SPEECH
The CRTC Calls for Open Dialogue
Notes for an address by Françoise Bertrand, Chairperson
Canadian Radio-television and Telecommunications Commission
to the 1997 Canadian Business Telecommunications Alliance (CBTA)
Toronto, Ontario
September 16, 1997
(CHECK AGAINST DELIVERY)
Bonjour - Good morning - ladies and gentlemen.
It is a distinct pleasure to be with you this morning at the annual congress
of the Canadian Business Telecommunications Alliance. I very much appreciate the
invitation from the CBTA to be a part of your deliberations, as you discuss the
impact of further deregulation, increased competition and technology convergence.
It is in fact very timely, because the Commission has also been very busy over
the past few months, with its own assessment of where the CRTC should be going,
and how it should be evolving over the coming years.
Each of you in your own companies has undertaken periodic reviews of its
business plan, of its vision. It was time for the Commission to do the same
thing.
So this morning I am pleased to give you the very first public look at the
results of our visioning exercise. It was a very demanding task for everyone,
both staff and my fellow commissioners, and you will understand how proud I am of
the team with whom I am working, as I share our new vision with you.
Our new strategic direction in my view signals a revitalized CRTC, which is
ready to adapt to the changing environment, and at the same time adapt the
environment itself to make it work better for consumers, citizens and business.
The results of this vision exercise has seen the Commission build on its
strengths and expertise, as we have reviewed in great detail our way of seeing
and doing things. As a result, you will see a CRTC with a more dynamic,
results-oriented approach, of which a key element is more real and open public
dialogue.
Why did we want to do this exercise? One of the imperatives was to have a very
clear direction for our actions. When I came to the Commission a year ago, I felt
we needed a stronger and broader sense of perspective to share with all the
participants with whom we work in the broadcasting and telecommunications fields,
where, as you know, change is happening rapidly and dramatically. This vision is
guiding us in both our on-going, day-to-day operations of licensing and
tariffing, as well as our future examination of policy related to issues such as
convergence, new technologies and new media.
Since our mandate comes from the actual legislation, the CRTC's vision, must
of course, work within the objectives of the Telecommunications and
Broadcasting Acts. We are as fully committed as ever to achieving those
objectives, because they meet the needs and expectations of Canadian consumers,
and truly reflect Canadian values.
But for us, the question is: are the means we now have at our disposal to
accomplish this still appropriate? We as yet do not have all the answers to that
question. That is why we are asking ourselves, as well as all those with an
interest in Commission affairs, if we have what we require to keep abreast of our
changing times and move forward.
The CRTC wants to be a catalyst, to stimulate energies and to create synergies
by putting together the minds of all those who can help us find efficient
solutions which are sound today, and promising for tomorrow.
We each have to take our next steps forward very carefully, because the pace
of change in our business is so swift. New communications technologies, products
and services are announced almost daily. Competition is now taking place in the
global marketplace, and converging technologies are blurring traditional industry
distinctions. You face these challenges daily in your business.
The Commission faces them as well, as these challenges deal not only with
technological change, but the impact these changes have on our responsibility to
preserve our cultural sovereignty in a borderless communications universe. You
have to worry about your bottom line. Our bottom line is to balance social and
economic objectives in the public interest.
We see our new vision as a continuum, an evolutionary process. It encompasses
the actions we have taken in the past, where we have attempted to anticipate
potential challenges and enlarge the collaborative process with those affected by
our regulations. But it also reflects a firm commitment to develop dynamic new
approaches, to allow Canada to maintain its global leadership position in the
communications industry.
We will be guided by the following words in our Vision statement:
World-class quality communications, with a distinct Canadian presence, in
the public interest.
How will we will bring this vision to life? You will see a different
Commission evolving. The old Commission would say "we shall regulate it". The new
Commission will say "regulate it if necessary, but where appropriate, we would
prefer to let industry self-regulate under supervision". The old Commission was
protectionist in its approach which fit the requirements of the time. The new
Commission will be much more driven by promoting opportunity, to let Canadians
show they can compete in the new environment. And our dialogue with consumers,
with citizens, with industry, will be broader, and to use the current hot
buzzword, more interactive.
Let me spend a moment on the three main components of our new vision:
Canada's Voices, Choices for Canadians, and Good Governance.
All of this relates to broadcasting and telecommunications, it relates to content
and carriage, and there will be a convergence in the way we approach our
subjects. The historically clear-cut differences between the two sectors of the
Commission are fading, and becoming more closely inter-related. Consequently,
while the formal structure at the CRTC remains unchanged, we will be more
integrated in our approach, with multi-disciplinary and cross-sectoral teams.
Permit me to talk about the three components of our vision.
