Today's News |
CRTC Declares Broadband Internet Access a Basic Service for All Canadians in Landmark Ruling
Wednesday, December 28, 2016
Wants Canadians to have access to an unlimited data plan option and speeds of at least 50 Mbps download and 10 Mbps upload
Vancouver, BC, December 28, 2016--(T-Net)--The Canadian Radio-television and Telecommunications Commission (CRTC) has declared that broadband access Internet service is now considered a basic telecommunications service for all Canadians.
The CRTC is also setting ambitious new speed targets and creating a new fund that will invest up to $750 million over and above existing government programs.
Broadband and mobile services
Further to its legislative mandate, the CRTC has set the following targets for the basic telecommunications services that Canadians need to participate in the digital economy:
New funding for broadband projects
The CRTC is establishing a fund to support projects in areas that do not meet these targets. Applicants will be able to submit funding proposals in order to build or upgrade infrastructure for fixed and mobile broadband Internet access services.
The fund will:
Accessibility and tools for consumers
The CRTC wants Canadians to have access to the tools and services they need to empower themselves regarding fixed Internet access services. No later than six months from today, service providers should ensure that contracts are written in clear and plain language, and should make available online tools so consumers can easily manage their data usage.
Also, all wireless service providers will have to offer and publicize, no later than six months from today, mobile service packages that meet the needs of Canadians with disabilities.
The path forward for Canada's digital economy
During its consultations with Canadians, the CRTC also identified further gaps regarding the adoption of broadband Internet services in Canada that are outside its core mandate. Today, the CRTC is submitting a report to the Innovation Agenda, as encouraged by the Minister of Innovation, Science and Economic Development Canada, on the availability and adoption of broadband Internet services in Canada. This report includes information on access gaps resulting from infrastructure, affordability and digital literacy issues, as well as barriers to connectivity in Indigenous communities.
The decision issued today complements the Government of Canada's Innovation Agenda. Looking ahead, the CRTC will contribute in ways appropriate to its mandate. However, all stakeholders have a role to play to ensure that broadband Internet service is universally available and barriers to adoption are removed.
Quick Facts
"Access to broadband Internet service is vital and a basic telecommunication service all Canadians are entitled to receive. Canadians who participated during our process told us that no matter where they live or work in our vast country—whether in a small town in northern Yukon, a rural area of eastern Quebec or in downtown Calgary—everyone needs access to high-quality fixed Internet and mobile services. We are doing our part to bring broadband services to rural and remote communities.
The availability of broadband Internet, however, is an issue that can't be solved by the CRTC alone. All players in the Canadian communications landscape will need to do their part to ensure Canadians have access to the services they need to participate in the digital economy.
All levels of government must address gaps in digital literacy. Affordability concerns are best addressed by the emergence of a dynamic market place where service providers compete on price for telecommunication services, in conjunction with social responsibility programs of telecommunications carriers and different levels of government.
High quality and reliable digital connectivity is essential for the quality of life of Canadians and Canada's economic prosperity." stated Jean-Pierre Blais, Chairman and CEO, CRTC.
Additional links
Backgrounder 1 - Summary of key decision points
Backgrounder 2 - Further details regarding new funding mechanism
Basic telecommunications services
Backgrounders
Summary of key decision points
Policy regarding modern telecommunications services for Canada's digital economy |
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Universal service objective |
Canadians, in urban areas as well as in rural and remote areas, have access to voice and broadband Internet access services, on both fixed and mobile wireless networks. |
Mobile wireless and fixed broadband Internet access services are key components of this new objective. In addition, Canadians living in rural and remote areas should have a level of broadband Internet access services similar to those available in urban areas. |
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Criteria for the universal service objective |
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Fixed broadband service |
Canadians should have access to fixed broadband Internet access service offerings that meet certain levels of speed, data allowance and quality of service. Specific values and parameters for these characteristics are discussed below. |
Mobile wireless broadband service |
Canadians should have access to the latest generally deployed mobile wireless technology (currently LTE). This technology should be available in Canada not only in homes and businesses, but on major transportation roads. |
Fixed broadband Internet service criteria |
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Speeds |
Canadian home and business subscribers of fixed broadband Internet access services can access speeds of at least 50 Mbps download and 10 Mbps upload. These speeds are to be the actual speeds delivered, not merely those advertised. |
Data allowance |
Canadian home and business customers can subscribe to fixed broadband Internet access services that include the option to have an unlimited data allowance. |
Quality of service |
Levels for latency, jitter, and packet loss will be established to assess high quality for fixed broadband Internet access service. |
Measurement of success |
Fixed broadband Internet access service, as set out in the decision, should be available in 90% of Canadian homes and businesses by the end of 2021 and in the remaining 10% within 10-15 years. |
Modifications to current regulatory measures for local voice services |
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Local service subsidy |
The local service subsidy will be phased out. A follow-up proceeding will be launched in early 2017 to examine how it should be phased out. |
Accessibility |
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Availability and awareness |
All wireless service providers must offer and publicize, no later than six months from the date of this decision, mobile service packages that meet the needs of Canadians with disabilities who tend to rely more on data services than voice services. These packages must ensure access to 9-1-1 service, and be based on consultations with Canadians with disabilities. |
All wireless service providers' websites are expected to meet the W3C Web Content Accessibility Guidelines by June 1, 2017. |
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Current and future initiatives |
Bell Canada, Bell Mobility, Cogeco, Eastlink, MTS, Rogers Communications, SaskTel, Shaw, Telus and Videotron must each submit a detailed report, no later than six months for the date of the decision, concerning their respective plans to invest in the ongoing accessibility of telecommunications services. |
Consumer empowerment regarding broadband Internet access services |
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Awareness and notification |
Within six months of the date of this decision, all Internet service providers that provide retail fixed broadband Internet access service are expected: (i) to ensure that contracts and related documents clearly explain, to all customers;
(ii) to provide account management tools that enable customers to monitor their data usage; and (iii) to provide plain-language information on the data usage associated with common online activities. The above-noted information and tools should also be accessible to customers with disabilities. |
All providers of retail fixed broadband Internet access services must notify residential and small business customers who have incurred overage charges of where they can find information about: (i) the account management tools offered, Customers should be able to opt out of these notifications at any time. Such notifications must be provided each month in which a customer incurs data overage charges, unless the customer opts out of receiving such notifications. |
New funding mechanism
Guiding principles
Fund design
General
Government funding and private sector investment
Amount of funding
For the first five years, up to 10% of annual funding will be allocated to satellite-dependent communities to cover operational costs and certain related capital costs.
Governance and accountability
Follow-up proceeding
The CRTC has set out preliminary views on the following aspects of the new funding mechanism:
A follow-up proceeding will be initiated in early 2017 to examine these preliminary views as well as other matters related to the new funding mechanism.
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1 An underserved area is defined as an area that does not meet the criteria used to measure achievement of the Commission's new universal service objective.
2 "Government entity" includes federal, provincial, regional and municipal entities, Aboriginal governments, community entities, and non-profit organizations.
SOURCE Canadian Radio-television and Telecommunications Commission
For further information:
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RELATED LINKS
http://www.crtc.gc.ca