OTTAWA – Consumer advocacy groups the Public Interest Advocacy Centre (PIAC) and the National Pensioners Federation (NPF) today filed a petition to the federal cabinet, asking for the CRTC’s recent decision to approve Rogers Communications’ acquisition of Shaw Communications’ broadcasting assets to be set aside.
If cabinet decides not to set aside the decision, the organizations have asked for the decision to be referred back to the Commission.
“Consumers shouldn’t pay for these mergers,” said John Lawford, executive director and general counsel of PIAC, in a press release announcing the petition was filed. “This Petition is a result of our concern that the CRTC failed to impose enforceable conditions to protect consumer affordability of TV services.”
In their petition, PIAC and NPF argue the decision issued by the CRTC is not in line with the broadcasting policy objectives outlined in the Broadcasting Act, particularly the part of the act “regarding efficient delivery of programming at affordable rates.”
Rogers has indicated it intends “to “accelerate” the push to transition most of Shaw’s cable TV-only and satellite TV customers to IPTV,” the petition says.
“The result of the movement from cable- (or satellite-) delivered service to IPTV service is that customers will be billed for the underlying Internet service just to obtain the same or similar TV services that the customer previously accessed without taking Internet access service.”
Customers will have to pay more for TV service and will need Internet service to receive television signals, the petition says.
Rogers, in its final reply submitted to the CRTC in December 2021, wrote: “Contrary to concerns raised by PIAC/NPF, our IPTV migration plan will not force anyone to migrate to Ignite TV. We will provide consumers with access to our full range of TV packages and programming service options, including on a standalone basis and in bundles with other services. Forced migration would drive customers to our competitors, which is why we will provide incentives to customers to move to Ignite TV and will do so in compliance with the TVSP Code and the CRTC’s Best Practices.”
PIAC and NPF maintain, however, that without enforceable conditions from the CRTC, consumers will be negatively impacted by Rogers’ acquisition of Shaw’s broadcasting assets, arguing Rogers did not commit to providing consumers with a TV-only option that is comparable and similarly priced “to what most Shaw (cable and satellite) TV customers presently enjoy at similar prices.”
Based on information provided during the hearings, PIAC and NPF argue “The result of the removal of ‘cable TV’ and ‘satellite TV’ options means permanent and major price increases effectively to nearly all former Shaw TV customers.”
Raising questions about the quality of the TV-only option to be provided by Rogers, PIAC and NPF further make the case that the CRTC’s expectation “Rogers will offer a ‘TV-only’ type IPTV product (without explicit subscription to Internet service and its concomitant billing) does not preclude Rogers from offering a very limited channel selection that is not comparable to the channel packaging that present TV-only Shaw customers enjoy,” the petition reads.
Rogers declined to comment on PIAC and NPF’s petition – a spokesperson noted the company does not have anything new to add.