- Canada's Voices deals with the presence and diversity of Canadian
voices at home and abroad.
- Choices for Canadians will ensure there is a wide array of choices
available to Canadians through strong, competitive communications industries.
- and the third component, Good Governance, is designed to ensure a
public process, openness, fairness, effectiveness and trust. This is an area
where we will put very strong emphasis on public dialogue, including increased
public participation and collaboration with citizens, consumer groups and
industry.
I am committed to this particular point: the public process is central to our
approach. Open dialogue, consultations, and transparency are not mere promises.
They are at the very heart of our efforts to carry out our mandate.
A number of you are well aware of the importance we at the Commission place in
this dialogue. You are already assisting us on advisory committees, as we have
been working to help Canadian industry respond to the challenges of the global
marketplace, and to ensure Canada and Canadians have their fair and equitable
share. You are also well aware that the CRTC has not been waiting for its
official proceedings to put its vital consultation process in place.
In Telecommunications for example, the Canadian Interconnection Steering
Committee has been at work for some time, as has the committee examining local
competition issues, where representatives of this association helped gather
information and make recommendations to the Commission on convergence in local
telephony.
Our focus on what lies ahead is not a new one. We have in fact been working on
paving the road to the future for some time. Look back to the "May Day" decisions
we made on opening up local telephony to competition. These are the cornerstones
of our thinking for the next three years. We anticipated that beyond telephone
services, the infrastructures being put in place would allow for a wider variety
of choices and services for Canadians, giving consumers access to new
technologies at a reasonable price. It all represents added value to each and
every one of us, because new technologies will have a profound impact on our
lives.
The philosophy driving our decision was far removed from wanting to introduce
competition for the sake of competition. Our goal was first: to provide the
consumer with enhanced and affordable services; and second: to encourage
innovation, produce incentives for research and development, and be responsive to
the economic and social requirements of Canadians.
Our conviction of last spring still holds true today. With this kind of spirit
nourishing our decisions, we are moving ahead with our vision, which will reflect
this new and vibrant approach.
The evolution of the Internet for example. It creates many opportunities and
challenges, and has implications related to issues of content and access, which
are on the agenda of government and regulatory bodies around the world. We have
no intention or wish to conduct our exploration of these policy issues on our
own. We intend to create new forums for discussion, to gather as much information
as possible to work with government in trying to address this important issue.
For us, open and frequent dialogue with our stakeholders is an absolute
necessity in an environment where everything has become interdependent, or
inter-connected to use a familiar term. We need to work in concert, to ensure we
optimize the procedures which will enable us, as partners, to achieve the objects
of the legislation under which we operate.
Our vision is clear, and our goals succinct:
- we will promote an environment in which existing and new communications
services are available to Canadians
- we will ensure a strong Canadian presence in content that fosters
creativity, and reflects Canadian society, including its linguistic duality and
cultural diversity
- we will promote choice and diversity of high quality communications
services
- and we will foster strong competitive and socially responsible
communications industries.
The rationale driving this vision is to create an enabling and flexible
environment in which companies can compete domestically and internationally, and
which will allow industry to serve the public interest and meet the overall
social, economic and cultural objectives of the Broadcasting Act and the
Telecom Act . We want to work together to maximize benefits to citizens,
maximize value to consumers, and maximize profits to business.
A fundamental element of our plan is revisiting, over a three year period, our
entire policy landscape. Even though we have already done considerable work in
the telecom sector, we are well aware it is a huge task.
To me it is equivalent to putting an elephant under the microscope. What does
not work is trying to squeeze the elephant down until it all fits under the lens.
What will work is moving the lens about over different sections of the
elephant, looking at parts of the beast in more manageable sizes, which is what
we did with local competition and price caps.
This is the manner in which we intend to proceed; step-by-step, one review
after another. The result will be that within a relatively short period of time
we will have reviewed all of our policy in Telecommunications and Broadcasting.
For those of you who keep a watching brief on the overall industry, you will be
aware of our upcoming radio review in the broadcasting dossier. The work is
underway!
The policies of the past were suitable and appropriate for their times. With
this exercise, we want to refine and develop innovative robust policies which are
right for these times. But we cannot do it alone. Without your
participation it is a "mission impossible". Which is why we are shortly making
public for the first time the Commission's long-range calendar, beginning with
our activities this fall, and reaching into the fall of 1999.
This has never been done before. This schedule sets out the issues and timing
of the Commission's hearings and proceedings, internal reviews and on-going
initiatives. This is our proposed plan of action, but one which will be flexible
enough to accommodate unexpected events or evolving scenarios.
