Releases and Advisories

Letter to the Editor from Minister Owen to the Calgary Sun

Ottawa, April 19, 2004

Dear Editor:

I am writing in response to your editorial of April 19 relating to government advertising.

Let me be clear: the government has no intention of launching an advertising blitz. On the contrary, I recently placed a moratorium on advertising until June 1, 2004, and established a new planning and financing process to reduce the overall amount the government will spend annually on advertising.

The $120 million referred to in the editorial was the annual average spending over fiscal years 2000-2001 through to 2002-2003. That amount covered all advertising activities, for large mass-media campaigns as well as tenders and public notices, including media, research and production costs. It is not our plan to spend this amount this year. In fact, when the government announced the moratorium, it also committed to reduce the overall amount spent on media placement by approximately $12 million annually for the next three years.

Not only is the government committed to this reduction, it also believes that fewer and better targeted campaigns focused on Canadians' priorities, as outlined in the Speech from the Throne, and on the programs and services that are important to them, is a much more cost-effective approach. Among other things, this means that our approach to developing advertising campaigns has to be one in which regional issues and concerns are fully taken into account. I believe that responding to regional needs will be applauded by Canadians.

During the moratorium, the government is implementing rigorous new measures to increase transparency and competitiveness, to improve how it manages its advertising activities and to plan for actual reductions in spending.

Indeed, as a result of the moratorium and the stage at which we are in implementing the new approach, it is expected that the government will spend considerably less this year than in previous years.

I have strong confidence in these changes. We are on the right path and by improving the way we do business, taxpayers will receive better value.

Stephen Owen
Minister of Public Works and Government Services Canada