The second reading debate over Bill C-10, the Broadcasting Act reform bill, took a notable turn on Friday as Conservative MP Michael Kram called for the bill to be withdrawn, adding that politicians could do Canadians a lot of good by “rewriting it from scratch.” The House of Commons debate over Bill C-10 has run far longer than the government or Canadian Heritage Minister Steven Guilbeault anticipated with the bill still not passing second reading and receiving a referral for committee study. The Conservatives have become increasingly critical, pointing (as I have done in my series on the many blunders in the bill) to the expansion of powers of the CRTC, the government secrecy on key policy issues, the uncertainty the bill creates, and the increased costs to consumers during a pandemic.
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The Law Bytes Podcast, Episode 76: Higher Consumer Costs and Less Choice – My Appearance Before the Heritage Committee on Broadcasting Act Reform
The Standing Committee on Canadian Heritage last week started what it is calling a pre-study on Bill C-10, the Broadcasting Act reform bill. The hearings raises some significant procedural concerns given that the bill has not yet passed second reading so the committee is technically conducting a study about the bill, rather than studying the bill itself. Moreover, committee members have indicated that they have already been invited to provide potential amendment to a bill that hasn’t even made it out to committee, much less been the subject of any study.
Despite those qualms, I was pleased to be invited to appear before the committee and discuss some of the concerns that I’ve identified with the bill. This week’s podcast features my opening statement and the full exchanges that I had with Conservative MP Keven Waugh and Liberal MP Marcie Ian. The audio isn’t ideal, but I hope that the recordings give a sense of both the policy concerns with the bill and the kinds of questions being asked.
Forget Link Licensing and Cross-Subsidies: When it Comes to Tech, Canada Should be Focused on Competition Law and Tax Policy
Canadian Heritage Minister Steven Guilbeault was recently asked about his plans to mandate licensing of links to news articles on social-media sites such as Facebook. While the policy is often referred to as a link tax, Mr. Guilbeault insisted that it was not a tax, stating “some people think every time the government acts, it’s a tax. What I’m working on has nothing to do with tax.” Instead of a government tax scheme, Mr. Guilbeault explained that he intends to have the Copyright Board of Canada set a fee for the links to articles, backed by government power to levy fines for non-payment.
Leaving aside the semantic debate over what constitutes a government tax, my Globe and Mail op-ed argues that the comments are notable because when it comes to addressing the concerns associated with the large technology companies, Canada should be working on taxation. Mr. Guilbeault has said his top legislative priority is to “get money from web giants,” yet rather than focusing on conventional tax policy, his preference is to entrench cross-subsidy programs that keep the money out of general tax revenues and instead allow for direct support to pet projects and favoured sectors.
“Get Money from Web Giants” Grows: Canadian Heritage Minister Guilbeault Says Government Working on a New Data Tax
Canadian Heritage Minister Steven Guilbeault has said that his top legislative priority is to “get money from web giants.” That approach has typically been taken to mean the introduction of digital sales taxes and mandated Cancon payments from Internet streaming services such as Netflix. More recently, Guilbeault has raised the possibility of a link tax or licence, which would be paid by companies such as Facebook or Google merely for linking to news articles. If that wasn’t a sufficiently large digital tax agenda, Guilbeault now says the government is also planning new taxes on data and online advertising. Guilbeault told Evan Solomon:
There Are Many Serious Concerns About Facebook. Why the Australia News Fight Isn’t One of Them
Earlier this week, Facebook announced that it plans to stop allowing publishers and users to share news on both Facebook and Instagram in Australia. The decision came after months of public debate and private negotiations on potential payments from the social media giant to news organizations. When the Internet platforms and the news organizations led by Rupert Murdoch’s News Corp (by the far the largest media organization in Australia) were unable to arrive at a deal, the Australian government and its regulator announced that it would legislate a solution by requiring Google and Facebook to pay publishers for content posted by its users on its site. The Facebook decision to block news sharing on its platforms has been described as a “threat” to the government and democracy, leading to supportive op-eds calling on the Australian government to push back against the company. Canadian Heritage Minister Steven Guilbeault has denounced the move, stating “the Canadian government stands with our Australian partners and denounces any form of threats.”
There are many serious concerns about Facebook: it is in federal court in a battle over whether it violated Canadian privacy law, its response to potentially misleading political advertising has been inadequate, it has moved too slowly in removing posts that urge violence, it faces antitrust investigations, it has paid billions in penalties for its conduct, and many simply fear it is too powerful. But it is in the right in this battle over news in Australia and the Canadian government would be wrong to emulate the Australian approach.
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