You will be able to find this document on the Commission's website in a few
days. We believe this new openness of process will permit all the players to see
the plan, to see how the components fit together. Our hope is that it will
facilitate better planning for them.
We have already heard from you on issues such as Message Toll Forbearance,
Interexchange Private Line Forbearance, and some will be sorry that I'm not
making any announcement today in regard to forbearance. But for the price caps I
am pleased to inform you today that there will be a two-day hearing at the
beginning of November, where public interest groups, citizens, and consumers will
be able to voice their final arguments on the interim rates proposed by the phone
companies.
As you will see from our schedule, you will later have the opportunity to
comment on the implementation of local competition, service to high-cost areas,
and other regulatory issues.
Now that you have the big picture, permit me to turn to an area where there
could be an expanded role for this association. As I mentioned, one of our vision
components is good governance, with emphasis on a fair process in which we want
broader public consultation. But the vision also indicates the CRTC will look for
more opportunities to act as an impartial referee in the resolution of disputes.
The first key element of this particular process is to encourage more input
from the public, past the standard public hearing process. We want to reach out,
to hold regional consultations, round tables, focus groups, and have
presentations to the Commission by public interest groups and industry
organizations on issues of concern to them.
This is one area where the CBTA can play a vital role, as spokesperson for its
members. I believe there would be added value in CBTA presenting the points of
view of telecom industry users to the Commission. Furthermore, given that the
companies within the Alliance already operate in a competitive environment, the
CRTC needs to know to what extent our new telecom policies are effective and
easily put into application.
Alliance members are the first to feel the effect of these policies, and it is
not by chance that I am speaking to you this morning. I wanted to make it very
clear that we count on your input, on your feedback to what we are doing.
The second key element of the good governance process is an increased role for
the Commission as an impartial referee in the resolution of disputes. It is part
of the delicate balancing act between detailed regulation, and regulating by
broad parameters. Let me explain.
As a greater reliance on competition becomes our operating principle, we will
see frank discussions on various issues taking place between industry players
and/or other interested parties. If disputes cannot be settled, the CRTC will
arbitrate. We know that the transition from regulated monopoly to deregulated
competition cannot happen overnight, and that there will be potholes along the
way.
So at least for the next few years, the presence of the Commission, with its
technical expertise and experience, will be needed to foster the fair and
sustainable competitive environments we are seeking to create. In a more
deregulated environment, a referee will also be needed to ensure that the
interests of consumers and citizens are fully protected.
However, in carrying out our regulatory responsibility, we will not hesitate
to get out of the way whenever we can.
I hope you now have a sense of where the Commission sees itself going. We are
driven by the will to ensure we have the best and most appropriate means to
fulfil the objectives of the Broadcasting Act and the
Telecommunications Act.
As convergence increases, so does interdependency, and this makes it critical
that we all talk, that we share our ideas, our concerns, and our proposed
solutions. Just as the members of the CBTA want to have a dynamic and two-way
working relationship with its suppliers, the Commission needs the same with all
the parties: citizens, consumers, industry.
There is no monopoly on good ideas, the more there are, the better we can make
our Canadian communications system which is already the envy of the world. Public
dialogue is essential, collaboration a must through existing channels, and ones
we will create as we work through this new partnership.
The electronic age should belong to Canadians. With your help, we can take
full advantage of the economic, social and cultural prosperity the future holds
for us, but we need to hear from you.
That concludes my presentation on our vision exercise. I would like to respond
to some allegations of conflict of interest made by Selectview. I have never put
myself in a conflict of interest situation, and I have never had any professional
association with Teleglobe. You will understand that I cannot comment further
since the matter is being settled by the Court and Cabinet.
Thank you for your patience and attention, and have a good convention.
- 30 -
Contact: CRTC Public Affairs, Ottawa, Ontario K1A 0N2
Tel.: (819) 997-5427, TDD: (819) 994-0423, Fax: (819) 994-0218
This document is available in alternative format upon request.
Slide
The CRTC Calls for Open Dialogue
|
FALL 97 |
WINTER 97/98 |
SPRING 98 |
| Decision |
Message Toll Forbearance (December) |
Decision |
Price Caps
·(December for Interim Rates effective Jan. 1, 98)
·(March for Final Rates) |
Regulatory issues re: Teleglobe & International |
| Decision |
Interexchange Private Line Forbearance (December |
* Service to High Cost Areas |
| Implementation |
Local Competition (some phases in October) |
Implementation |
Local Competition (on going process *re: CISC) |
|
| |
Telecom Act
*changes re: WTO
(Licensing of Int'l Resellers) |
|
|
|
Informal Discussions to inform CRTC of Impact of
Implementation on the Businesses
Social Issues
|
Date Modified: 1997-09-16 |
