[Recorded by Electronic Apparatus]
Tuesday, December 3, 1996
[English]
The Chair: Before I start with the item under consideration, for members of the committee, the steering committee met this morning and discussed a draft report on the evidence presented to us during our science and technology review. That will be available to you by Thursday noon. It's simply a description of the evidence being presented to us, for you to look through. I would like members to look at it closely after the House breaks, if you don't have time right now, or in early January. Try to think back to witnesses you liked and whether or not their ideas have been taken into account in the descriptive base. Then we'll proceed from there to talk amongst ourselves about what recommendations emerge from the evidence. We'll work with that in January and we'll have an interim report, I hope, in the first week of February. We'll have discussions over the telephone and by fax and so forth.
There are no witnesses on the science and technology review for Thursday morning. We have witnesses lined up for next Tuesday. Until further notice, please leave the following Thursday available.
Mr. Schmidt (Okanagan Centre): At what time next week?
The Chairman: It will be at the regular time.
We have Mr. Dupré so far. I got hold of him today and he's coming. We'll see what others are... We're on the telephone.
The Clerk of the Committee: Also the witness from Kelowna recommended by Mr. Schmidt.
The Chairman: Is he available?
The Clerk: He's available. We're making the arrangements by videoconference.
The Chairman: Terrific. Great. That's two. So we'll have two witnesses, and they will both be first-class.
The order of the day is that Bill C-57, an act to amend the Bell Canada Act, be now read a second time and referred to the Standing Committee on Industry. We have in front of us some witnesses. I'll ask the witnesses to introduce themselves. It's my understanding that this is a brief amendment. I would like to ask one of the witnesses to describe the purposes of the amendment very quickly. If there are any questions of the witnesses we'll proceed, and if there are no questions we'll proceed to clause-by-clause.
Could you formally introduce yourself and your colleague, for the record?
Mr. Michael Binder (Assistant Deputy Minister, Spectrum, Information Technology and Telecommunications, Department of Industry): Thank you, Mr. Chairman. A lot of people are waiting in line, queuing to register for this hearing - a lot more than are sitting here right now. They just got blocked by the process of registering. So a couple of colleagues will join me here.
My name is Michael Binder. I'm the assistant deputy minister for Spectrum, Information Technologies and Telecommunications, in Industry Canada. This is Len St-Aubin, who is our director of business and regulatory analysis.
This is the shortest bill I've ever seen. It proposes to repeal section 7 of the Bell Canada Act, with the objective of giving this particular telephone company the ability to hold a broadcasting licence.
By way of history, this was introduced in 1968 and amended in 1991. As you will recall, at that time there was no competition and there was a fear that one company could dominate the content business. That's why this provision was put in place. It's no longer applicable. As part of the convergence government policy we have committed to try repeal this prohibition.
In a nutshell, that's what this is about.
The Chairman: Thank you.
[Translation]
Mr. Leblanc, do you have questions at this stage, concerning the bill?
[English]
Mr. Schmidt, do you have any questions on this? Is there any clarification for any member of the committee on this?
Mr. Regan (Halifax West): Mr. Chairman, is the federal government doing anything else related to this to enable telephone companies across the country to be involved in broadcasting, and does anything else restrict them from partaking in broadcasting?
Mr. Binder: Any telephone company that would like to hold a broadcasting licence would have to apply to the CRTC for such a licence, and the CRTC process kicks in with all the interveners, public hearings, etc.
Mr. Regan: But the only restriction you're aware of against any telephone company in the country holding a broadcast licence is here in this bill - is that correct?
Mr. Leonard St-Aubin (Acting Director, Business and Regulatory Analysis, Telecommunications Policy Branch, Department of Industry): In addition to this there are a couple of other measures. Bell Canada is the only telephone company prevented by law from holding a broadcasting licence. A couple of Orders in Council issued under the broadcasting act prevent provincial crown corporations from holding broadcasting licences. Then there are the Canadian ownership requirements, which prevent B.C. Tel and Quebec Tel from holding broadcasting licences. In our convergeance policy, the government has committed to amending both of those Orders in Council. My understanding is that the wheels are in motion to bring those amendments forward fairly quickly.
In the case of B.C. Tel and Quebec Tel the government is committed to providing amendments to the ownership rules which would allow those companies to provide broadcasting distribution services - that is the equivalent of a cable company - under certain conditions. In the case of the crown corporations really only Sask Tel and Manitoba Telephone, which is in the process of being privatized now, and a few municipally owned telephone companies are affected by that. Again, amendments will be brought to those Orders in Council in due course.
The Chairman: Mr. Leblanc, if there are no questions I'll move along, but I want to make sure you feel you've had time. You're okay? Okay.
Clause 1 agreed to
The Chairman: Shall the title carry?
Some hon. members: Agreed.
The Chairman: Shall the bill carry?
Some hon. members: Agreed.
The Chairman: Shall I report the bill to the House?
Some hon. members: Agreed.
The Chairman: The meeting is adjourned to the call of the chair. Thank you for coming.