmission right in the signal itself under copyright law, so there is no right to negotiate unless the CRTC forces the negotiation.
Second, there is no right to not to carry under the BDU regulations because (conventional stations) are mandatory services, so you can not decide to drop bad services as part of the negotiations.
Third, if you cannot agree the CRTC sets a binding rate through arbitration.
So effectively, a rate is forced on BDUs, but in this case without a process to determine if fee-for-carriage is required. That is unfair since the CRTC has found twice in last three years that FFC is not supported.
This so-called negotiation idea looks like a thinly veiled attempt to avoid process and impose FFC through the back door thereby avoiding responsibility for imposing a fee.
But, when the negotiation is forced rather than mutual, when the right to not offer service is removed from the negotiation and a fee imposed if forced negotiations fail then its still a fee.
Michael Hennessy
senior vice-president, regulatory and government affairs
Telus
