Canada to Offer ‘Pick-and-Pay’ TV Channel Packages

OTTAWA: In a bid to maximize choice and affordability for Canadian TV viewers, the Canadian Radio-television and Telecommunications Commission (CRTC) has approved a move to à la carte cable pricing by 2016.

By March 2016, Canadians will be able to subscribe to an entry-level television service that costs no more than C$25 per month. This includes all local and regional television stations; public interest channels such as the Cable Public Affairs Channel and Aboriginal Peoples Television Network; education channels; and, if offered, community channels and the services operated by provincial legislatures.

Canadians who choose to do so will then be able to supplement the entry-level TV service by purchasing individual channels that will be available either on a "pick-and-pay" basis or through small packages. They will have the option of selecting theme-based packages (sports, lifestyle, comedy, etc.) offered by their service providers. Canadians also have the choice of keeping their current TV services without making any changes.

To support these changes, the CRTC has introduced a code of conduct for broadcasters and TV service providers. The code clarifies the terms and conditions under which wholesale agreements between the two are struck. It ensures that cable and satellite companies offer independently owned channels in at least one pre-assembled package and that channels cannot be "unduly withdrawn" from subscribers as a result of a commercial dispute at the wholesale level.

Jean-Pierre Blais, the chairman of the CRTC, commented: “Thanks in part to the availability of broadband technology, viewers can watch television content at the times, in the places and on the devices they choose. Viewers are in control. Canadians have a world of choice at their fingertips. Today's decision is not about making choices for Canadians. Rather, it is about setting out a roadmap to give all Canadians the freedom to choose the television content that meets their unique needs, budgets and realities—which can even include free, over-the-air television stations. Each household will be able to find the right value proposition.

“These changes are being introduced in a responsible and measured way to mitigate the impact on the Canadian economy and jobs in the television industry. We recognize that broadcasters need time to adapt their business and programming strategies, while cable and satellite companies need to update their informatics systems. There is nothing, however, that would prevent them from offering Canadians greater choices ahead of the schedule outlined by the commission.”